Banks and credit unions are increasingly adopting cloud technology and IT outsourcing in order to remain competitive, according to a new survey.
Many financial institutions are using IT outsourcing as a strategy to prioritize and execute technology projects, the survey found.
Others consider outsourcing the only viable solution for obtaining expertise needed to maintain their technical environments.
Computer Services Inc. and Cbanc Network surveyed 161 financial institutions across the U.S. to identify trends in cloud technology and IT outsourcing and identify areas in which they need more education and support.
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The survey found that 23% of respondents planned to outsource more of their IT services in the coming year, compared with 14% in 2012. Ninety-four percent of institutions planned to outsource at the same level or more than they currently do.
Half of respondents reported that some percentage of their IT assets was already being delivered in the cloud, up from 38% in 2012. Those reporting no IT assets in the cloud dropped to 39% from 51% last year.
According to the data, 60% of financial institutions planned to outsource some percentage of their IT assets via the cloud over the next 12 to 18 months.
Survey respondents most commonly mentioned email encryption, backup, core banking applications and security as the cloud-hosted functions they were currently using.