Papillon

Atos & TechQuartier

FinTech Engagement Programme

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Atos is a Leader in FinTech

We are proud to say

For full report, click here

FinTech is shaping FS fromthe outside in

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Digital Transformation & Financial Services

The high street is legacy

• 75% of branches have disappeared

• Smaller players sharemulti-brand ‘hub’ stores

• Appointments have been replaced by video chat

Paper and post –marginal & declining

• Post is the last resort

• Having to use post causes customer dissatisfaction

• Postal customers are increasingly disadvantaged

Retail banking –new tech & new players

• 95% of customer interactions

are digital

• New entrants sell more than traditional retail banks

• Money moves in real-time

Customers are always connected,omni-device and omni-channel

• They expect rich, personal, frictionfree experiences in real-time

• They are connected by data, voice, video, and messaging - 24/7

• Their devices are interconnected in personal ecosystems

Customer expectationscontinue to grow

• 66% of younger customers don't

have a traditional bank account

• 97% of customers prefer

to self-serve withouttalking to an agent

• Customers expect most digital queries to be resolved in real-time

No bank is an island

• Banks are increasingly connected into platforms and ecosystems

• Niche players bond togetherin competition againstbig do-it-all banks

• Banks play to their strengths as distributors or as product factories

Customers own their identity

• Customers set up secure and trusted digital identities from many providers

• They can use these across the spectrum of digital services

• Biometrics and mobile device signatures make authentication simple

Automated intermediaries offermass-market wealth management

• Robo-advisers make wealth management a low-cost and mass-market

• Amazon-like portals recommend,sell and aggregate savings

• They undercut current dominant propriety players

Compliance is embedded

• Regulator increasingly monitors the whole product lifecycle

• Regulator representatives ‘intern’at banks to assure optimal compliance

• Customers have greater control over privacy and personal data

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With digital, banks and insurers evolve from product centric to customer service centric

Digital Transformation in Financial Services

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FinTechs play a significant role in the Atos Group strategy to drive the Digital Transformation for Financial Services

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FinTech is shaping FS from the outside in

Market Challenge

Customer expectations are evolving due to

recent technological innovations

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Fintechs are continually entering the banking market with new & partially

disruptive offers

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Source: CB InsightSource: temenos

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In FinTech engagement, time to market is key

Market Challenge

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The Bank-Fintech relationship is moving towards cooperation models

Market Challenge

• Expertise in regulation• Customer’s trust• Client reach

• Speed of innovation• User experience• Customer understanding

Bank strengths FinTechs strengthsBetter togetherInvestments in Fintechsin Mio

AggressiveCooperative

Source: Accenture

Ben Robinson, Temenos:

„There are 4 strategic options open to

banks

<…>

Thus, it is the vertically integrated but

open platform model which offers the best

route to sustainably high margins.”

Source: temenos

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Collaboration with FinTech is more than just technical challenge

Market challenge

What happens if a Fintech goes bankrupt? How to ensure continuity of the solution?

How to integrate the Fintechs while using the existing ecosystems and platforms?

How can we connect to Fintech’s systems while reducing technological and regulatory risks

How to get E2E services based on various Fintech and core banking solutions?

Systems compatibility

Fintechs Bankruptcy risk

Integration

How to ensure the alignment between the Banks’s digitalization strategy and the role of the Fintechs in it? Which possible fields of actions should be prioritized?

Strategic compatibilityChallenges for FSI

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Collaboration with FSI is more than just technical challenge

Market Challenge

Funding relies on growth

Growth depends on time to market

Leadership lacks experience

Lack of time to build relations and ecosystems

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Pre-IPC RoundB RoundA RoundSeed

▶ Complete product

▶ 1 round of Institutional funding

▶ 1-2 partnerships in place

▶ Business Model in flux.

▶ Founder focused management team

▶ First commercial deal

▶ Pricing and business model

▶ Required Integrations

▶ Leading VC and CVCs in this round

▶ Nearly complete management team

▶ Traction with the customer base

▶ Multiple partnerships

▶ Multiple integrations

▶ Market expansion beyond home geography

▶ Full C-suite management team including CFO

▶ Customer base in multiple markets

▶ Scalable management teams

▶ Predictable revenue streams

▶ Profitable OR a business model with a path to profitability

Fu

nd

ing

Sta

ges

Ch

aracte

ris

tics

PotentialAtos

Client

Atos Group sweet spot to engage FinTechs

Too early for Atos Group

engagement

▶ Pre-market fit

▶ MVP

▶ Partial Management team

▶ No Institutional funding

▶ Angel Investors

▶ No scalable partnerships

Atos sweet spot to engage with FinTechs

Partnership

Papillon FinTech Engagement Programme

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Atos is proud to be part of this FinTech Community

TechQuartier Frankfurt

We are an international community, bringingtogether the greatest minds and talents fromindustry and academia. With our unique networkof corporate and technology partners, serviceproviders, investors, academic institutions andgovernment officials, we offer an idealenvironment for ambitious entrepreneurs totrade ideas and scale their business.Our numerous events and programs offer anexciting platform for trading ideas andexperimenting with future technology andbusiness models.

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Papillon Accelerator Programme

TechQuartier Frankfurt

Papillon is an accelerator programme launched in 2017 to support Fintech growth in Frankfurt in cooperation of TechQuartier and Atos Group. Together we are looking for ambitious FinTechs with a clear vision and the readiness for industrial-scale growth. We offer access to over 150 Financial Services clients and a global network of Atos Business Technology & Innovation Centers.

Hands-on Mentoring

- Papillon enables you to match your solution and technology match needs of European Bankse

Face the Challenges

- How does your solution create exiting customer experience/value?

- How secure is your solution?- How can you scale

compliant to customer and/or regulatory expectations?

Customer Journeys

- 8–10 weeks on-site team work with Atos consultants

- Part of Atos FinTech Engagement programmewith access to Atos Finlabhybrid cloud platform for DevOps, technology mashups, and continuous integration

Showcase Prototype

- POC based on a prototype of your solution, integrated in bank similar workflow and environment

- FinLab cloud blueprints will speed up your Proof of Concept – offering rapid reach to the right market.

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To participate, you must fulfill six entry criteria

Papillon Accelerator Programme

MEMBER OF TECHQUARTIER You are a TechQuartier Community member or tenant in TechQuartier on or before May 1st, 2017.

TEAM SETUP COMPLETE Your team is operational and the required roles to deliver the current product and work on the product roadmap are covered.

SEED FUNDING IN PLACEYou have taken in initial seed funding either by investors or from your own funds.

MVP DEVELOPEDA minimum viable product is completed and/or your concept has been proven in a real-world application.

CLEAR PRODUCT ROADMAPYou have a vision on how to develop your product further and concrete steps defined over the coming 6-12 months.

SEEKING MARKET ENTRYWe are looking for FinTechs with the hottest technology and value propositions and an open culture – businesses that are ready to take the practical steps generating new sources of revenue in Financial Services.

CHECKS before we can rocket-launch you digital initiatives6

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4

5

1

6

2

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5 step approach to reap joint benefits

Atos FinTech Papillon Accelerator Programme

▶ Apply via portal

o Solution description

o Market

o Technology

o Team

o Business strategy & Performance

▶ FinTech due diligence performed by Atos

▶ Selection of most promising FinTechs with fit to Atos Group Strategy

▶ Pitch and demo by FinTech to Atos FinTech Board

▶ Assessment of FinTech by Atos FinTech Board

▶ Coding efficiency check by Atos Technical experts

▶ Gather cloud requirements and blueprint possibilities

▶ Install application on Atos Hybrid Cloud dedicate to FinTech: FINLAB

▶ Hands-on mentorship and coaching of FinTech by assigned Industry Expert

▶ Orchestrate an end-to-end customer journey. Combing the FinTech with other Technologies, vendors and services

▶ Build end-to-end customer journey

▶ Include in Atos Fintech Enablement Platform as a compatible open Banking API module and connect to existing ecosystems and platforms

▶ Develop detailed go to market plan

▶ Develop joint Business case qualitatively/quantitative

▶ Set-up delivery agreements:

o Staffing

o Implementation blueprint

o Hosting

o Application Management

3 months

▶ Screened by FINNET

▶ Selected 3 FinTechs to proceed in Atos FinTech Engagement Programme

▶ Application available on Atos FINLAB

▶ End-to-End Customer Journey comprising FinTech solution available on Atos FINLAB

▶ API connection to Atos Open Banking Platforms

▶ GTM Plan

▶ Business Case

▶ Delivery Plan

Apply Onboard Integrate Market

▶ Push partnership and to market via Events, Innovation Workshops, Newsletters, Social Media

▶ Market recognition of FINTECH and FINTECH Ecosystem leadership

Evangelize

Phase

Activ

itie

sResult

Onwards

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Ap

ply

Submit Pitch Deck before 25/8/017

Pre-selection announced 15/9/2017 C

heck

poin

t 2

On

bo

ard

Selection based on an all round perspective in presenting your company and solution delivering 5

clear outcomes

1. Value demonstrated 2. A plausible GTM plan

3. Engaged stakeholders to execute the plan

4. Story of the strategy 5. Business case

Pitch Session end of September C

heck

poin

t 3

Check points

1. MEMBER OF TECHQUARTIER2. TEAM SETUP COMPLETE 3. SEED FUNDING IN PLACE4. MVP DEVELOPED5. CLEAR PRODUCT ROADMAP6. SEEKING MARKET ENTRY

Check

poin

t 1

Pre-selection of most promising FinTech stars based on Atos Due Diligence and fit to Atos Group Strategy

Timeline and how we select

Phase 1: Apply

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Rocket-launch digital initiatives to address your challenges

Papillon Benefits for FinTech

DIGITAL TRANSFORMATION

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Atos Hybrid cloud - FinLabOnboard application to FS hybrid cloud Fintech Lab (‘FinLab’) to show & tell to our clients

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Joint Customer Journey developmentCo-creation of customer journeys comprising FinTech solutions

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Fintech Enablement Platform & EcosystemInclude in Atos Fintech Enablement Platform as a compatible open Banking API module and connect to existing ecosystems and platforms

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Implementation PartnerTechnological implementation for customer (incl. integration of Fintechs and API management)

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Solution Continuity service to BanksEscrow of your services to Atos. Insurance of continuity of your solution to FSI’s

1Atos FinNet Assessment Screening by Atos to assess solution, operating model and readiness of Fintech with solutions compatible with Atos group strategic objective

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Customer FinLab / Community FinLabSet up and operate a FS hybrid cloud Fintech Lab (‘FinLab’) with selected mash-up of Fintechs of interest to Customer

2Go To Market approachAccess to 110 named global accounts -creation of joint GTM approach

Funding relies on growth

Growth depends on time to market

Leadership lacks experience

Lack of time to build relations and ecosystems

Atos FinTech Engagement Programme

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Points of failure

Bridging the Gap

Drivers

▶ Technology focused

▶ Freedom from legacy

▶ Speed and agility

Restraints

▶ Lack of distribution

▶ Lack of compliance

▶ Lack of processes

FSI FinTechs

Drivers

▶ Large customer base

▶ Connected Legacy Systems

Restraints

▶ Slow

▶ Siloed business units

▶ Risk aversion

Technology experiments stuck in development

labs

Inability to connect new technology to business

solution

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What’s in it for …

Bridging the Gap

▶ End-to-end management of FinTech integration within your ecosystem

▶ Faster access to pre-vetted, and quality-assured FinTechs

▶ New services in partnership with selected FinTechs

▶ Partnerships opportunities with major FSI players

▶ Prototype services within a wider customer journey

▶ Develop a collaborative go-to-market

FSI FinTechs

Atos

FinTech

Engagement

Programme

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Scale

▶ Access to capital

▶ Distribution

▶ Trusted intermediary

Atos FinTech

Engagement Programme

Business Model

▶ Innovative approaches

▶ New models

Technology

▶ Alternative technology model

▶ Lean cloud or as a service offering

FinTechs

$€£¥

Infrastructure

▶ Technology

▶ Existing connectivity

▶ Data access

Expertise

▶ Market structure

▶ Regulation & Compliance

FSI

Connecting and Creating value for Banks, Insurers & FinTechs

Bridging the Gap

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Smart TV3rd PartiesMobileTabletsLaptops

Banking API

payments

pfm

loans

security

cards

alerts

social

accounts

Integration

API Management

▶ Provide a secure hybrid cloud

infrastructure and platforms

▶ Provide services to integrate with

other FinTechs and show disruption

in end-to-end customer journeys

▶ Provide access to a full network of

FSI’s to propose their services

Value for FinTechsValue for FSI

Atos Digital Banking Platform Services

Bridging the Gap

▶ Hybrid Cloud

▶ Open API

▶ Security & Compliance

▶ Development support

▶ A flexible and modular digital banking

platform that handles the core banking

infrastructure

▶ Provide innovative services to their

clients , comprising one or more

Fintech solutions

▶ Support customers in their daily life

through end to end value adding uses

cases

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Easy connection to Worldline Digital Banking Platform

Bridging the Gap

Digital Banking Platform Overview - Atos EquensWorldline

Worldline is offering the best of its payment and other transactional products in a comprehensive and evolutive digital banking platform.The backend that supports fast channel development is provided by a flexible and modular Digital Banking Platform.

As a service layer, composed of a collection of business enablers, the digital platform enables simple data coming from the Bank IS or third party to be processed, valued and properly displayed on the mobile or web applications.

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•Engagement

•Customer Journey Orchestration

•Hybrid cloud access

•Part of Atos GFS FinTech Community

•Solution Continuity

•Implementation

•Inspire and engage through new business models (OEM as part of platform or service with larger scope)

•Atos delivery capabilities in place to support Digital Transformation projects

•Harness the full power of technology by blueprinting FinTech Solution as a digital building block within our FinTech Enablement Platform

•Step change sales strategy by integrating FinTech solutions in End-to-End Customer Journeys entailing various FinTech solutions

•Mutually drive growth with by leveraging Atos Customer Journey Development capabilities

•Show and Tell your solution on the Atos Hybrid Cloud free of charge for FinTechs leading the wave

•Atos Fintech quarterly publication & Atos FinTech events together with FINOVATE

•FinTech Banking Ecosystem

SERVICE VALUE

Our objective: Be the global leader in FinTech by shaping an ecosystem of FinTechs connected to an Open Banking Platform, together shaping the future of the industry and leveraging our distinctive strengths

CHOICES

+SCALE

+COLLABORATION

=BUSINESS GROWTH

Lead the FinTech wave together

Atos FinTech Engagement Programme - Overall

• Joint Go To Market •Market access to 110 Atos Global Named accounts driving joint business growth and customer leadership

•Escrow of your services to Atos. Insurance of continuity of your solution to FSI’s

•Add Fintech solution to Atos Global knowledge platform promoted on Atos websites, events and potential engagement based on future customer needs

•FinTech Due Diligence

•Due diligence on FinTech solution, technology, business strategy, performance and leadership

Why Atos?

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Atos is a Leader in FinTech

Analyst View

For full report, click here

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Driving R&D & Innovation for and with our customers

We are ourselves a FinTech with equensWorldline

© For internal use9

DevelopmentDemonstrationUse case instantiation

Key success factors

• Technogicaladvances

• Business inputs • Market watch• Clients needs

Expertise displayCommunication

Presentation

ResearchWatches

Research work

R&D Missions

© For internal use10

Focus R&D An international global provider

A multimarket

entity

MerchantServices

& Terminals

FinancialProcessing& Software

Licensing

Mobility& e-Transactional

Services

R&D Center

© For internal use13

The most visible part:

The User eXperienceTo create new usages

The Worldline DNA:

Trusted ServicesTo secure transactions

The heart of Worldline services:

High Processing & VolumesTo deliver good quality services

Focus R&D 3 axis of innovation

© For internal use11

R&D Master Tracks

● Personal AssistantRT Analytics, remote & embedded processing, User interaction, Privacy…

● Data Analytics Fraud Detection, Time series…

● AuthenticationBiometry, fingerprinting…

● SecurityCryptographic tools, Secure Elements…

● New means of Payment Wearables, Zero Effort Payment, P2P, Instant payment...

● User Experience / Physical to Digital bridge Beacons, geoloc, DS, video processing…

● BlockchainFinancial market and other markets…

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Atos, the Atos logo, Atos Codex, Atos Consulting, Atos Worldgrid, Bull, Canopy, equensWorldline, Unify, Worldline and Zero Email are registered trademarks of the Atos group. March 2017. © 2017 Atos. Confidential information owned by Atos, to be used by the recipient only. This document, or any part of it, may not be reproduced, copied, circulated and/or distributed nor quoted without prior written approval from Atos.

Thank you

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