Deutsche Bank and Google agree to multiyear, strategic partnership

Sundar Pichai, chief executive officer at Google LLC, speaks during the Google Cloud Next ’19 event in San Francisco, California, U.S., on Tuesday, April 9, 2019.

Deutsche Bank said on Tuesday it has agreed a strategic, multiyear partnership with Google to give the German lender access to cloud services and drive innovation in technology-based financial products for clients.

A source familiar with the matter told Reuters that Deutsche Bank expects the partnership to generate more than 1 billion euros ($1.13 billion) in accumulated earnings before income and tax (EBIT) over the next 10 years.

Both parties have signed a letter of intent and plan to sign a multi-year contract within the next few months, the bank said.

“The partnership with Google Cloud will be an important driver of our strategic transformation,” said Deutsche Bank Chief Executive Christian Sewing.

“It demonstrates our determination to invest in our technology as our future is strongly linked to successful digitization. It is as much a revenue story as it is about costs.”