Westpac and ANZ float cloud testing

Beverley Head
Tuesday, 12 October 2010 17:31

Business IT - Technology

Cloud computing is playing an increasing role in terms of test and development for Australia's leading banks with both Westpac and ANZ today revealing significant forays in the field.

Disputing reports that it was shying away from cloud computing, Westpac today confirmed that while it would not consider using offshore clouds for storing customer data, private local clouds were playing an increasing role internally.

Chief information officer Bob McKinnon said at a briefing in Sydney that; 'Cloud computing is absolutely important to us. Of all the banks we are the only ones who have built a private cloud environment within their organisation already and we are using that in a very much test and development area.

'We are using the new Cisco UCS technology - 300 virtualised servers and 40 terabytes EMC storage attached - all brand new and fully functional.'

Westpac has been working with the VBlock suppliers Cisco, EMC and VM Ware to develop its cloud and its approach for the mid range platform for the bank.  However according to Mr McKinnon cloud 'has a big application in test and development, although less in production.'

He made clear also that he doubted anyone would bring out a cloud based core banking system any time soon. Not that Westpac's in a great rush to overhaul its core in any case.

Last week Westpac confirmed that it had reprioritised its IT development programme and was delaying its planned $225 million core systems overhaul until 2014. It was however powering ahead with the Strategic Investment Priorities (SIPs) programme comprising 15 different projects with a total $2 billion budget over five years, focussing particularly on customer focussed programmes.

It is this initiative which has helped mature Westpac's cloud thinking.