This week we look at the change in leadership at Equifax and yet another cyber security breach.
Equifax chief resigns after data theft; interim successor named
Amid one of the more notable data breaches in recent memory, Equifax CEO Richard Smith has resigned. Details of his replacement were given in the Credit Union Journal: "Smith will be replaced on an interim basis by Paulino do Rego Barros Jr., a seven-year company veteran who was most recently president of Asia Pacific, the Atlanta-based firm said Tuesday in a statement. Board member Mark Feidler, a former BellSouth Corp. president, was named nonexecutive chairman. The board will conduct a search for a permanent CEO and consider internal and external candidates."
Deloitte hacked, says 'very few' clients affected
In what has been a string of cyber breaches among financial service corporations, Deloitte has additionally revealed that they have been hacked. However, Deloitte says that the impact on customers is negligible. Paul Sandle and Jim Finkle of Reuters have more insight, "Deloitte said in a statement that attackers accessed data from the company’s email platform, confirming some details in a report by the Guardian newspaper, which broke news of the hack on Monday. The attack appeared to target the firm’s U.S. operations, was discovered in March and could have begun as early as October 2016, according to the Guardian."
10 Most Innovative CEOs in Banking 2017
In an industry that has seen an immense amount of innovation in the past decade, there are some in banking who are doing it better than most. Grace Noto of Bank Innovation has a list of the top 10 most innovative leaders in banking today: "2017 has been a year that could bring profound changes to the world of banking, all in all, and of course, it wouldn’t have been possible without the people who keep the banks moving forward."
What The Banking Industry Can Learn From Nokia’s Demise
10 years ago the biggest player in the cell phone industry was Nokia. A couple months after the first iPhone came out, there really wasn't a close second. Alex Kreger relates Nokia's infamous demise to banking and poses two questions to help financial institutions identify where they could be going wrong: "First, how did this happen?.. Second, do the dominant players in today’s financial industry face the same threat? If so, what might be done to avoid Nokia’s fate?"
How Banks Can Get Started With Machine Learning
Machine learning is on the forefront of technological breakthrough. Though potentially grand within banking, its uses are not widely adopted. Ian Foley, CEO of AcutelQ, discusses potential challenges and how banks could get started. "There is no shortage of bank data. The challenge is that accessing and using this data is a minefield for banks due to internal organizational and regulatory compliance constraints, which makes taking advantage of new tools like machine learning all that more challenging."
Cryptocurrency Expert: Government-Backed Cryptocurrency Misses the Point
In an interview with Bank Innovation, Jacob Eliosoff, a programmer and crypto trader, opposses the efforts governments have poured into researching cryptocurrency. He reasons that the function of cryptocurrancy does not solve the problem governments want it to. He says poignantly that "the blockchain is a tool, and it solves one very specific problem." He goes on to say, “blockchain is used for making a decentralized network, but [governments] do not really want to have a decentralized system.”
Macroeconomic Trends Threaten the Balance of Power in Banking
Banking has rarely seen such a volatile climate. In the last decade, the inclusion of digital technology within the industry has changed the balance of power among largest institutions in the world. Jim Marous takes a look into the known and unknown future of the banking industry: "Of the 20 largest global banks as of early 2017, one-third were new to the list since a decade ago. Even more startling is their shift in relative market share compared with the major technology firms. Banks and credit unions must prepare for an uncertain future."