{"id":29691,"date":"2023-01-12T18:16:17","date_gmt":"2023-01-12T18:16:17","guid":{"rendered":"https:\/\/mailinvest.blog\/index.php\/2023\/01\/12\/qa-nasdaqs-journey-to-transform-the-capital-markets-industry\/"},"modified":"2023-01-12T18:16:17","modified_gmt":"2023-01-12T18:16:17","slug":"qa-nasdaqs-journey-to-transform-the-capital-markets-industry","status":"publish","type":"post","link":"https:\/\/mailinvest.blog\/index.php\/2023\/01\/12\/qa-nasdaqs-journey-to-transform-the-capital-markets-industry\/","title":{"rendered":"Q&A: Nasdaq’s journey to transform the capital markets industry"},"content":{"rendered":"

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Nasdaq Inc.<\/a>\u00a0and Amazon Web Services Inc. have had a 12-year relationship, and their partnership announcement in 2021<\/a>\u00a0indicated that they wanted to create a blueprint on how to transform the entire capital markets industry.<\/p>\n

So how are they doing, and what has the last year been like as they continue to take on this goal?<\/p>\n

Brad Peterson<\/a> (pictured, left), executive vice president, chief information officer and chief technology officer at Nasdaq, and Scott Mullins<\/a> (pictured, right), general manager for worldwide financial services at AWS,\u00a0spoke with theCUBE analysts\u00a0Lisa Martin<\/a>\u00a0and\u00a0Dave Vellante<\/a>\u00a0at the recent\u00a0<\/span>AWS re:Invent<\/span><\/a>\u00a0conference, during an exclusive broadcast on theCUBE, SiliconANGLE Media\u2019s livestreaming studio.\u00a0(* Disclosure below.)<\/i><\/span><\/p>\n

They discussed the ways Nasdaq has moved to the cloud over the past year.\u00a0<\/span>[The following content has been condensed for clarity.]<\/span><\/i><\/p>\n

Martin: Get us up to speed on what happened last year and where you are now.<\/strong><\/p>\n

Peterson: We made the commitment that we were going to move our markets to the cloud. Everyone said \u2026 the last frontier to be moved was the actual matching \u2014 where all the messages, the quotes get matched together to become confirmed orders. And we said we were going to move one of our options markets \u2014 in the U.S., we have six of them \u2014 and options markets are the most challenging. They\u2019re the most high volume and high performance. [On Nov. 7, 2022], we are live, we\u2019re in production. We started with a phased launch of symbols, so you kind of allow yourself to make sure you have all the functionality working, then you add some volume on it, and we are going to complete the conversion [soon].<\/p>\n

Mullins: Many times people will ask me, \u2018Who\u2019s using cloud well? Who\u2019s doing well in the cloud?\u2019 And Nasdaq\u00a0<\/span>is an easy example to point to of somebody who\u2019s truly taking advantage of these capabilities \u2014 because the cloud isn\u2019t a place; it\u2019s a set of capabilities. And so this is a shining example of how to use these capabilities to actually deliver real business benefit \u2014 not just to your organization, but \u2026 the market technology piece of how you\u2019re serving other exchanges.<\/p>\n

Vellante: So talk about how you actually do that. Is it all in the cloud? Paint a picture of what the architecture looks like. <\/strong><\/p>\n

Peterson: So we look at this as a modernization of the capital market infrastructure, but we happen to be the leading technology provider for other markets around the world. So you either build your own or you source from us. So we took the edge compute that was announced a few years ago, [AWS Outposts<\/a>], and we were one of their early customers. So we started immediately to \u2026 jointly innovate with Amazon. And we said, \u2018This looks interesting for us.\u2019 So we extended the region into our \u2026 [Equinix NY11 Data Center]\u00a0in northern New Jersey, which gave us all the services that we know and love from Amazon. So our technical operations team has the same tools and services, but then we\u2019re able to connect because in the markets, what we\u2019re doing is we need to connect fairly.<\/p>\n

Vellante: You had alternatives. So why did you choose Outposts?<\/strong><\/p>\n

Peterson: We saw this ability to grow the cloud geographically. And, of course, we\u2019re in Sweden, so we \u2026 work with the AWS region in Stockholm, but not every country has a region yet. So we saw it as an investment that Amazon had to grow the geographic footprint, and we have customers in many smaller countries that don\u2019t have a region today.<\/p>\n

Mullins: This is our opportunity to bring the cloud \u2026 to an existing ecosystem. And if you think about Nasdaq\u2019s<\/span>\u00a0data center \u2026 there\u2019s an ecosystem of Nasdaq<\/span>\u2018s clients there that are there to be with Nasdaq<\/span>, and so it was actually much easier for us as we worked together over \u2026 a four-year period thinking about this and how to make this technological transition to actually bring the capabilities to that ecosystem, rather than trying to bring the ecosystem to AWS in one of our public regions. And so that\u2019s been our philosophy with Outposts all along \u2014 is actually extending our capabilities that our customers know and love into any environment that they need to be able to use that in.<\/p>\n

Here\u2019s the complete video interview, part of SiliconANGLE\u2019s and theCUBE\u2019s coverage of <\/span>AWS re:Invent<\/span><\/a>:<\/span><\/p>\n