Nationwide targets private cloud gains with VMware Cloud Foundation deal
The expanded collaboration will establish a unified private cloud platform for the high street lender
Nationwide Building Society has announced an expansion of its partnership with Broadcom as the firm accelerates its digital transformation and hybrid cloud strategy.
As part of the move, the building society plans to adopt VMware Cloud Foundation (VCF) as the company works to build a new private cloud platform.
The VMware service allows enterprises to build custom private cloud setups, combining compute, storage, networking, and security capabilities.
Nationwide said the use of VCF will enable it to deliver more resilient and scalable digital services to customers while also streamlining integration of Virgin Money assets following a £2.9 billion takeover announced in April this year.
Paul Walsh, Director of Infrastructure and Service Delivery at Nationwide, said the partnership extension represents a “significant step forward” in the company’s technology strategy.
As we continue to evolve as a business, including integrating Virgin Money into the group, it is vital that we have a resilient, scalable, and secure technology foundation,” he commented.
“A private cloud built on VMware Cloud Foundation enables us to simplify operations, accelerate innovation, and deliver seamless digital experiences for our members, while maintaining the trust and stability that define the Nationwide brand.”
Nationwide eyes long-term AI gains
While VCF will enable Nationwide to establish a private cloud setup, long-term, Broadcom said it will act as a springboard for cloud native and AI applications.
As ITPro reported last year, Nationwide ranks among a host of UK banks ramping up the use of generative and agentic AI internally, with a particular focus placed on improving workforce efficiency and productivity.
In January, Nationwide announced a partnership with Moneyhub to roll out an AI-powered transaction analytics feature for customers across the UK.
Joe Baguley, Broadcom’s chief technology officer for EMEA, said Nationwide is pursuing a “deliberate and strategic approach” to private cloud that will underpin future innovation by “balancing agility and control”.
“By extending our partnership and adopting VMware Cloud Foundation as a consistent platform across the group, Nationwide will be able to integrate operations more efficiently, accelerate service delivery, and reduce operational complexity, while maintaining the security and governance expected of a leading UK financial services brand,” he said.
Hybrid cloud innovation
As part of its hybrid cloud strategy, Nationwide also maintains close ties with Amazon Web Services (AWS).
In January this year, the bank announced an extension of its partnership with the hyperscaler to deliver “more personalized experiences” for 17 million customers across the country.
Nationwide uses AWS’ cloud-based contact center platform, Amazon Connect, for customer support, giving teams access to a raft of AI-powered tools to streamline operations.
Speaking at the time, Suresh Viswanathan, group chief operating officer at Nationwide, said the expanded partnership aims to further consolidate workloads using AWS and modernize services.
"As we continue our digital transformation, we need cloud technology that can support our ambition to deliver better customer experiences, while keeping safety and security at the forefront,” Viswanathan said.
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