Welcome to a fascinating exploration of technology’s transformative role in the finance industry. In an era where data is the new oil, understanding how technology is reshaping the finance landscape through compelling statistics is crucial for anyone deeply invested in this sector. Whether you’re a tech enthusiast, financial professional, or just a curious reader wanting to learn more, we will demystify complex concepts, trends and provide an in-depth analysis of key Technology in Finance Industry statistics. This post touches on the big picture dynamics, dives into specific examples, and elucidates how technology is revolutionizing everything from cross-border transactions to customer service in the finance industry. Who’s ready for this enlightening journey?
The Latest Technology In Finance Industry Statistics Unveiled
82% of traditional financial organizations plan to collaborate with fintech companies in the next 3-5 years, according to PwC.
Punctuating the transformation in the finance industry, this notable figure—82% of traditional financial institutions intending to collaborate with fintech firms as per PwC—reflects the undeniable magnitude of the technological shift. Traditional powerhouses in finance are not just adapting to, but embracing, the wave of digital disruption, exemplifying the comprehensive blend of finance and technology. It underscores the trend, marking the unprecedented cooperative trend projected for the immediate future. More than a simple statistic, it is a harbinger of the evolving financial landscape where digital proficiency is no longer optional but instrumental. It’s a compelling signpost on the road to the future of finance—a digital, collaborative, and technologically driven landscape.
By 2024, the global fintech market is predicted to be worth $324 billion at a compound annual growth rate of 23.58%.
Positioned at the cutting edge of transformation, the forecast of the global fintech market reaching a staggering value of $324 billion by 2024 brings into sharp focus the colossal role fintech holds within the financial industry. Accelerating at a compound annual growth rate of 23.58%, this pattern not only underscores fintech as a vigorous engine of growth, it meticulously etches out the sector’s monumental strides forward.
In the tapestry of our blog about Technology in Finance Industry Statistics, this prediction serves as a catalyst, striking an emphatic chord on the prevalent influence of technology on financial services. With such an impressive growth rate, it essentially weaves together the narrative of technology as the new cornerstone of finance, driving innovation, and fostering efficient, customer-centric solutions.
From blockchain to AI to mobile banking, technology now defines finance. The fintech market’s expected worth of $324 billion by 2024, in short, propels us to envisage a dynamic landscape of opportunities, fostering breakthroughs and transformations, and challenging the conventional contours of the financial industry.
As per Accenture, 43% of banks are implementing AI as part of their digital transformation.
Accenture’s data illustrating that 43% of banks are incorporating AI in their digital transformation journeys infuses an invaluable insight into the blog post on Technology in Finance Industry Statistics. It signifies the progressive adoption and integration of cutting-edge technology by financial institutions. This paradigm shift is redefining traditional banking methodologies, aiming to enhance customer experiences, streamline operations, and ensure a stronger asset base against potential security threats. Furthermore, it paves the way for significant disruption and innovation in the industry, marking a crucial trend that readers, ranging from tech enthusiasts to industry professionals, need to monitor meticulously.
According to Statista, automated financial advisors and robo-advisors are projected to manage around $2.5 trillion in assets by 2024.
In the pulsating heartbeat of the finance industry’s ongoing evolution, this projection from Statista stands as a vital sign of the shifting landscape. Marrying finance and technology, automated financial advisors and robo-advisors are not just predicted prototypes for the future but are rather poised to wield control over an astounding $2.5 trillion in assets by 2024. This statistic is the sound of the techno-financial symphony reaching its crescendo. It boldly underscores the paradigm shift from traditional finance to fintech, as tech-infused innovations rise to eminence and redefine how we understand and interact with our fiscal world.
The global blockchain technology market in the banking sector is expected to reach over $1.4 billion by 2024, according to Orbis Research.
In the intricate tapestry of the finance industry, this statistic serves as a vibrant thread, highlighting the surge of blockchain technology’s adoption in banking. By 2024, a phenomenal market value of over $1.4 billion underlines blockchain’s transformative potential, as forecasted by Orbis Research, casting testament to a shift towards decentralized ledger technology in the banking sector.
This number not only indicates an accelerating trend but also signals the rippling transformation within fintech. It challenges traditional banking protocols and ushers in groundbreaking improvements for efficiency, security, and trust. Hence, in the grand narrative of technology statistics in the finance industry, this figure stands as a towering milestone, prophesying the march of the banking sector into a blockchain-driven future.
PwC predicts that by 2030, AI will add up to $15.7 trillion to the global economy.
Appreciating the gravity of this figure, a staggering $15.7 trillion to be propelled into the global economy by AI by 2030, is paramount when contextualizing the impact of technology on the finance industry. This prediction by PwC gives us a glimpse into a transformational future, led by AI.
Imagine this colossal figure as a massive wave set to sweep across the finance landscape, triggering profound changes. It puts into perspective the importance of AI and related technologies as key catalysts in propelling financial services forward, with sweeping improvements in efficiency, productivity, and profitability.
This information imprints the urgent necessity for financial firms to keep pace with the development and adoption of emerging technologies like AI. The gargantuan economic surge forecasted, primarily within AI technology, acts as both an alert and an invitation for finance industry stakeholders to dive in and harness this transformative power.
So, let this PwC prediction serve as your compass guiding you through the dynamic landscape of modern finance. Technological prowess, especially in AI, will not merely be an added advantage but a critical survival weapon in the future finance industry. It is clear that the triumph in tomorrow’s financial world belongs to technology adopters and innovators.
McKinsey estimates that by 2030, 30% of banking jobs could be displaced by technology.
Illustrating the impending technological force in the financial landscape, the predicted McKinsey statistic dramatically underscores the substantial shift our industry is poised to embark upon. As we envision a future where 30% of banking jobs may be supplanted by technology by 2030, our contemplation prepares us for change, infusing this blog post with a sense of urgency and anticipation. It is no longer a mere speculation of tech-buffs, but a quantifiable forecast indicating the palpable transformation that financial institutions must adapt. Therefore, highlighting the indispensability of technological savvy and flexibility in the evolving finance industry.
As per a report by Deloitte, mobile payment technologies are expected to grow by 60% by 2025.
Highlighting the Deloitte report in a blog post about Technology In Finance Industry Statistics underscores the irreversible momentum and profound influence of mobile payment technologies. This predicted 60% surge by 2025 serves as an indicator of the exponential potential of this sector, emphasizing an imminent transformative shift in the financial tech landscape as we know it. Essentially, these numbers act as a clarion call to stakeholders in the finance industry who should be preparing to ride the wave of this digital revolution or be left behind in its wake. These figures also add a quantitative backbone to the narrative, allowing readers to grasp the formidable role mobile payments are poised to play in shaping the financial industry’s future.
77% of financial organizations plan to adopt blockchain as a part of an in-production system or process by 2020, as stated by PwC.
Unveiling the transformative capabilities of technology in the financial industry, the PwC statistic reveals that a tremendous 77% of financial organizations intend to welcome blockchain into their operational systems by 2020. With blockchain offering secure, efficient, and transparent transactions, this figure gestures towards a future where financial operations are revolutionized. Therefore, not only does this statistic reinforce the increased acceptance and integration of innovative technologies in the finance industry, but it also paints an intriguing picture of a digitized, decentralized financial future. Acknowledging such trends in technology adoption is vital for discerning the direction of financial services industry evolution and understanding the shifting paradigms of money and finance in this tech-charged era.
Infographics predicting that the RegTech market will hit $55.28 billion by 2025.
In the financial technology industry, forecasting models allow for strategic planning, thus enabling businesses to stay ahead of the curve. This intriguing projection of the RegTech market soaring to a whopping $55.28 billion by 2025 illustrates that trajectory – a potential sea change in the industry dynamics. The resonance of such a statistic in a world increasingly reliant on technology for efficiency and effectiveness shouldn’t be underestimated. It serves as not only a remarkable testament to RegTech’s growing popularity but also uncovers a possible avenue for unprecedented investment opportunities and market strategies in the Technology In Finance Industry. This statistic is far from mere trivia; it’s potential insight into the sector’s future landscape.
Approximately 1.7 billion adults around the world still do not have access to a traditional bank account, according to the World Bank.
Unveiling the fact that around 1.7 billion adults globally are still untouched by traditional banking systems sheds significant light on the untapped potential and need in the finance industry. This statistic, sourced from the reputable World Bank, underscores the urgency for technology-driven solutions that can bridge this immense financial inclusion gap. It serves as a compelling reminder that the finance industry has a vast opportunity but also a responsibility, to leverage technology, develop user-friendly FinTech solutions, and make finance more accessible for this massive population. It is, therefore, a call to technologists, policy makers and businesses in the finance industry to accelerate their efforts towards driving global financial inclusion.
Research by Let’s Talk Payments claims that in 2017, fintech companies received $17.4 billion in funding globally.
The revelation of Let’s Talk Payments research, reporting that fintech companies experienced an influx of $17.4 billion in global funding in 2017, serves as a robust testament to the escalating momentum and appeal of technology in the finance industry. This treasure chest of funding gives us a magnified view portraying the magnitude by which investors and stakeholders are cognizant of the potential of technology to revolutionize financial services. The staggering numbers invariably validate the conviction of global investors in the evolution and future direction of the finance industry, driven by technological advancements. As we navigate the realms of this blog post, allow this statistic to be your compass, guiding you to understand just how much technology has intertwined with the fabric of the finance industry.
A report by PwC suggests that by 2024, the cumulative value of transactions via digital wallet will be over $9 trillion annually.
Highlighting the projection from PwC stakes a compelling assertion for the exponential rise of digital wallets in the financial industry. The predicted cumulative value of transactions, standing at a staggering $9 trillion annually by 2024, paints a vivid picture of a heavily digital future in finance. This robust trend underscores not only the widespread adoption of digital wallets but also their transformation into a cornerstone financial instrument. Within the vast narrative of technology’s impact on finance, these numbers provide hard evidence of a rapidly evolving monetary landscape that is ever-increasingly digital, giving strategic insights for financial firms, tech companies, and potential investors. It’s a clarion call, signifying that adaptation and innovation in this space are not only profitable but seemingly vital for survival.
According to a survey by Statista, 61% of surveyed Financial Institution Executives said they enhanced their cybersecurity due to fintech.
Drawing a bead on the digital transition within the finance industry, the data point shared provides an intriguing insight. Navigating through the sea of fintech innovation, a whopping 61% of Financial Institution Executives expressed a boost in their cybersecurity measures, according to a survey conducted by Statista. The pertinence of this statistic in a Technology in the Finance Industry discourse can’t be overstated.
To begin with, it exposes the formidable link between fintech and cybersecurity. In today’s technology-driven world, cyber threats are a looming concern and financial institutions often find themselves in the crosshairs of hackers. Therefore, it is not a surprise that the rise in fintech’s role in financial transactions, and digitization at large, propels executives to invest more resources in cybersecurity.
Additionally, this figure serves as an index of the evolution in mindset among finance executives. Previously, cybersecurity was often treated as an afterthought but now, with fintech gaining prominence, it acts as a catalyst in revolutionizing cybersecurity policies. This trend is proof of an industry gradually stepping out of its comfort zone to not only embrace but evolve with technology.
Finally, the statistic also drives home the fact that financial institutions have acknowledged the importance of securing their digital platforms in the face of fast-growing fintech applications. Such a statistic may lead to increased investor confidence as it shows that institutions are demonstrating their commitment to minimize potential cyber risks.
In essence, this Statista survey intimates the change in boardroom dialogue, reflecting the gravity of cybersecurity in the era of fintech innovation.
A survey by BDO USA showed that 74% of CFOs said cloud computing will have the most measurable impact on their business.
Delving into the statistic of ‘A survey by BDO USA showed that 74% of CFOs said cloud computing will have the most measurable impact on their business,’ paints a compelling narrative in relation to the discussion on technology in the finance industry statistics. This figure not only underscores the significance of cloud computing to CFOs but also illuminates the magnitude of its anticipated impact on the finance sector. Furthermore, it indicates a trend towards digital transformation where financial leaders are acknowledging the transformative potential of such technology. Therefore, this statistic is instrumental in portraying a maturing understanding and adoption of cloud technologies in the finance industry which could revolutionize how the finance industry operates. Moreover, it presents an opportunity for more in-depth discussions on the benefits and challenges of cloud computing in this sector. It’s an anchor point for illustrating how finance industry leaders are laying the groundwork for the future by integrating advanced technology into their operations.
The global p2p payments market is expected to reach $3.9 trillion by 2025 as per Research and Markets.
Forecasting the peer-to-peer (P2P) payments market to skyrocket to a staggering $3.9 trillion by 2025, Research and Markets directs a spotlight onto a critical artery in the heart of the finance world. This projection illustrates the colossal transformation the financial landscape is undergoing – a seismic shift that’s profoundly reshaping the strategies of industry leaders. Intertwining technology with finance, P2P platforms are not only creating a seamless, user-centric environment, but also inciting an upsurge in global transactions. This statistic underpins the growing emergence of P2P technology as an unstoppable force, asserting its potential to redefine the boundaries of financial transactions globally.
According to Forbes, 90% of fintech services and banking will be mobile transactions by the end of 2020.
Drawing on an astounding revelation from Forbes, it is projected that the immense wave of digital disruption in the financial service industry will crest at the threshold of a new decade, with 90% of fintech services and banking operations expected to become mobile transactions by the close of 2020. This revelation forms the crux of a technological revolution spinning the wheels of the finance industry.
The implications of this rapid digitalisation are twofold – It’s not just about the evident shift in consumer behaviour revolving around financial transactions, but also indicative of how dramatically the financial service industry is responding to these consumer trends. Inevitably, future strategies and offerings must take this digital migration into account in order to meet the evolving needs of consumers, with mobile access and ease-of-use at the foreground, raising the stakes for both fintech startups and traditional banks.
Moreover, this digital drift further underscores the potential of emerging technologies, like AI and blockchain, redefining the contours of financial services, enhancing security and making transactions convenient and seamless. On the whole, setting the direction for a complete reimagination of the finance industry landscape in the post-2020 era.
The rise of technology in the finance sector has led to a 6% reduction of global office rental costs for financial services according to JLL.
The intertwining of technology within the threads of the finance sector is painting a new picture of the industry’s infrastructure, as echoed by the 6% drop in global office rental costs for financial services reported by JLL. When dissected within the context of a blog post about Technology in Finance Industry Statistics, this figure sheds light on the financial incentives of the technology boom.
Firstly, the incorporation of technology in the finance sector is causing an exodus from traditional brick-and-mortar offices to digital platforms. An increasing number of financial operations are going virtual, signified by a drop in the demand for physical office space and subsequently, a decrease in rental costs. Thus, this statistic notably highlights the cost efficiencies extracted from the sector’s tech-adoption.
Cleanly etched in this figure is also the sustainable avatar of the future of finance. With less physical space being utilized, the environmental implications are significant as the reduced carbon footprint contributes to sustainability goals.
Lastly, this decrease in global office rental costs narrates a story of evolving work cultures. As the industry continues to embrace technology, we’re observing the disruption of traditional workspaces, with flexible and virtual working arrangements becoming commonplace. This transformation in the way we work delivers undeniable benefits, like improved work-life balance and reduced commuting costs.
In the grand tapestry of financial technology, this single statistic stands as a testament to the profound and sweeping changes that technology is driving in the finance industry.
According to Invest Northern Ireland, 79% of financial leaders believe it is essential to engage external fintech vendors when building automation solutions.
Diving deep into the ocean of numbers, “According to Invest Northern Ireland, 79% of financial leaders believe it is essential to engage external fintech vendors when building automation solutions,” surfaces as a truly illuminating pearl. It illustrates the prevailing sentiment among financial heavyweights about this technological revolution in finance, revealing a widespread belief in the cardinal role of external fintech vendors in propelling automation forward. Much like the gears in a complex machine, this statistic sheds light on financial leaders’ eagerness to collaborate and leverage the expertise of external vendors to create more efficient, robust automation solutions. When you untangle the relevance of this statistic within the narrative of the growingly digitized world of finance, it forms a vital piece of the overall picture: Fintech isn’t just reshaping the landscape; it’s seen as a crucial partner in the journey towards next-level automation.
Conclusion
The dynamic interplay between technology and the finance industry is irrefutable, as underscored by these compelling statistics. Whether it’s disruptive FinTech innovations, digital payment preferences, blockchain’s ascending relevance, or AI’s transformative potential, technology continues to redefine the financial landscape. Undeniably, these trends are not just passing phenomena but harbingers of more profound changes that are poised to unfold. Therefore, industry players must proactively embrace and adapt to these technological tides to stay afloat and turn them into lucrative opportunities. Ultimately, the marriage of finance and technology is here to stay, continuously evolving, and leading the line towards a progressive, inclusive, and efficient global financial system.
References
0. – https://www.www.grandviewresearch.com
1. – https://www.www.mckinsey.com
2. – https://www.www.forbes.com
3. – https://www.www.jll.co.uk
4. – https://www.gomedici.com
5. – https://www.www.worldbank.org
6. – https://www.www.researchandmarkets.com
7. – https://www.www.investni.com
8. – https://www.www2.deloitte.com
9. – https://www.www.businesswire.com
10. – https://www.www.orbisresearch.com
11. – https://www.www.accenture.com
12. – https://www.www.statista.com
13. – https://www.www.bdo.com
14. – https://www.www.pwc.com