Market Overview:
Open banking is a system that enables access to and management of consumer banking and financial accounts by third-party applications. Open banking, often known as open bank data, is a practise in banking that allows non-bank financial companies to access consumer banking, transactional, and other data from banks and other financial institutions. Open banking is the practise of granting access to banking transactions and other data from banks and financial institutions to third-party payment service and other financial service providers in order to facilitate secure interoperability in the banking industry. Open banking exposes consumers to both potential benefits and substantial risks as more of their data is shared broadly.
Attributes | Details |
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Study Period | 2018-2028 |
Base Year | 2022 |
Forecast Period | 2023-2028 |
Historical Period | 2018-2022 |
Unit | Value (USD Million) |
Key Companies Profiled | GoCardless (United States), Plaid Exchange (United States), Oracle (United States), Qatar National Bank (Qatar), BBVA Open Platform Inc. (United States), Credit Agricole (France), DemystData (United States), Figo GmbH (Germany), Mastercard (United States) and Finastra (United Kingdom) |
Customization Scope | Avail customization with purchase of this report. Add or modify country, region or narrow down segments in the final scope subject to feasibility |
AMA Research follows a focused and realistic research framework that provides the ability to study the crucial market dynamics of major and emerging geographies across the world. Moreover, an in-depth assessment is mostly conducted by our analysts on geographical regions to provide clients and businesses the opportunity to dominate in niche markets and expand in emerging markets across the globe. This market research study also showcases the spontaneously changing Players landscape impacting the growth of the market. Furthermore, our market researchers extensively analyze the products and services offered by multiple players competing to increase their market share and presence.
Key Players of Open Banking Systems Market Study:
GoCardless (United States), Plaid Exchange (United States), Oracle (United States), Qatar National Bank (Qatar), BBVA Open Platform Inc. (United States), Credit Agricole (France), DemystData (United States), Figo GmbH (Germany), Mastercard (United States) and Finastra (United Kingdom)
Open Banking Systems Market Segment Analysis
Scope | Sub-Segments |
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Type | Hybrid, Cloud and Others |
End Users | Adult,Teenagers,Others |
Distribution Channel | Bank,App,Distributer,Others |
Services Type | Information Services,Transaction Services,Communication Services |
Influencing Trend:
The Digital Payment System Is Rapidly Expanding As New Payment Methods Rise and Big Data Analysis in Banking System
Market Growth Drivers:
The Rising Demand of Online Application for Making Payment, Rising Adoption of Online Payment App and Rising Rapidly Adoption of E-Commerce’s Platform
Challenges:
Application Programing Interface Performance and Reliability, Low Identity Management, Lack of Compliance Standards and Higher Security Risks
Restraints:
Increasing Concerns about Data Security and Rising Cases of Online Financial Fraud
Opportunities:
Firms Can Use New Technologies to Reduce Costs, Opportunity for New Business Channel with Expanded Product Offerings and Faster Time to Market for New Products
Some of the other players that are also part of study are FormFree (United States), Jack Henry & Associates, Inc. (United States) and Mambu GmbH (Germany). The Global Open Banking Systems market is gaining huge competition due to involvement of United States companies that constantly invest in research & development to meet market expectation with new innovation.
Latest Industry Highlights:
On 21 June 2022 Qatar National Bank launches open banking platform for fintechs. Qatar National Bank (QNB) has expanded access to its open banking platform, making it available to the bank's customers, partners, and fintechs in the country. According to QNB, its open banking APIs have the potential to transform the fintech landscape in Qatar and aid in the development of "innovative futuristic solutions" for nationals, residents, and visitors to the country. Customers, fintechs, and third-party providers will gain access to QNB's core financial services, allowing them to securely share customer data and facilitate payments between organisations
In 2021 MasterCard buys Aiia to augment open banking capabilities. MasterCard has completed its acquisition of open banking technology provider Aiia for an undisclosed sum. The acquisition of Aiia will strengthen MasterCard’s open banking technology, as well as its existing distribution channels, technology, and data practises. Aiia's API is linked to over 2,700 banks in Europe, according to MasterCard. Its clients include banks, fintechs, accounting system providers, and payment companies.
Europe: In Europe, the revised Payment Services Directive (PSD2) applies to banks and e-money providers and makes third-party access to transactional data and payment operations easier. Banks have the option of developing APIs, which, while not standardised, must be approved by authorities. To aid implementation, industry groups such as The Berlin Group have developed their own API standards. Mexico's Fintech Law, on the other hand, applies to almost all types of financial entities as well as transactional and product data, but not payment operations. Authorities are developing common API standards.
Research Methodology:
The top-down and bottom-up approaches are used to estimate and validate the size of the Global Open Banking Systems market.
In order to reach an exhaustive list of functional and relevant players, various industry classification standards are closely followed such as NAICS, ICB, SIC to penetrate deep into important geographies by players, and a thorough validation test is conducted to reach the most relevant players for survey in Open Banking Systems market.
Identification of total players or companies operating in the global market which is further concentrated to fewer or most impacting players which are considered under the reports scope. In order to make a priority list sorting is done based on revenue generated based on the latest reporting with the help of paid databases such as Factiva, Bloomberg, etc.
Finally the questionnaire is set and specifically designed to address all the necessities for primary data collection after getting prior appointment by targeting key target audience that includes Open Banking Systems provider, Investor, New Entrance, Government Bodies, Corporate Entities and Others.
This helps us to gather the data for the players revenue, operating cycle and expense, profit along with product or service growth, etc.
Almost 70-80% of data is collected through primary medium and further validation is done through various secondary sources that include Regulators, World Bank, Association, Company Website, SEC filings, OTC BB, Annual reports, press releases etc.