FEATURE

growing and in the first half of 2020 , FinTechs secured more than US $ 25 billion in investment globally , despite the huge uncertainty caused by COVID-19 . As FinTech companies and their customer base expand , it is important to recognise that the success of these companies is predicated on the ability to use data effectively in providing a personalised experience to their customers .

To ensure these companies do not become victim of their own success , they must ensure they have the ability to scale up their operations and data storage as quickly and cost-efficiently as possible , especially in these challenging times .

So , what must FinTech companies do if they are to facilitate this growth without bursting at the seams ?

Big fish in a small pond

FinTech companies are growing exponentially , and for many , even the current uncertainty around the pandemic has not decelerated the pace of their growth . However , having started small – with only having access to limited tools at the beginning of their journey , many FinTech companies can ’ t keep up with their own rapid growth . When it comes to data infrastructures , they are facing a real risk of becoming a big fish in a small pond .

In order to achieve widespread innovation and to keep their advantage over traditional financial institutions , FinTech companies need the necessary playground space to experiment in .

When the pandemic and its consequent disruptions started to take hold , most businesses weren ’ t prepared for the types of challenges they would have to face . Although the suggestion of investing in data infrastructure might seem counterintuitive at the moment , a lifeline for FinTech companies going forward will be flexibility and the ability to scale .

Risky business ?

As the uncertainty around the pandemic continues , FinTech companies , like other industries are finding it difficult to commit to long-term business plans . Despite their continued growth , FinTech companies continue to be cautious to invest in expanding their operations during an unpredictable economic climate , especially when they are doing well enough as it is .

Even before the pandemic , FinTech companies exhibited slower rates of the adoption of digitalisation and advanced IT infrastructures than other industries . It ’ s clear the future is digital and for FinTechs to effectively compete in today ’ s volatile market , they need to be proactive and invest in the value of data and Digital Transformation .

One area that FinTech companies must be proactive in is their IT infrastructure , especially their data storage and connectivity , in order to allow them to act faster than big , established competitors .

Limitless scalability

Due to the continuous growth of FinTech companies , with no sign for it to slow down , these companies will have to continually scale their operations up to manage increased demand . Ordinarily , this would have very high costs as they would have to continually alter their IT infrastructure and solutions . www . intelligentdatacentres . com

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