60 second interview with Alessandro Hatami

After the Digital Banking Live Debate we caught up with Alessandro to see if he would personally bank with one of the GAFAs

Q: In 5 years, with which channel are you most likely to engage with your current account provider? WhatsApp/ Facebook Messenger, Amazon Alexa/ Siri or an App from your Bank?

A: All three but with different reasons: Whatsapp to pay friends, kids and some merchants (especially restaurants), Alexa to check my balance, Amazon to look for simple financial products (travel insurance, forex, etc) and my bank app to do the more complex stuff (mortgage, investments etc)

Q: Would you switch from your current current account provider to one from a GAFA? 

A: Yes

Q: Which GAFA?

A: Amazon and Apple

Q: Do you think its likely one of the GAFAs will apply for a Banking Licence in the next 5 years? 

A: Yes – Which ones will do it will depend on what the regulators decide to do

Q: When it comes to exploiting Open Banking, who provides a bigger threat to the incumbents? The GAFAs or The Challenger Banks? Or maybe something else entirely?

A: I see GAFA and BAT (Baidu, Alipay and Tencent) as the major threat. But they will not kill the banks but simply make them smaller and less profitable by commoditising their offering and dis-intermediating them from their customers.