On 25 October 2021, Yusys Technologies and Tencent Cloud signed a strategic cooperation agreement in Shenzhen. Based on good foundation of earlier cooperations and focus in finance technological realm, both parties will further enhance cooperation. This multi-dimensional, multi-level and multi-perspective cooperation will result in amalgamation of solutions, integration of platform product, research & development in joint technology, business model innovation, etc., that will support the digital transformation and upgrade of banks, insurances, securities and other financial institutions.

Before the official signing, Hong Weidong, Founder, Chairman and CEO of Yusys Technologies, held a forum with Tang Daosheng, Senior Executive Vice President of Tencent and CEO of Cloud and Smart Industries Group. Both parties summarized and reviewed the results stemming from the previous cooperation, conducted in-depth discussions on further cooperation between Yusys Technologies and Tencent Cloud, co-planned and looked forward to the bright prospects for cooperation.

Hong Weidong (third from left), Founder, Chairman and CEO of Yusys Technologies, and Tang Daosheng (third from right), Senior Executive Vice President of Tencent and CEO of Cloud and Smart Industries Group, participated in the official signing ceremony of strategic cooperation.

For this cooperation, Hong Weidong, Founder, Chairman and CEO of Yusys Technologies, said that the rapid development of financial business and technology will reshape market structure, and the ecology’s capacity for integration becomes increasingly important. Innovation of financial and information technology has accelerated industrial integration and provided a foundation for the development of strategic cooperation between the two parties. As a participant and witness of the development of financial technology, Yusys Technologies looks forward to strengthening cooperation and complementarity with Tencent Cloud, to create a new financial technology ecosystem, and promote the digital transformation and development of the finance industry.

Chen Guangyu, Senior Vice President of Tencent Cloud, said that the cooperation with Yusys Technologies is another testimony of Tencent Cloud's open ecosystem. It represents the finance industry’s entry into the deep stages, and Tencent Cloud will continue to unite with the “most professional” partner in finance industry to integrate the advantages in C2B from Tencent and technical advantages in cloud computing, big data and other fields from Tencent Cloud, and provide new infrastructure, new services and new connectivity to the finance industry.

“A Natural” Strategic Cooperation

Over the years, Tencent Cloud has developed TDSQL, TBDS for database, TCE for proprietary cloud and other products independently, taking the lead in technological advancement in the industry. Till now, Tencent Cloud products cover the full range of financial businesses, including more than 150 banks, dozens of insurance companies, securities companies, as well as more than 90% of licensed consumer finance companies and numerous pan-financial enterprises, keeping the leading position in the industry towards serving digital transformation of large financial institutions.

Yusys Technologies, a leading financial technology enterprise in China, has plenty of product lines and an industry-leader in credit operation, business intelligence, channel management, regulatory submission, financial cloud and other solution markets for many years consecutively. Yusys Technologies has served more than 1000 financial institutions, including the People's Bank of China, three major policy banks and six state-owned commercial banks through 22-years of experience in the financial technology industry, an in-depth participant in the operation of financial business.

The combination of strong technical capability, C2B capability and open platform capability of Tencent Cloud, together with leading finance technology product, rich industry experience and customer resource advantage of Yusys Technologies will achieve mutual complementary cooperation and attain win-win achievements.

In this partnership, Credit business, data center business, supervision business and other core business lines of Yusys Technologies will be fully integrated with domestic database, Tencent security, enterprise WeChat and other products of Tencent Cloud. On specific technical fields, the cooperation will encompass multiple aspects that include software localization, digital operation, security and others. For example, adaptive authentication, in-depth testing and optimization will be carried out on credit service platforms, customer information management systems, performance appraisal management systems and other business applications to create domestically-made, safe and controllable solutions for applications in critical finance businesses.

It is understood that this strategic cooperation is not accidental, but based on the past experiences of partnering to reach solutions, and established a benchmark of cooperative projects in the industry.

Driven by policies, the demand for various domestic finance technology that are self-controllable, safe, stable and efficient has surged in the past two years. Complementary and collaboration between upstream and downstream industries has become an important model for industry development. In partnership with Tencent Cloud, Yusys Technologies created a series of cases that set the benchmark, based on domestic cloud bases and domestic databases, and implemented Shanghai Rural Commercial Data Center Project, Kunshan Rural Commercial Data Center Consulting and Planning Project, Comprehensive Credit Project Based TDSQL Database of Rural Commercial Bank of Zhangjiagang, etc. Extensive cooperation practices, high praise from customer, and tacit teamwork have laid a solid foundation for strategic cooperation between the two companies, and made the strategic cooperation “natural”.

Launch joint solutions and assist with innovation of financial technology                              

At the official signing ceremony, the two parties also launched the Financial Data Center Solution of Yusys Technologies & Tencent Cloud and the Distributed Micro-service Credit Joint Solution of Yusys Technologies & Tencent Cloud.

It is understood that Financial Data Center Solution of Yusys Technologies & Tencent Cloud will improve practical operation of data centers in the financial industry, reduce investment and risk of financial institutions in the process of data capacity transformation, fleetly achieve the effect of data application, and realize the intelligent upgrade of “data engine”. The solution will adopt the model of “1 + 2 + N + O” to create valuable data capacity model for customers. Among them, “1” stands for consulting and planning of the solution, which provide customers with planning and design services of data center strategy, organizational guidance, business precipitation and governance ability; “2” stands for technology integration, that is, the super integration of data center application of Yusys Technologies and data center base of Tencent TBDS, to build a one-stop service capability; “N” stands for the capability model, which provides the capability system of scenarios and data for customers to achieve the application effect of data centers; “O” stands for openness, that is, the solution can be integrated into the technology or products opened by a third party, and modular assembly to achieve “localized” model.

Distributed Micro-service Credit Joint Solution by Yusys Technologies & Tencent Cloud can realize all-round coupling of digitization, scenization, componentization and distributed capability of both parties by combining industry-leading credit product business structure and credit project experience of Yusys Technologies with the distributed database of Tencent Cloud’s TDSQL. Yusys Technologies will reconstruct credit products based on the micro-service technology system, build specialized credit operations, online lending operations, lending operations, post-loan processing, asset preservation and other data competence centers through service-oriented splitting. Full-process business solutions will be assembled by covering a full range of corporate, inter-industry, personal, inclusive, and green credit based on product componentized adaptation capabilities. Distributed Database of Tencent Cloud TDSQL can provide complete cross-center data layer processing capabilities, safe, reliable, efficient and stable data processing and storage services, as well as diversified data fragmentation deployment models to cope with servitization of the credit field to support more diverse financial business scenarios. Both parties will strive to create four new types of “up-to-date” credit solutions, including “intelligence, automation, scenario-based, and intellectual-industrialization”, for the entire credit business ecosystem in the new era.

It is reported that overseas markets, especially the financial markets in Southeast Asia, will be major strategic areas of cooperation between Yusys Technologies and Tencent Cloud in the future. With continuous acceleration of “exporting” China's financial technology, Yusys Technologies has won multiple projects in Indonesia, Singapore and other Southeast Asian markets, including data center, customer marketing, mobile banking and other projects. Its overseas strategy is progressing smoothly.

Promoting safety and control of the core technology of finance industry informatization at the current stage is an important strategy for financial development in China. The launch of the above-mentioned joint solution has achieved a good start for the strategic cooperation between Yusys Technologies and Tencent Cloud. The combination of the accumulated industry-leading technology and deep experience of financial technology of Yusys Technologies and globally-leading technical capabilities, full-stack autonomous and controllable technology system of Tencent Cloud will provide a solid impetus for digital transformation and innovation of financial institutions under the premise of independent control.