On Tuesday, Deutsche Bank said that they have agreed into a strategic multi-year partnership with Alphabet-owned Google. Under this partnership, they will provide the German lender access to cloud services to help them drive innovation in technology-based financial products.
Deutsche invited bids from Google, Amazon, and Microsoft, earlier this year, to overhaul the outdated and fragmented technology networks of the bank. The deal is part of a 14.70 billion dollar (13 billion euro) investment by Deutsche on technology. The company has planned this as its restructures efforts to recover from years of losses by 2022.
The bank said, that now both the multinational companies have signed a letter of intent and plan to sign a contract within the next few months for multi-year. Over the next ten years, the partnership is expected to generate more than $1.13 billion (1 billion euros) in accumulated earnings before income and tax (EBIT).
Chief Executive Christian Sewing, Deutsche Bank said “The partnership with Google Cloud will be an important driver of our strategic transformation.” He added, “It demonstrates our determination to invest in our technology as our future is strongly linked to successful digitization. It is as much a revenue story as it is about costs.”