#Japan #Tokyo #API Management #Kong #SMBC Nikko

Introduction

In a significant move for the financial technology sector, SMBC Nikko Securities has officially adopted Kong Inc.'s API management platform to elevate its service delivery and operational resilience. This decision was made after a comprehensive evaluation of various products, where the Kong platform was identified as the most flexible, scalable, and reliable solution to meet their stringent requirements.

Context of the Adoption

The decision to implement Kong’s API management framework is part of SMBC Nikko Securities' larger strategy aimed at enhancing the continuity and resilience of their mission-critical financial services. This transition not only highlights their commitment to modernization but also reflects their intent to accelerate digital transformation through innovative technology.

Kong has emerged as a leader in the API management domain, with proven reliability in highly regulated and demanding environments like finance and telecommunications. The Japanese subsidiary of Kong has been lauded for providing comprehensive technical support, which played a critical role in this partnership.

Objectives of Implementation

Area 1: EZ Trade System

For the EZ Trade system, which provides online trading services for retail investors, Kong's product was selected with the following goals in mind:

• - Breaking Away from Monolithic Structure: The aim is to transition from traditional monolithic architectures to more modular and flexible systems.
• - Independent Authentication Functions: Establishing robust, service-oriented architectures that allow disparate components to work in synergy.
• - Integration of Redundant Functions: Enhancing development productivity by consolidating overlapping functionalities.
• - Architectural Coexistence: Creating architectures that support both existing and new business operations.

Area 2: Internal API Management Framework

As part of their cloud-native and multi-cloud strategy, Kong will also serve as the foundational API platform for SMBC Nikko Securities’ internal operations. Key evaluation criteria included:

• - Flexibility for Modernization: The ability to support transitional phases in modernization efforts.
• - Scalability and Reliability: Ensuring that future enterprise-wide API applications can be sustained seamlessly.
• - Integration Role: Functioning as the foundational platform for both external and internal API management.

Reasons for Choosing Kong

Kong was selected over various competitors for several reasons:
1. Comprehensive Evaluation: It received the highest marks across functionality, scalability, and operability when compared to other solutions.
2. Enterprise-Level Design: Featuring zero downtime, high availability, and robust security as standard offerings.
3. Best Practices: The structure of the products incorporates proven best practices for API development and management.
4. Unique Position in the Market: It stands out as the only platform capable of unified API management.
5. Support Services: Extensive implementation and technical support backed by the Japanese office.

Kong remains committed to fortifying SMBC Nikko Securities’ resilience and accelerating their digital transformation efforts.

Future Outlook

With the adoption of Kong’s API platform, SMBC Nikko Securities aims to establish a next-generation API framework that embodies high availability and agility, crucial for modern financial infrastructures. They are also eyeing future integration with data utilization and generative AI technologies, marking an ambitious step toward evolving their IT foundations. The broader goal includes scaling the APIs to benefit not only their group companies but the entire financial sector, reinforcing their commitment to continual growth and enhancement of service quality.

Statements from Leaders

Yoshinobu Yoshioka, Executive Officer of SMBC Nikko Securities, expressed, "Our company is dedicated to building a high-quality system infrastructure that balances robustness and high availability. In a rapidly changing market environment, we expect Kong’s API platform to be a cornerstone of our architectural refresh. We are keen on continuing our partnership with Kong to deliver advanced and reliable financial services."

Masato Saito, Executive Officer of Nikko System Solutions, added, "Our long-standing experience supporting SMBC Nikko Securities provides us with a unique perspective. Utilizing Kong's flexible and dependable API framework, we are confident in our ability to deliver superior services to our customers."

Daiki Arizumi, CEO of Kong Japan, stated, "It is truly an honor for Kong to be chosen by a leading financial institution like SMBC Nikko Securities. We are committed to leveraging our technology and experience to support their resilience strengthening and digital transformation efforts."

About Kong

As a leading player in the API management space, Kong is recognized globally for its emphasis on helping businesses adopt an 'API-first' approach. Its integrated cloud API platform is built on the most widely adopted API gateway, allowing companies to streamline their API lifecycle—from development to management and beyond. As a result, Kong aims to enhance productivity for developers while accelerating innovation with scalable and secure products.
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