JPMorgan spends 11000 million USD on technology, but a senior bank manager says some customers do not want it to become a technology one:

•  JPMorgan spends more than 11,000 million dollars annually in technology, but bank investment customers still want the company is a bank, not a technology, says Huw Richards, director of digital banking investment bank.
•  "They want to be a technology partner," he explained at a discussion Monday at the WINDOW: Transformation on the New York Stock Exchange.

The feeling of technology, the trust of a bank. This is the delicate intersection in which Wall Street companies are trying to land as they rebuild their businesses.

But despite spending billions of dollars in technology upgrades, from FinTech's partners to blockchain initiatives, JPMorgan customers do not necessarily want the company to be a technology, "said Huw Richards, director of digital banking banking investment services.

JPMorgan spends 11000 million USD on technology

Instead, customers are looking for "a partner with technological capabilities," Richards told the WINDOWS conference: Transforming Finance on the New York Stock Exchange.

"Companies need to change themselves, companies need to innovate," Richards said. "Technology is just a tool for the cultural change we are trying to reach.

Richards' statements contradict what some of Wall Street's biggest names have said. Former Goldman Sachs CEO Lloyd Blankfein and Larry Fink's BlackRock CEO have rated their companies as technology companies.

And JPMorgan has made the biggest investment in technology for all, with the largest Wall Street technology budget of over $ 11,000 million this year. Richards said the bank has more than 50,000 technologists.

Although Richards believes that some customers do not want their bank to be a technology, people want to engage with their banks, as they do with technology platforms such as Google and Amazon without sacrificing security, said Lucien Foster, director of BNY digital partnerships.

"They do not want us to move fast and break things," Foster said about the expectations of bank customers.

There is a balanced order between customer experience and security.

For the time being, Richards customers want JPMorgan to be a bank, but a bank that dominates technology.

"Between 2022 and 2023, our knowledge of technology will become a fundamental part of our consultancy with our customers, in addition to our traditional knowledge of the banking sector," he said.

How do I choose my partners?

Both Richards and Foster are responsible for deciding whether to build, buy, or collaborate with outside companies, addressing their company's technological issues. For fintechs wishing to enter a massive financial institution, the two directors explained how they assess potential partners.

Richards explained that when JPMorgan is considering working with a fintech company, look for a company that is ready for the "execution" phase.

"Now, as an industry, we are well on the way to strategy, we understand what our problems are, we spent a lot of time thinking about them," he assured. "We are in the execution phase."

Potential partners moving to JPMorgan come with a "differentiated technical vision" of how to solve the problems that the bank has identified, along with the key elements that he and Foster have said are the requirements for partners: experience According to company culture, you understand the niche activity of companies.

But simply understanding the fact that there is a problem like using data is not enough to associate with JPMorgan. Potential partners need to demonstrate how they can do it.

"Here we are, and for those who come and recognize it, we move incredibly fast," Richards said.