New Hybrid Digital Bank, PurePoint™ Financial

This development marks a true milestone in terms of the global development of Japanese banks.

We have already seen Japanese insurers using M&As as they seek to internationalize their operations, including telematics-based auto insurance, as they enter the fray in cutting-edge financial services in mature markets.

Until now, overseas expansion in Japan’s banking sector has typically started with transaction banking and hinged on wholesale operations (trade finance, foreign exchange, and investment banking services to support the overseas development activities of Japanese companies).

This initiative signifies an expansion into retail operations of locally incorporated subsidiaries in North America with which the bank has a long history and abundant goodwill. This initiative will also provide valuable feedback that can be applied to the Japanese market. To succeed in this market will require meeting the needs of the millennial generation with state-of-the-art technologies such as IoT and AI and conducting operations in a way to develop next-generation digital financial services.


S&P Global Market Intelligence:  Mitsubishi UFJ Financial seeks stable dollar funding with new US online biz

NIKKEI: Mitsubishi UFJ expands in US with online banking


Celent Report Recommendation: Defining a Digital Financial Institution: What “Digital” Means in Banking











日本の銀行業界におけるレガシー・モダナイゼーション パート2:銀行業界への提言


– Click to read more




Telematics Car Insurance Services Company


Aioi Nissay Dowa Insurance Co., Ltd. (AD), Toyota Financial Services Corporation (TFS) and Toyota Motor Corporation (TMC) announced on April 13th that their respective U.S. subsidiaries have established a jointly owned telematics car insurance services company, Toyota Insurance Management Solutions USA, LLC (TIMS).

The aim of establishing the new company is to contribute―from the point of automobile insurance―to the achievement of their vision of a mobile society that is safe, secure and convenient. I'm quite sure that it will have a great impact both on the insurers and the automobile manufacturers. (*1)

Global Telematics (and telematics insurance) industry map, now consists of these three layers: (*2)

  1. Generate the data, and transmit
  2. Accumulates the data, analysis, and sell
  3. Use the data in a variety of applications

Accumulators on the cloud include data analytics vendors and public sector companies like the Credit Bureau. They are facing challenges in exchange services. Among many data users, there are the traditional insurance companies including car insurance, life insurance, and medical insurance, as well as the emerging InsurTech companies. (*3)


(*1) New Telematics Car Insurance Services Company to be Launched in U.S.

(*2) Insurers and the Internet of Things

(*3) Telematics and Japanese Insurer Business Strategies





このような背景の下、今後は、②IoTデータの蓄積/分析/販売による『自動車運転情報のサービスビューロー』となりえたものが成功の鍵を握ると考えます。クレジットカードやローンの審査時に参照する『クレジットヒストリー』と同様に、保険の引受審査時に『安全運転履歴』や『健康管理履歴』が活用される時代の到来を予期します。(*3) (*4)


(*1) 米国でテレマティクス自動車保険サービス会社を設立

(*2) IoT時代の保険会社

(*3) テレマティクス保険と、日本の保険会社の事業戦略

(*4) テレマティクスの業界地図









Disruption and Disruptors, Part 3: UX Disruption

This post illustrates how Japan’s mobile carriers, which have disrupted the mobile phone industry, are creating technology businesses that will form the core of the mobile Internet era. This is instructive in that it illuminates elements that will be essential for creative destruction. Ultimately, the challenges undertaken by mobile carriers should serve as a significant catalyst for the financial services industry.

The first addresses the initiatives of management. The second is about how the application of new technology is disruptive to existing and established ways of thinking. This third post deals with innovations in user experience (UX) portended by disruptive technology  that were also addressed at SoftBank World 2015.


3. Watson Global Partner (introducing corporate partner initiatives):

The presentation showcased a number of advanced initiatives undertaken at domestic and international corporate partners. These included efforts spanning in-store examples as well as customer service, advertising, work style, security, and contents delivery—all areas that hint at potential innovation applications in financial services. Here Celent  will touch upon cases in the area of user experience (UX) made possible by disruptive technology.


Go Moment: Mobile concierge to improve hotel stays through innovation

  • Go Moment caters to clients in the global hospitality industry. Major international hotel chains are increasingly subject to competition that goes beyond price as comparisons of service ratings online become more important. Go Moment is providing a UX that from the moment a guest checks in harnesses online support for a mobile, local, and personal touch.
  • It is easy to imagine  such a UX repurposed and applied at financial institution branches.
  • Ivy for hotels by Go Moment
  • Go Moment


Pathway Fit: Mobile mentor to coach users to better health

  • Pathway Fit is designed to meet many needs of consumers that want to live healthier lives. It is both mobile and personal, proposing optimal lifestyle choices for users in their daily lives. Pathway Fit’s UX takes the form of a virtual healthcare mentor, beyond which more formidable and reliable medical support can be expected.
  • It is easy to imagine innovative applications of this UX being used to offer support to insurance policyholders and underwriting.
  • Pathway Fit
  • Pathway


Disruption is coming to UX at financial institutions and in the financial industry, and, here again it is entrepreneurs steeped in the newest  technologies (IoT, AI, and smart robots) who have tired of existing financial service experiences that are the purveyors of this disruption .




Disruption and Disruptors, Part 2: Disruption of the established way of thinking

This post illustrates how Japan’s mobile carriers, which have disrupted the mobile phone industry, are creating technology businesses that will form the core of the mobile Internet era. This is instructive in that it illuminates elements that will be essential for creative destruction. Ultimately, the challenges undertaken by mobile carriers should serve as a significant catalyst for the financial services industry.

The first addresses the initiatives of management. This second post discusses the application of the latest technology to disrupt existing paradigms.


2. Disruption: Cutting-edge technologies that Create and Disrupt (Ken Miyauchi keynote session):

President Miyauchi spoke about Pepper and Watson as both agents of disruption and creation in the context of customer service and how people work.

Customer service revolution:

  • The time when robots will offer customer service is only a few years off. SoftBank is planning to deploy Pepper robots as store staff at more than 3,000 SoftBank and Y!mobile shops nationwide.
  • Monthly rental rates for Pepper robots are around 50,000 yen (about $420). Not being subject to labor and overtime regulations, robots offer the benefit of being able to work around the clock. This is seen greatly enabling some  business to cut costs. In addition, all information is processed in the cloud and robot-offered services can be expected to lead to optimal customer service because cameras and sensors record interactions, noting customer characteristics, interaction time, and can survey customers about their opinions—all without bias.

Revolution in work style:

  • AI will trigger a revolution in how people work. Working with IBM, SoftBank will help further develop Watson in Japan to create cognitive computing business powered by AI. Watson, with its ability to learn from experience (so-called deep learning) and draw on a vast pool of information for hypotheses and verification will open the door to a revolution in business possibilities.
  • SoftBank will develop business applications using Watson including what has been dubbed SoftBank Brain—an internally housed version of Watson that will offer business support. Coupling SoftBank’s data with that of Watson will spawn a revolution in operational efficiency through devices such as smartphones.

SoftBank’s management was clear in its approach: they intend to create and spread something that will contribute to greater productivity. Some SoftBank devices are already outfitted with features that allow advice to be given based on statistical data. Moving forward, the company will move to introduce this technology  across a broader scope, including call centers and at corporate clients. The targets of their disruptive activities are equally clear: established paradigms  and business processes inside companies. Miyauchi explained that since its founding, the company has sought out and aggressively adopted cutting-edge technology even if doing so was potentially disruptive to its existing business operations.



SoftBank World 2015 Keynote Session Ken Miyauchi


The need for a revolution in customer service and working style is something that applies to all companies. Celent  believes that the ensuing creative destruction resulting from the combination of IoT, AI, and smart robots could well reshape the world in a way that rivals the industrial revolution. Of course, financial institutions in Japan are also beginning to sit up, take notice, and undertake initiatives.

Disruption is already manifesting itself at financial institutions amidst the preconceived ideas and existing paradigms of the financial industry. The disruptors of this are entrepreneurs and companies that are well versed—more so than the financial services sector—in the disruptive capacity and have demonstrated what this technology can do.


Disruption and Disruptors, Part 1: Initiatives of the Disruptors

SoftBank Corp. and SoftBank Commerce & Service Corp. held a massive two-day event for corporate customers on July 30 and 31. A record nearly 20,000 people turned out to participate in SoftBank World 2015. The fourth iteration of the event, it featured keynote addresses from SoftBank management and guests as well as 73 special speeches and sessions.

This post illustrates how Japan’s mobile carriers, which have disrupted  the mobile phone industry, are creating technology businesses that will form the core of the mobile Internet era. This is instructive in that it illuminates elements that will be essential for creative destruction. Ultimately, the challenges undertaken by mobile carriers should serve as a significant catalyst for the financial services industry.

I have broken this post down into three parts. The first addresses the initiatives of management. The second is about how the application of new technology is disruptive to existing and established ways of thinking. The third touches upon how disruptive technologies engender innovation in the user experience (UX).


1. The Information Revolution: Stepping from Today into the World of the Future (Masayoshi Son keynote session):

In his keynote talk, Chairman Son gave three spheres of technology that will drive the information revolution: Internet of Things (IoT), artificial intelligence (AI), and smart robots.

  • IoT: IoT is at the heart of almost all industries today. People do not exist in isolation and they communicate. The world is moving toward a time when all things—people and things—will be connected. Just as the smartphone dramatically changed the way we live, IoT will similarly precipitate an industrial revolution.
  • AI: Artificial intelligence is just around the corner. The year 2018 is supposed to mark the crossover point when transistors in machines are to supersede the capacity of brain cells synapses . The roughly 30 billion cells in the human brain will not change, but the number of transistors will and the singularity —the day when artificial intelligence transcends that of human—will come. AI will make it possible to handle tasks that people find distasteful, and allow mankind to change and focus attention on more worthwhile themes and endeavours. This too will be the starting point of a revolution.
  • Smart robots: SoftBank aspires to offer smart robots that maximize the use of artificial intelligence rooted in enhanced knowledge and intelligence rather than robots that do mechanical tasks. By 2040, any product that moves will be a smart robot—meaning they will be equipped with AI. Moreover, their total number will eclipse the number of people on earth. If the age of AI is inevitable, then we should strive to create robots that are pure of heart and have a kind view toward people. We want to create robots that can emulate the creation of emotions like people and can think and move on their own.

SoftBank’s approach is one in which its mobile Internet operations will be at the heart of its IoT initiatives; collaboration with IBM’s Watson will be at the core of its AI work; and, Pepper for Biz will be the key to SoftBank’s smart robot initiatives.

Management at SoftBank is committed to efforts in these three spheres and to realize a growth strategy enabled by synergies between the latest technology and business models.

SoftBank simultaneously announced the themes for the inaugural year of the SoftBank Innovation Program, under which it will solicit innovative solutions and technologies from around the world with an eye to jointly commercializing them. The four key themes are smart homes, connected vehicles, digital marketing, and healthcare .

Financial services were not included, but will likely  be indirectly affected because initiatives in the areas of residences, vehicles, marketing, and medicine will impact the lives of consumers and can be expected to spillover into the financial services industry. Put another way, this raises the question what financial services existing financial service providers can offer to digitally savvy companies and consumers familiar with the latest in technology (IoT, AI, and smart robots). These firms must both be firmly in step with the latest in digital consumer trends as well as be able to respond to digital technological developments such as in these areas—IoT, AI, and smart robots—if they are to be able to take the initiative.

Disruptions continue to take place outside financial organizations and the financial industry; these disruptors—the entities precipitating these disruptive activities—are driven by entrepreneurs with an understanding of technology than transcends that of financial service providers.



SoftBank World 2015 Keynote Session Masayoshi Son



ソフトバンク株式会社とソフトバンク コマース&サービス株式会社は、2015年7月30~31日の2日間にわたってグループ最大規模の法人向けイベント「SoftBank World 2015」を開催、2日間で延べ約2万人の聴講者数は過去最高を記録と発表した。今年で4回目を迎えたこのイベントでは、ソフトバンクグループの経営陣およびゲストによる基調講演のほか、2日間合計で73の特別講演とセッションが展開された。

本稿では、日本のモバイルキャリア企業が、既成の携帯電話事業を破壊し、モバイルインターネット時代のコアテクノロジー事業を創造する姿を描出する。そこに は、創造的破壊に必要な、幾つかの示唆が見出せる。金融サービス産業は、こうしたモバイルキャリアの挑戦に、大いに触発されるはずだ。



3. Watson グローバルパートナー (パートナー企業の事例紹介から)


Go Moment: モバイルコンシェルジェが革新する、ホテルライフ

  • Go Momentの顧客は、グローバルなホスピタリティ産業である。グローバルメジャーのホテルチェーンも今や、比較サイトによる、価格以上の「レビュー」というサービスレーティングの圧力に晒されている。Go Momentの提供するUXは、ホテルにチェックインの瞬間から、モバイルでローカルかつパーソナルな、オンラインサポートを実現する。
  • このアプリが実現するUXから、日本の金融機関店舗に適用した姿が想像出来よう。金融機関店舗のUX革新がイメージされる。
  • Ivy for hotels by Go Moment
  • Go Moment

Pathway Fit: モバイルメンターがコーチングする、健康生活

  • Pathway Fitは、健康に暮らしたいあらゆる生活者の願望を叶える。モバイルに、パーソナルに、生活者の日常に対峙し、最適な生活習慣を提言する。Pathway FitのUXは、バーチャルなヘルスケア・メンターを提供する。そして、その先には、より確かな医療サポートが控える。
  • このアプリが実現するUXから、日本の保険の契約者サポートと事後査定商品に適用した姿が想像出来よう。保険サービスのUX革新がイメージされる。
  • Pathway Fit
  • Pathway






ソフトバンク株式会社とソフトバンク コマース&サービス株式会社は、2015年7月30~31日の2日間にわたってグループ最大規模の法人向けイベント「SoftBank World 2015」を開催、2日間で延べ約2万人の聴講者数は過去最高を記録と発表した。今年で4回目を迎えたこのイベントでは、ソフトバンクグループの経営陣およびゲストによる基調講演のほか、2日間合計で73の特別講演とセッションが展開された。




2. Disruption~最新テクノロジーによる創造と破壊~ (宮内 謙氏講演から)



  • ロボットによる接客の時代が数年後にやってくる。ソフトバンクは、Pepperを、今後全国3000を超えるソフトバンクショップやワイモバイルショップに店員として投入することを計画している。
  • Pepperは月あたりのレンタルコストが5万程度。残業規制なく24時間稼働し、大幅なコスト削減が期待できる。加えて、すべての情報をクラウドで処理していることから、カメラやセンサなどから接客した人の属性や、接客時間、アンケートによる接客の感想などを、属人的なバイアスなく収集し、より最適化された接客につなげられる。


  • 「ワークスタイル」に革命を起こすのがAI。IBMと提携し、Watson の日本展開を進め、AIによるコグニティブ・コンピューティングを実現する。膨大なデータからさまざまな仮説や検証ができ、さらに経験から学習する能力(Deep Learning)も備えたWatsonが、今後幅広い業務に革命をもたらす。
  • Watsonのビジネス活用を提案すべく、自社内にWatsonを用いた業務支援システム「SoftBank BRAIN」を構築する。Watsonが持つ情報と自社のデータを組み合わせ、スマートフォンなどから利用することで業務効率に革命を起こす。




SoftBank World 2015 基調講演 宮内 謙


接客とワークスタイルの革命の必要性は、全ての企業に該当する。IoT + AI +スマートロボットによって創造的に破壊される対象として、正に、産業革命の予感がある。