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World FinTech Report 2019: The Industry is Transitioning from Open Banking to “Open X”



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Driven by four fundamental market shifts, the industry is moving
to a shared marketplace that demands improved collaboration and

FinTech Report (WFTR) 2019
, published today by Capgemini
indicates that even though Open Banking has yet to reach maturity, the
financial services industry is entering a new phase of innovation –
referred to as “Open X” – that will require deeper collaboration
and specialization. The report advocates that banks and other financial
services ecosystem players must begin to plan accordingly and evolve
their business models.

The WFTR 2019 identifies a dual challenge: FinTechs are
struggling to scale their operations and banks are stalling on FinTech
collaboration. As a result, industry players are looking to leapfrog
beyond Open Banking towards Open X, which is a more effective,
structured form of collaboration, facilitated by Application Program
Interface (API)1 standardization and shared insights from
customer data. The era of Open X will create an integrated marketplace,
with specialized roles for each player that will enable a seamless
exchange of data and services, improving customer experience, and
expediting product innovation.

Key findings of the report include:

Open X will transform industry norms and assumptions

The advent of Open X is being driven by four fundamental shifts:

  • A move away from a focus on products to an emphasis on customer
  • The evolution of data as the critical asset
  • A shift from prioritizing ownership to facilitating shared access
  • Emphasis on partnering to innovate instead of buying or building new

Open X will lead the financial services industry to a shared ecosystem
or marketplace, in which the industry reintroduces the re-bundling of
products and services, and both banks and FinTechs must re-evaluate
their strategy for innovation and serving customers.

APIs will be critical Open X enablers

APIs, which allow third parties to access bank systems and data in a
controlled environment, will be catalysts to creating the Open X
marketplace. While customer data is already widely shared and leveraged
in the industry, standardized APIs are not commonplace. Although
requirements and regulations are complex, standardization will help to
reduce fraud, improve interoperability, increase speed to market, and
enhance scalability.

The WFTR 2019 also finds that industry players are looking at two
potential monetization models for APIs – revenue-sharing (which 60% of
banks and 70% of FinTechs think is feasible) and API access fees
(supported by 46% of banks and 55% of FinTechs). However, only about a
third of banking executives said they are currently well equipped to
monetize APIs.

Privacy, security and collaboration concerns may slow progress

While banks and FinTechs said they understand the importance of
collaboration, apprehension over privacy and security remain top of
mind. When asked what concerns them about Open Banking, the vast
majority of banks identified data security (76%), customer privacy
(76%), and loss of control of customer data (63%). FinTechs were more
optimistic about Open Banking, but 50% expressed fears over security and
privacy, and 38% over the loss of control of customer data.

When asked about roadblocks to effective collaboration, 66% of banks and
70% of FinTechs pointed to a difference in the other’s organizational
culture/mind-set, 52% of banks and 70% of FinTechs mentioned process
barriers, and a lack of long-term vision and objectives were listed as
gates by 54% of banks and 60% of FinTechs. Only 26% of bank executives
and 43% of FinTech leaders said they had identified the right Open
Banking collaboration partner. These responses suggest that many banks
and FinTechs remain unprepared for Open Banking, let alone for the
increased demands of data sharing and integration that Open X will bring.

Open X participants must choose strategic, specialty-based roles

Within the Open X marketplace, banks will need to enhance their
integrated (traditional) model first and then focus on areas of
specialized strength. The WFTR 2019 identifies three strategic roles
expected to evolve as a part of Open X:

  • Suppliers will develop products and services;
  • Aggregators will amass products and services from the
    marketplace and distribute them through internal channels, holding
    onto customer relationships;
  • Orchestrators will act as market connectors and coordinators,
    facilitating partner interactions.

According to the report, integrated firms2 are likely to
struggle to match the time to market of an ecosystem of specialists and
find it challenging to meet the unique demands from customers. Within
the Open X marketplace, many incumbents may not be best positioned to
compete as an Orchestrator and their strengths may lead them to other
roles. No matter what role they assume in Open X, however, they must
recruit the right talent, leverage data and technology, and collaborate
with FinTechs to first ensure better internal capabilities for
competitive delivery of relevant services in the current Open Banking

“Open Banking has long been regarded as transformational for
financial services, but this report shows it is just one part of a much
bigger picture,”
said Anirban Bose, CEO of Capgemini’s Financial
Services and Member of the Group Executive Board. “The industry is on
the verge of a more comprehensive evolution, where there is opportunity
to leapfrog into an integrated marketplace that we are calling Open X.

In Open X, there will be seamless sharing of data, and ecosystem
partners will be able to collaborate in a far more comprehensive way.
Our research suggests that banks and FinTechs need to prepare themselves
for a more radical change than many previously anticipated.”

“The findings of the report could not be clearer: collaboration will
be the foundation of the future of financial services,”
said Vincent
Bastid, Secretary General of Efma. “In the era of Open X, ecosystem
players will have to work together more effectively than they have
previously. Only by embracing collaboration and new, specialist roles
can both banks and FinTechs thrive and best serve their customers. It’s
clear that many barriers to collaboration still exist, and there is an
urgent need to overcome them for collective benefit.”

Report methodology

The World FinTech Report 2019 is based on a global survey
encompassing responses from 116 traditional financial services firms and
40 FinTech firms including banking and lending, payments and transfers,
and investment management. Questions sought to yield perspectives from
both FinTech and traditional financial services firms— exploring the
emergence of Open Banking in the financial services industry. It sheds
light on the impact the new ecosystem will have on all the stakeholders,
the challenges and concerns that firms will face, and the emergence of
new businesses and monetization models in this space.

About Capgemini

A global leader in consulting, technology services and digital
transformation, Capgemini is at the forefront of innovation to address
the entire breadth of clients’ opportunities in the evolving world of
cloud, digital and platforms. Building on its strong 50-year heritage
and deep industry-specific expertise, Capgemini enables organizations to
realize their business ambitions through an array of services from
strategy to operations. Capgemini is driven by the conviction that the
business value of technology comes from and through people. It is a
multicultural company of over 200,000 team members in more than 40
countries. The Group reported 2018 global revenues of EUR 13.2 billion.

Visit us at
People matter, results count

About Efma

A global non-profit organization, established in 1971 by banks and
insurance companies, Efma facilitates networking between
decision-makers. It provides quality insights to help banks and
insurance companies make the right decisions to foster innovation and
drive their transformation. Over 3,300 brands in 130 countries are Efma

Headquarters in Paris. Offices in London, Brussels, Andorra, Stockholm,
Bratislava, Dubai, Milan, Montreal, Istanbul, Beijing, Tokyo and
Singapore. Learn more

Application programming interface (API) refers to a set of functions and
procedures that a player opens to the external world to allow the
creation of applications that access the features or data of an
operating system, application, or other service.
Integrated firms refer to the firms that perform all the functions on
their own without collaborating or leveraging other firms in the
ecosystem. Many of the banks in the current ecosystem are integrated
firms as they build, produce, and distribute their own products for all
business lines (without leveraging FinTechs or other players in the


Capgemini Press Contacts:
Mary Sacchi (North America)
Communications for Capgemini

Tel.: +1 (212) 551 4818

Liz Fletcher (EMEA)
WE Communications for Capgemini
+44 (0) 20 7632 3816


Efma Press Contact:
Anna Quinn
Tel.: +33 1 47
42 6771



IMCC Appoints Yaron Berger as CEO of IMC Holdings



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IM Cannabis Corp. (the “Company” or “IMCC”) (CSE: IMCC), one of the world’s pioneering medical cannabis companies with operations across Europe, is pleased to announce the appointment of Yaron Berger as Chief Executive Officer of I.M.C. Holdings Ltd. (“IMC“), the Company’s wholly-owned operating subsidiary in IsraelOren Shuster will remain the Chief Executive Officer of IM Cannabis Corp.

Mr. Berger brings more than 10 years of experience in various senior roles both in public and private sectors, leading large-scale operations. Most recently, Mr. Berger was the Chief Executive Officer of Telepharma Ltd. (“Telepharma,” doing business as epharma), a leading wholesaler, direct marketer of prescription drugs and chain of pharmacies in Israel. At Telepharma, among other accomplishments, Mr. Berger re-branded its digital platform and transformed the customer experience. As an early entrant into the medical cannabis sector, Mr. Berger also established Greenpharma under Telepharma, a full-service distributor, patient counselling service provider and online resource for medical cannabis patients in Israel. Prior to his experience in the pharmaceutical sector, Mr. Berger served as the Chief Operating Officer of the National Police Academy and spent over 20 years in the Israeli Air Force, most recently as a Lieutenant Colonel.

Oren Shuster, Chief Executive Officer of IMCC said “Yaron is uniquely qualified to lead our Israeli operations under the new medical cannabis regulatory regime, which requires a high level of engagement and education for the country’s pharmacists on the benefits of medical cannabis. Yaron was an early mover in identifying the opportunity in medical cannabis and we are very excited to benefit from his expertise in the pharmacy channel to maintain IMC’s status as a leading medical cannabis brand in Israel.”

“I am thrilled to be joining the IMC team, who I have known as a leader in the medical cannabis market in Israel over the past ten years,” said Mr. Berger. “The IMC brand is synonymous with quality and innovation. The new medical cannabis reform in Israel presents a significant opportunity for the Company and the IMC brand to further elevate its market position as the preferred medical cannabis brand for physicians, pharmacists and patients.”


SOURCE IM Cannabis Corp.

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LCBO’s bottom line proves privatized alcohol sales a bad idea: OPSEU’s Thomas



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The LCBO’s latest profits show the Crown corporation’s value to the people of Ontario, OPSEU President Warren (Smokey) Thomas said Friday.

In its 2018/2019 annual report released Thursday, the LCBO is reporting earnings of $2.37 billion on total revenue of $6.39 billion.

Thomas said those profits go to the provincial government and pay for vital public services like health, education and highways.

“This is why the Ford government should rethink allowing corner stores and grocery stores to sell more alcohol,” said Thomas.  “Is saving folks a 10 minute drive in some cases worth jeopardizing their health care?”

OPSEU represents LCBO workers and Thomas says these frontline professionals deserve the credit for the corporation’s continued success.

“The reason the LCBO is the gold standard in selling alcohol responsibly is because of OPSEU members who make sure alcohol isn’t sold to minors or intoxicated people,” said Thomas.

“They also provide customer service that is second to none and they’re the ones who have made the LCBO a success story.”

As he read the LCBO report, OPSEU First Vice-President/Treasurer Eduardo (Eddy) Almeida reflected on the Ford government’s decision to take the sale of legalized cannabis away from the Crown Corporation.

“Think of what the LCBO’s profits would have been if Premier Ford hadn’t scrapped the plan of the former Liberal government?” said Almeida.   “I’ve put together a lot of budgets and I know how tough an exercise it is.”

“It still makes me shake my head that a government that claimed it had catastrophic financial problems would turn down massive amounts of revenue and go on the misguided course that the Conservatives took. Really? Wow.”

Almeida says municipalities who voted to opt out of Doug Ford’s foolish cannabis privatization plan should stand firm and demand a responsible plan.

“The LCBO continues to prove it’s the best option to keep controlled substances out of the hands of minors,” said Almeida.  “Municipalities and Ontarians in general should continue to demand a responsible plan and just say no to Doug’s. After all, a little competition wouldn’t be a bad thing would it?”

SOURCE Ontario Public Service Employees Union (OPSEU)

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Base Oil Market Worth $39.6 Billion by 2024 – Exclusive Report by MarketsandMarkets™



According to the new market research report Base Oil Market by Group (Group I, Group II, Group III, Group IV, Group V), Application (Automotive Oil, Industrial Oil, Hydraulic Oil, Grease, Metalworking Fluid), Region (North AmericaEuropeAsia PacificSouth America, MEA) – Global Forecast to 2024″, published by MarketsandMarkets, the Base Oil Market is projected to grow from USD 33.7 billion in 2019 to USD 39.6 billion by 2024, at a CAGR of 3.3% from 2019 to 2024. The growing demand for high-grade oils in the automotive industry, as well as the increasing GDP in Asia Pacific driven by increasing industrial activities are key factors fuelling the growth of the base oil market across the globe.

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Group II segment to lead the base oil industry from 2019 to 2024

Based on group, the base oil market has been segmented into Group I, Group II, Group III, Group IV, and Group V. The Group II segment accounted for the major share of the market in 2018. Group II base oil can be employed in a multitude of applications, such as marine and gas engines, in trunk piston engine oils, and other applications in the base oil industry. The high consumption of Group II base oil is mainly attributed to its higher performance and affordability in comparison to the other groups of base oil. Thus, the Group II segment is likely to lead the market during the forecast period.

Automotive oil application segment to lead the base oil market during the forecast period

Based on application, the automotive oil segment led the base oil industry in 2018. This segment is also expected to witness significant growth during the forecast period owing to the rise of the automotive sector in developing countries, such as India and China. Population growth in the Asia Pacific region is increasing the demand for automobiles, which is, in turn, driving the market for automotive oils.

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Asia Pacific base oil market projected to witness the highest CAGR

Among regions, the Asia Pacific base oil market is projected to register the highest CAGR from 2019 to 2024. IndiaChinaIndonesia, and Japan are key countries contributing to the increased demand for lubricants, and in effect base oil, in this region. Increasing GDP led by the rising industrial activities in Asia Pacific has increased the demand for base oil in the region. The growth of transportation, power generation, mining, and other sectors is also responsible for the rise in demand for base oil in the Asia Pacific region.

Chevron Corporation (US), Exxon Mobil Corporation (US), S-OIL Corporation (South Korea), Motiva Enterprises LLC (US), SK innovation Co., Ltd. (South Korea), Royal Dutch Shell plc (Netherlands), Neste Oyj (Finland), AVISTA OIL AG (Germany), Nynas AB (Sweden), Repsol S.A. (Spain), Ergon, Inc. (US), Calumet Specialty Products Partners, L.P. (US), H&R Group (Germany), Sinopec Corp. (China), PetroChina Company Limited (China), Saudi Aramco (Saudi Arabia), Abu Dhabi National Oil Company (ADNOC) (UAE), PT Pertamina (Persero) (Indonesia), Phillips 66 (US), Petroliam Nasional Berhad (PETRONAS) (Malaysia), GRUPA LOTOS S.A. (Poland), Sepahan Oil (Iran), GS Caltex Corporation (South Korea), and Hindustan Petroleum Corporation Limited or HPCL (India) are some of the leading players operating in the Base Oil Market. These players have adopted the strategies of agreements, expansions, new product launches, acquisitions, collaborations, contracts, investments, and divestments to enhance their position in the market.

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Related Reports :

Lubricants Market

by Base Oil (Mineral Oil, Synthetic Oil, Bio-based Oil), Product Type (Engine Oil, Hydraulic Fluid, Metalworking Fluid), Application (Transportation and Industrial lubricants), Region – Global Forecast to 2024

Industrial Lubricants Market by Base oil (Mineral Oil, Synthetic Oil, Bio-based Oil), Product Type (Hydraulic Fluid, Metalworking Fluid), End-use Industry (Construction, Metal & Mining, Power Generation, Food Processing), Region – Global Forecast to 2024


SOURCE MarketsandMarkets

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