10x Banking: Banks Grapple with Legacy Tech as They Push for AI Integration

More than half of banks (55 per cent) view their current core banking solutions as the biggest obstacle to achieving their digital transformation objectives, according to new research from 10x Banking.

The report, Core Banking without Compromise, surveyed over 200 senior IT decision-makers, shedding light on the challenges posed by legacy technology and the growing demand for modern systems.

The research also found that 93 per cent of respondents believe their future success relies on selecting the right core banking solution. Despite this, concerns over the risks involved with migration are preventing 69 per cent from deploying next-generation solutions.

Key data from the survey include:

• 53 per cent of banks using legacy systems are encountering difficulties in scaling due to data silos and production bottlenecks.
• 42 per cent plan to replace elements of their legacy core technology within the next year.
• Only two per cent have no plans to upgrade their current systems.
• AI integration remains a priority, with 39 per cent intending to incorporate AI within the next year.

While cloud-native solutions were initially seen as the answer to the limitations of legacy systems, many banks are still struggling to transform at the desired pace.

Antony Jenkins, CEO of 10x Banking

Antony Jenkins, CEO of 10x Banking, a cloud-native core banking platform for financial institutions, highlighted these frustrations, noting that limitations with both legacy and newer solutions continue to impede progress.

“While there are more core solutions available than a decade ago, this research shows that limitations and compromises remain—and they are frustrating both the business-as-usual operations and long-term transformation activities of banks. With the rapid advance of AI and changing customer expectations, the core challenges facing banks could quickly escalate from frustrations to business-critical risks.

“This research shows that banks are still searching for a core banking solution which can deliver transformation without compromise. This is why 10x Banking has developed the world’s first
meta core, a cloud-native modern platform which accelerates banks’ path to full transformation, but without the risk, cost or compromise associated with legacy and neo core solutions.”

In response to these challenges, 10x Banking has launched what it describes as the world’s first ‘meta core‘  – a cloud-native platform designed to help banks innovate and offer personalised services without the risks typically associated with core transformation projects.

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