Nasdaq Inc. is working with Amazon Web Services to help exchanges and others in the industry shift their services to the cloud without the added years of development and expense it would take to modernize on their own.
“These are new services they otherwise wouldn’t be able to offer,” Nasdaq President Tal Cohen said in an interview Thursday. “It’s a guide of how to improve your infrastructure to attract more capital and liquidity.”
Nasdaq and AWS will provide their “infrastructure, software, data management and services to enable market operators to overcome modernization barriers cost effectively without compromising resiliency or control,” the firms said in a joint statement.
Exchanges have long professed a goal of moving to cloud-based platforms as a way to reduce costs, but technology challenges mean the shift has been gradual.
Modern trading is incredibly fast — with the pace sometimes measured in nanoseconds, or billionths of a second — and exchanges try to ensure that all their customers get price updates and other vital data at the same time.
Major exchange operators including Nasdaq and CME Group Inc. have teamed up with the biggest cloud-service providers, AWS and Google, respectively. Nasdaq began moving its trading to the cloud in 2022, starting with Nasdaq MRX, one of its options exchanges.
Google and CME are building a cloud-computing network that will allow it to shift futures and options trading into the cloud.
Nasdaq and AWS are aiming to remove the “heavy lifting” that is often required to keep up with modern technology, AWS Managing Director Scott Mullins said.
To start, the firms are working with the Johannesburg Stock Exchange and Mexico’s Grupo BMV. Nasdaq also said that its Nordic markets intend to use its “blueprint,” starting with the derivatives market.
The goal is to add other partnerships across the globe, according to Cohen. Longer term “we have this vision of creating a global network of market operators and local fiancial ecosystems where we can increase the connectivity between markets that reduces the friction and complexity of doing business across borders,” he said.
(Credit: Shutterstock)
Copyright 2025 Bloomberg. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.
© Touchpoint Markets, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to TMSalesOperations@arc-network.com. For more information visit Asset & Logo Licensing.