Industry executives and experts share their predictions for 2025. Read them in this 17th annual VMblog.com series exclusive.
By Matt Tengwall, SVP and Global GM, Verint
Financial institutions have been pushed to adapt to a rapidly shifting landscape, influenced heavily by technological advancements and rising customer expectations. As the industry evolves, the need for seamless, secure, and efficient operations is redefining how these businesses engage with their customers. Moving into 2025, cloud-based solutions, advanced security measures, and proactive compliance strategies have become foundational for staying competitive in today’s demanding market.
Embracing Digital Transformation
Cloud technology has been a game-changer for financial institutions, transforming the services offered to clients and how those services are delivered. Rather than focusing on moving everything to the cloud, institutions are finding value in targeted applications that enhance efficiency and accessibility. This gradual approach allows banks to test and measure specific metrics without the need for large upfront investments.
Insights from institutions highlight three key cloud priorities: reducing the complexity of managing applications, ensuring easier access to live and recorded video, and leveraging the computing power of the cloud for advanced analytics. Additionally, the ability to securely share video internally and externally – whether with law enforcement or executive teams – has become a notable benefit of cloud platforms. A once cumbersome task now requires nothing more than sending a secure link.
According to a Deloitte study, 90% of companies see cloud technology as essential for growth, digital transformation, and staying competitive in the marketplace. For companies such as financial institutions, this reliance on the cloud translates to more streamlined operations, better customer experiences, and the ability to pivot in an ever-changing landscape.
But understanding the pace at which financial institutions adopt cloud technologies has been a critical focus. Technology providers must work closely with banks and credit unions to integrate cloud capabilities in a way that aligns with their goals and priorities, fostering confidence rather than intimidation.
Security in the Digital Age
Security remains a top priority as threats evolve. Financial institutions continue to deal with rising issues like ransomware, phishing, and physical security risks, such as ATM theft and branch robberies. The 2023 survey by Sophos revealed that ransomware attacks in the financial services sector increased from 55% in 2022 to 64%, nearly doubling the 34% reported in 2021.
Privacy concerns have been a significant focus in advancing cloud adoption. Automated tools that redact sensitive details like faces or license plates ensure compliance while mitigating risks.
Managing these shifting threats requires strong, adaptable solutions offering more than passive protection. AI has been a driver for banks to adopt a forward-thinking strategy. For example, video analytics can detect unauthorized access attempts or tampering of an ATM before damage or loss occurs. Stakeholders can also use AI to identify repeated suspicious activity at branches or operational inefficiencies that inform decisions on staffing and layout optimization. AI can also help actively monitor and provide instant alerts, enabling security teams to respond quickly and effectively.
VMS and Enhanced Analytics
Video surveillance has reshaped how financial institutions approach security and operational efficiency. Modern video management solutions centralize control, allowing banks to manage video feeds across multiple branches in real-time and generate actionable intelligence from their surveillance data.
Enhanced video capabilities take this further by detecting patterns and anomalies that inform decision-making. For instance, analytics can identify high-risk areas within branches or see when a client is waiting too long for a representative. These capabilities empower banks to shift from reactive to proactive security measures.
By integrating video with the cloud, banks can take their data-sharing capabilities one step further. Simplifying video sharing also eases the investigation process, and banks can easily share video data with other banks and law enforcement agencies. This creates a stronger community based on collaboration.
Moving Forward in 2025
As we head into 2025, financial institutions are adapting their strategies through cloud integration, advanced security measures, AI enhancements, and a stronger focus on compliance and customer needs. Anticipating industry shifts and leveraging digital tools enables banks to mitigate risks, improve operations, and meet rising customer expectations. Institutions prioritizing adaptability and innovation will build trust and thrive in an increasingly complex and fast-moving financial environment. The future does look bright.
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ABOUT THE AUTHOR
Matt Tengwall is the Vice President and General Manager of Fraud and Security Solutions at Verint Systems. Before this role, he was Vice President of Sales in the North American market for Verint. Over the course of his career, he has focused on building strong strategic partnerships and alliances, creative sales strategies, and educational tools for customers.
