Mifid obstructing cloud computing at European banks
Vendor contracts may not be flexible enough to satisfy outsourcing rules
Rigid cloud computing contracts are clashing with outsourcing rules in Europe's Markets in Financial Instruments Directive (Mifid), making it difficult for financial institutions to use cloud services, unless the deal is big enough to drag a vendor to the negotiating table.
"A bank can negotiate very long contracts for some aspects of its technology. If it buys through cloud, however, it's presented in some cases with a set of terms and told to either take it or leave it," says Mark O'Conor, a
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