The Bangalore-based Infosys Ltd is considering using the blockchain technology in its core banking software product, Finacle, as the new management team works to rebuild the platform, Livemint reports.
Infosys CEO Vishal Sikka reportedly assigned the head of Finacle Michael Reh to assess the advantages of the blockchain and its potential applications in mobile banking development. The Finacle team was recently reinforced with a group of executives from rival companies SAP Labs, Sopra, and Temenos.
The media outlet cites two insiders who spoke out on condition of anonymity. One of them said:
The second source emphasized that the potential of the public ledger technology is not limited to the payment industry:
The company made no official statement on the matter ahead of its quarterly earnings announcement on 24 April.
Jost Hoppermann, vice-president at technology consultancy Forrester Research, believes that incorporating the blockchain might give Finacle a “first-mover advantage”.
According to Infosys’s annual report for 2014, Finacle solutions are used by 183 banks across 84 countries, including India’s largest bank, the State Bank of India, the Ukrainian Nadra Bank, and the Al Hilal Bank of the United Arab Emirates. The company reported a total of $8.25 billion in revenue, with no break down by division (including Finacle). Livemint sources estimated it to be a $300 million business. About 90% of its revenue comes from Asia Pacific, Europe, and the Middle East while less than 10% accounts for the US market, where Finacle has a less than 1% share.