IBM and SAP have entered into a collaboration to accelerate cloud adoption within the financial services industry.

SAP intends to offer two of its finance and data management solutions to IBM Cloud for Financial Services.

This comes when hybrid cloud environments are gaining traction with the industry seeking to balance the need to deliver innovative services while meeting security and compliance requirements.

IBM Cloud for Financial Services is designed to enable financial institutions host their mission-critical applications in the cloud. The clients can use it to transact with their technology partners and fintechs in a secured, purpose-built environment.

The cloud already has a partner ecosystem of more than 100 partners and fintechs.

SAP Financial Services Sector head Bob Cummings said: “The rapid transition of regulated industries, such as financial services, toward the cloud makes it necessary to address new operational and technology challenges.

“The combination of IBM Cloud and SAP’s capabilities can help banks and insurers around the world to accelerate their digitalisation journey and scale their business globally.”

The addition of SAP’s planned offering on the IBM Cloud for Financial Services will enable financial services institutions, their partners and fintech access SAP’s intelligent suite, including SAP S/4HANA solutions.

They will also utilise SAP’s solutions for strategic data management including SAP Adaptive Server Enterprise and SAP IQ software.

IBM Cloud for Industries general manager Joel Spieth said: “As we continue to add partners, such as SAP, to our growing ecosystem, we’re one step closer to driving a true change in cloud adoption for the industry to ultimately help reduce risk throughout the supply chain.

“We’re helping financial institutions modernise with SAP solutions on IBM Cloud for Financial Services, driving innovation, and creating operational efficiencies.”