Customize Consent Preferences

We use cookies to help you navigate efficiently and perform certain functions. You will find detailed information about all cookies under each consent category below.

The cookies that are categorized as "Necessary" are stored on your browser as they are essential for enabling the basic functionalities of the site. ... 

Always Active

Necessary cookies are required to enable the basic features of this site, such as providing secure log-in or adjusting your consent preferences. These cookies do not store any personally identifiable data.

No cookies to display.

Functional cookies help perform certain functionalities like sharing the content of the website on social media platforms, collecting feedback, and other third-party features.

No cookies to display.

Analytical cookies are used to understand how visitors interact with the website. These cookies help provide information on metrics such as the number of visitors, bounce rate, traffic source, etc.

No cookies to display.

Performance cookies are used to understand and analyze the key performance indexes of the website which helps in delivering a better user experience for the visitors.

No cookies to display.

Advertisement cookies are used to provide visitors with customized advertisements based on the pages you visited previously and to analyze the effectiveness of the ad campaigns.

No cookies to display.

Connect with us

Hi, what are you looking for?

slide 3 of 2
THE BIZNOB – Global Business & Financial News – A Business Journal – Focus On Business Leaders, Technology – Enterpeneurship – Finance – Economy – Politics & LifestyleTHE BIZNOB – Global Business & Financial News – A Business Journal – Focus On Business Leaders, Technology – Enterpeneurship – Finance – Economy – Politics & Lifestyle

Technology

Technology

Australian stock exchange picks India’s TCS to rebuild software after earlier flop

A board displaying stock prices is adorned with the Australian Securities Exchange (ASX) logo in central Sydney, Australia, February 13, 2018. Picture taken February 13, 2018. REUTERS/David Gray/File Photo
A board displaying stock prices is adorned with the Australian Securities Exchange (ASX) logo in cen... A board displaying stock prices is adorned with the Australian Securities Exchange (ASX) logo in central Sydney, Australia, February 13, 2018. Picture taken February 13, 2018. REUTERS/David Gray/File Photo
A board displaying stock prices is adorned with the Australian Securities Exchange (ASX) logo in central Sydney, Australia, February 13, 2018. Picture taken February 13, 2018. REUTERS/David Gray/File Photo
A board displaying stock prices is adorned with the Australian Securities Exchange (ASX) logo in cen... A board displaying stock prices is adorned with the Australian Securities Exchange (ASX) logo in central Sydney, Australia, February 13, 2018. Picture taken February 13, 2018. REUTERS/David Gray/File Photo

Listen to the article now

After abandoning a highly criticized blockchain-based attempt, Australian stock exchange operator ASX (ASX.AX) said that it has contracted Tata Consultancy Services (TCS) (TCS.NS) to revamp its clearing and settlement software. This decision will require less customization.

The move represents a significant shift from its much-publicized 2017 announcement that it would be at the forefront of implementing blockchain-like technology in crucial financial architecture. That announcement was eventually scrapped last year after experiencing many delays.

Additionally, it reflects a more cautious approach: instead of the “big bang” shift that its users deemed dangerous, ASX will transition to the new platform gradually. That will take time, though, since the refurbishment is scheduled to be completed in 2029, or around 13 years after it started.

Listed in India According to the Australian exchange on Monday, TCS’s software is utilized by exchanges worldwide, notably in Finland and Canada, for tasks expected of ASX’s Clearing House Electronic Subregister System, or CHESS.

On a conference call with analysts and the media, ASX Chief Information Officer Tim Whiteley stated, “They have a mature product and technology that they use to support quite a lot of customers.”

“The amount of customization is minimized,” he stated. The contract with ASX was described as “an affirmation of our track record in this mission-critical business” by TCS’s president of banking products, Vivekanand Ramgopal.

A previous blockchain-based initiative by ASX failed after an external evaluation revealed that a large portion of the code needed redone. On Monday, Digital Asset, the startup from New York that it had employed at the time, declined to comment.

A$176.3 million was written down due to the incident, which also caused market players to lose faith in ASX, the 17th-largest exchange in the world, with companies valued at a combined A$1.6 trillion ($1 trillion).

Additionally, it prompted the Australian Securities and Investments Commission (ASIC) to launch a probe into the project disclosures made by the exchange.

ASIC Chair Joe Longo stated, “This is an important decision by ASX, but there is still a long way to go to deliver a CHESS replacement.” “It will be critical for ASX to now focus on engaging with the market on the detailed design of the CHESS replacement program with a realistic and achievable timeline for implementation,” Longo stated.

The status of the ASX inquiry was not mentioned in the ASIC statement, and an ASIC spokeswoman was not immediately available for comment.

In afternoon trading, ASX equities saw a 1.7% increase. Notwithstanding their worries, analysts praised the project reset.

“While this decision marks a positive strategic step forward for ASX, the lengthy implementation timeframe and lingering uncertainty over medium-term operating costs and capex implications continue to cloud the cost outlook,” Jarden analysts wrote in a note to clients.

According to ASX, the clearance software phase of the new project will likely cost between A$105 million and A$125 million, with a delivery window of about 2026. In 2024, decisions will be made about the settlement’s cost, timeline, and other software.


Comment Template

You May Also Like

Business

MSG Networks has returned to Optimum after a nearly two-month blackout, restoring Knicks and Rangers coverage for frustrated fans. The new deal places MSG...

Business

Alphabet has introduced **Premium Lite**, a lower-cost YouTube subscription offering ad-free videos (excluding music). This move aims to expand YouTube’s subscriber base and reduce...

Business

India has been named the best solo travel destination for 2025 by Kensington, thanks to its rich culture, history, and diverse experiences. From the...

Business

Warren Buffett's Berkshire Hathaway has aggressively sold stocks, amassing a record $334 billion in cash. Major divestments include Apple and Bank of America, while...

Notice: The Biznob uses cookies to provide necessary website functionality, improve your experience and analyze our traffic. By using our website, you agree to our Privacy Policy and our Cookie Policy.

Ok