Deutsche Bank said it has agreed to a strategic, multi-year partnership with Google to give the German lender access to cloud services and drive innovation in technology-based financial products.
Earlier this year, Deutsche Bank invited bids from Google (NASDAQ:GOOGL), Microsoft (NASDAQ:MSFT) and Amazon (NASDAQ:AMZN) to overhaul the international bank’s outdated and fragmented technology networks. The deal is part of a $14.70 billion U.S. technology investment Deutsche Bank has planned up to 2022 as it restructures and tries to recover from years of financial losses.
Google and Deutsche have signed a letter of intent and plan to sign a multi-year contract within the next few months, the bank said in a written statement. Deutsche Bank said it expects the partnership to generate more than $1.13 billion U.S. in accumulated earnings before income and tax (EBIT) over the next 10 years.
"The partnership with Google Cloud will be an important driver of our strategic transformation," said Deutsche Bank Chief Executive Officer Christian Sewing. "It demonstrates our determination to invest in our technology as our future is strongly linked to successful digitization."
