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NatWest Markets partners with Google Cloud to improve customer experiences

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NatWest Markets has migrated to Google Cloud in order to achieve limitless scalability, power predictive risk modelling with analytics capabilities, and streamline regulatory compliance.

Founded in 2016 as the investment arm of Natwest Group, NatWest Markets helps its corporate and institutional customers manage their financial risks and achieve financial goals while navigating changing markets and regulation. Today, beyond providing products and solutions centred across currencies, rates, and financing, the company’s mission is to actively support customers in their transition to achieving broader environmental and societal goals.

Jeremy Arnold, chief risk officer, NatWest Markets, said: “We measure our success by the results we deliver for our customers.

“But to provide excellent customer service and fast execution, we need to anticipate their needs with the right people and the right technology in place.”

Originally, the bank’s Risk applications were set up on a high-performance computing grid managed by a central technology team at NatWest Group. But in 2019, faced with the need to process larger volumes of data at speed and on ageing servers, NatWest Markets decided to migrate Risk platforms to the cloud.

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Chris Conway, head of risk and finance technology, NatWest Markets, said: “As the volume of data we need to process continues to increase, the regulators become more demanding and customers expect faster services, it became clear that it wasn’t enough for us to speed up processes and carry on as usual. We instead needed to transform the way we do things.”

Deciding to migrate to the cloud instead of refreshing and buying new servers, Conway and his team used the momentum to research tools that could be integrated with a serverless infrastructure to help the bank to adapt long-term, selecting Google Cloud Platform to power this digital transformation.

“Google Cloud is the ideal solution for us because it provides on-demand scalability, analytics capabilities that broaden the possibilities of what we can do for our customers, and automated services that free up our team from managing infrastructure to focus on our customers instead,” Conway explained. “We had clear, but challenging objectives, and with our partnership with Google Cloud we were able to achieve them.”

Helping colleagues and customers to realise their potential quickly

Speed is key in financial markets, especially at a time when global systems are being impacted by market volatility. News about price fluctuations and interest rates, for example, can all affect the risk appetite of a company within seconds. NatWest Markets knows the importance of being able to support its customers by collecting signals from a diverse set of data points and interpreting them to enable timely business decisions. So, when laying out its cloud migration plan, moving data processing workloads to BigQuery to turn data into insights quickly and cost-effectively was a priority.

“Traditional data warehouses aren’t designed to handle today’s financial data growth, run advanced analytics, or scale quickly and cost-effectively. As a result, many financial institutions are burdened by operational complexity and are unable to innovate,” said Conway. “As a modern and truly serverless data warehouse, BigQuery addresses our current analytics demands with blazingly-fast, real-time, predictive insights while scaling as our data needs grow.”

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To build cloud capabilities within the company, NatWest Markets invested in training 1,100 employees on Google Cloud Platform throughout 2021, with almost 100 of them becoming Google Cloud certified. “We speak with the Google Cloud team continuously as the efforts in our progression have to come from both sides. It means a lot for us to be able to get the support and training to empower our engineers to think differently, use tools they enjoy, and play an active role in driving our cloud migration forward.”

High performance computing for risk simulation and regulatory reporting

With its migration journey well underway, NatWest Markets has already seen a significant reduction in the overall time to complete business-critical pricing and risk management activities. “By simply migrating from on-premise to BigQuery, we’ve already noticed a 60% improvement in compute time for overnight batch processing of risk simulations and calculations,” Conway explains. NatWest Markets is using multiple Google Cloud products to achieve these outcomes including Compute Engine, Google Kubernetes Engine, Cloud SQL, Cloud Storage, BigQuery and Dataproc.

Meanwhile, compliance with regulatory requirements and effectively managing regulatory relationships remains critical to the ongoing success of NatWest Markets, so the company is also leveraging the ability to streamline regulatory reporting with unified data on BigQuery.

Next, NatWest Markets aims to build artificial intelligence and machine learning capabilities to detect financial risks for customers before they arise. “Our goal is to have all risk modelling, surveillance, and supervision powered by machine learning on Google Cloud from 2022 onwards, where we can better connect the dots from different data sources,” says Conway.

NatWest Markets is also looking at how Google Kubernetes Engine can help improve its performance by containerizing application components as it transitions from a monolithic to a microservices architecture. “We aim to speed up our release cycles from 12 months to 2 weeks for the XVA (valuation adjustments) desks, and we’re just touching the surface of what we’re able to do with Google Cloud,” says Conway.

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Helping address the climate crisis

Besides its focus on customer services and the optimal use of technology, NatWest Markets is also considering how to make its own operations ‘Climate Positive’ by 2025. Aligned with the purpose goals of the broader NatWest Group, the Group aims to use 100% renewable electricity in its direct global operations by 2025, and to see 40% improvement in energy productivity by 2025 from a 2015 baseline.

The company is working to help others accelerate the speed of transition to a low-carbon economy, too. “We’re talking to all our clients about their transition plans towards a low-carbon way of conducting business, and we have been clear as a group that we have no interest in partnering with companies that do not aim to take responsibility for their own carbon footprint,” said Arnold. “With that in mind, the fact that Google Cloud is carbon-neutral and committed to running on carbon-free energy by 2030 is part of the reason why we’ve strengthened our bonds in the past 18 months, and we look forward to a long and prosperous partnership.”

Tags: banking, google cloud, NatWest


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TECHNOLOGY

Next-gen chips, Amazon Q, and speedy S3

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AWS re:Invent, which has been taking place from November 27 and runs to December 1, has had its usual plethora of announcements: a total of 21 at time of print.

Perhaps not surprisingly, given the huge potential impact of generative AI – ChatGPT officially turns one year old today – a lot of focus has been on the AI side for AWS’ announcements, including a major partnership inked with NVIDIA across infrastructure, software, and services.

Yet there has been plenty more announced at the Las Vegas jamboree besides. Here, CloudTech rounds up the best of the rest:

Next-generation chips

This was the other major AI-focused announcement at re:Invent: the launch of two new chips, AWS Graviton4 and AWS Trainium2, for training and running AI and machine learning (ML) models, among other customer workloads. Graviton4 shapes up against its predecessor with 30% better compute performance, 50% more cores and 75% more memory bandwidth, while Trainium2 delivers up to four times faster training than before and will be able to be deployed in EC2 UltraClusters of up to 100,000 chips.

The EC2 UltraClusters are designed to ‘deliver the highest performance, most energy efficient AI model training infrastructure in the cloud’, as AWS puts it. With it, customers will be able to train large language models in ‘a fraction of the time’, as well as double energy efficiency.

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As ever, AWS offers customers who are already utilising these tools. Databricks, Epic and SAP are among the companies cited as using the new AWS-designed chips.

Zero-ETL integrations

AWS announced new Amazon Aurora PostgreSQL, Amazon DynamoDB, and Amazon Relational Database Services (Amazon RDS) for MySQL integrations with Amazon Redshift, AWS’ cloud data warehouse. The zero-ETL integrations – eliminating the need to build ETL (extract, transform, load) data pipelines – make it easier to connect and analyse transactional data across various relational and non-relational databases in Amazon Redshift.

A simple example of how zero-ETL functions can be seen is in a hypothetical company which stores transactional data – time of transaction, items bought, where the transaction occurred – in a relational database, but use another analytics tool to analyse data in a non-relational database. To connect it all up, companies would previously have to construct ETL data pipelines which are a time and money sink.

The latest integrations “build on AWS’s zero-ETL foundation… so customers can quickly and easily connect all of their data, no matter where it lives,” the company said.

Amazon S3 Express One Zone

AWS announced the general availability of Amazon S3 Express One Zone, a new storage class purpose-built for customers’ most frequently-accessed data. Data access speed is up to 10 times faster and request costs up to 50% lower than standard S3. Companies can also opt to collocate their Amazon S3 Express One Zone data in the same availability zone as their compute resources.  

Companies and partners who are using Amazon S3 Express One Zone include ChaosSearch, Cloudera, and Pinterest.

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Amazon Q

A new product, and an interesting pivot, again with generative AI at its core. Amazon Q was announced as a ‘new type of generative AI-powered assistant’ which can be tailored to a customer’s business. “Customers can get fast, relevant answers to pressing questions, generate content, and take actions – all informed by a customer’s information repositories, code, and enterprise systems,” AWS added. The service also can assist companies building on AWS, as well as companies using AWS applications for business intelligence, contact centres, and supply chain management.

Customers cited as early adopters include Accenture, BMW and Wunderkind.

Want to learn more about cybersecurity and the cloud from industry leaders? Check out Cyber Security & Cloud Expo taking place in Amsterdam, California, and London. Explore other upcoming enterprise technology events and webinars powered by TechForge here.

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TECHNOLOGY

HCLTech and Cisco create collaborative hybrid workplaces

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Digital comms specialist Cisco and global tech firm HCLTech have teamed up to launch Meeting-Rooms-as-a-Service (MRaaS).

Available on a subscription model, this solution modernises legacy meeting rooms and enables users to join meetings from any meeting solution provider using Webex devices.

The MRaaS solution helps enterprises simplify the design, implementation and maintenance of integrated meeting rooms, enabling seamless collaboration for their globally distributed hybrid workforces.

Rakshit Ghura, senior VP and Global head of digital workplace services, HCLTech, said: “MRaaS combines our consulting and managed services expertise with Cisco’s proficiency in Webex devices to change the way employees conceptualise, organise and interact in a collaborative environment for a modern hybrid work model.

“The common vision of our partnership is to elevate the collaboration experience at work and drive productivity through modern meeting rooms.”

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Alexandra Zagury, VP of partner managed and as-a-Service Sales at Cisco, said: “Our partnership with HCLTech helps our clients transform their offices through cost-effective managed services that support the ongoing evolution of workspaces.

“As we reimagine the modern office, we are making it easier to support collaboration and productivity among workers, whether they are in the office or elsewhere.”

Cisco’s Webex collaboration devices harness the power of artificial intelligence to offer intuitive, seamless collaboration experiences, enabling meeting rooms with smart features such as meeting zones, intelligent people framing, optimised attendee audio and background noise removal, among others.

Want to learn more about cybersecurity and the cloud from industry leaders? Check out Cyber Security & Cloud Expo taking place in Amsterdam, California, and London. Explore other upcoming enterprise technology events and webinars powered by TechForge here.

Tags: Cisco, collaboration, HCLTech, Hybrid, meetings

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TECHNOLOGY

Canonical releases low-touch private cloud MicroCloud

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Canonical has announced the general availability of MicroCloud, a low-touch, open source cloud solution. MicroCloud is part of Canonical’s growing cloud infrastructure portfolio.

It is purpose-built for scalable clusters and edge deployments for all types of enterprises. It is designed with simplicity, security and automation in mind, minimising the time and effort to both deploy and maintain it. Conveniently, enterprise support for MicroCloud is offered as part of Canonical’s Ubuntu Pro subscription, with several support tiers available, and priced per node.

MicroClouds are optimised for repeatable and reliable remote deployments. A single command initiates the orchestration and clustering of various components with minimal involvement by the user, resulting in a fully functional cloud within minutes. This simplified deployment process significantly reduces the barrier to entry, putting a production-grade cloud at everyone’s fingertips.

Juan Manuel Ventura, head of architectures & technologies at Spindox, said: “Cloud computing is not only about technology, it’s the beating heart of any modern industrial transformation, driving agility and innovation. Our mission is to provide our customers with the most effective ways to innovate and bring value; having a complexity-free cloud infrastructure is one important piece of that puzzle. With MicroCloud, the focus shifts away from struggling with cloud operations to solving real business challenges” says

In addition to seamless deployment, MicroCloud prioritises security and ease of maintenance. All MicroCloud components are built with strict confinement for increased security, with over-the-air transactional updates that preserve data and roll back on errors automatically. Upgrades to newer versions are handled automatically and without downtime, with the mechanisms to hold or schedule them as needed.

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With this approach, MicroCloud caters to both on-premise clouds but also edge deployments at remote locations, allowing organisations to use the same infrastructure primitives and services wherever they are needed. It is suitable for business-in-branch office locations or industrial use inside a factory, as well as distributed locations where the focus is on replicability and unattended operations.

Cedric Gegout, VP of product at Canonical, said: “As data becomes more distributed, the infrastructure has to follow. Cloud computing is now distributed, spanning across data centres, far and near edge computing appliances. MicroCloud is our answer to that.

“By packaging known infrastructure primitives in a portable and unattended way, we are delivering a simpler, more prescriptive cloud experience that makes zero-ops a reality for many Industries.“

MicroCloud’s lightweight architecture makes it usable on both commodity and high-end hardware, with several ways to further reduce its footprint depending on your workload needs. In addition to the standard Ubuntu Server or Desktop, MicroClouds can be run on Ubuntu Core – a lightweight OS optimised for the edge. With Ubuntu Core, MicroClouds are a perfect solution for far-edge locations with limited computing capabilities. Users can choose to run their workloads using Kubernetes or via system containers. System containers based on LXD behave similarly to traditional VMs but consume fewer resources while providing bare-metal performance.

Coupled with Canonical’s Ubuntu Pro + Support subscription, MicroCloud users can benefit from an enterprise-grade open source cloud solution that is fully supported and with better economics. An Ubuntu Pro subscription offers security maintenance for the broadest collection of open-source software available from a single vendor today. It covers over 30k packages with a consistent security maintenance commitment, and additional features such as kernel livepatch, systems management at scale, certified compliance and hardening profiles enabling easy adoption for enterprises. With per-node pricing and no hidden fees, customers can rest assured that their environment is secure and supported without the expensive price tag typically associated with cloud solutions.

Want to learn more about cybersecurity and the cloud from industry leaders? Check out Cyber Security & Cloud Expo taking place in Amsterdam, California, and London. Explore other upcoming enterprise technology events and webinars powered by TechForge here.

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Tags: automation, Canonical, MicroCloud, private cloud

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