It's All About the Silicon
A few jobs ago, I covered the use of IT in manufacturing, and when I moved over to financial technology, I thought that I would never have to write another story about field programmable logic devices (FPLDs), supervisory control and data acquisition (SCADA) platforms or real-time operating systems. How wrong I was.
It seems that the IT needs of the two industries are actually converging, but from different directions. Where manufacturing controls are evolving to add more intelligence to their performance-focused missions, the financial services industry is stripping down the functionality of general performance computing environments to get the best performance out of its systems.
I doubt that financial technologists will ever tweak their smart order-routers or low-latency gateways with screwdrivers and voltmeters, as it's done on the factory floor, but compute appliances for purpose-built functions are becoming more and more popular.
Take, for example, an announcement this week from co-location service provider Fitnetix about its iX-ecute programmable logic device (PLD), which is supposed to provide pre-trade risk checks in less than 8 microseconds, according to press reports.
To get single-digit microsecond performance, the process can't be done in software anymore—it has to be burned into silicon.
While the trend in general computing has been moving toward higher levels of abstraction in programming, performance computing is moving directly in the opposite direction, and knowledge of chip design and low-level programming will be the major skill sets in demand.
Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.
To access these options, along with all other subscription benefits, please contact info@waterstechnology.com or view our subscription options here: https://subscriptions.waterstechnology.com/subscribe
You are currently unable to print this content. Please contact info@waterstechnology.com to find out more.
You are currently unable to copy this content. Please contact info@waterstechnology.com to find out more.
Copyright Infopro Digital Limited. All rights reserved.
As outlined in our terms and conditions, https://www.infopro-digital.com/terms-and-conditions/subscriptions/ (point 2.4), printing is limited to a single copy.
If you would like to purchase additional rights please email info@waterstechnology.com
Copyright Infopro Digital Limited. All rights reserved.
You may share this content using our article tools. As outlined in our terms and conditions, https://www.infopro-digital.com/terms-and-conditions/subscriptions/ (clause 2.4), an Authorised User may only make one copy of the materials for their own personal use. You must also comply with the restrictions in clause 2.5.
If you would like to purchase additional rights please email info@waterstechnology.com
More on Trading Tech
Banks hope new axe platform will cut bond trading costs
Dealer-backed TP Icap venture aims to disrupt dominant trio of Bloomberg, MarketAxess and Tradeweb.
Editor’s Picks: Our best from 2025
Anthony Malakian picks out 10 stories from the past 12 months that set the stage for the new year.
The next phase of AI in capital markets: from generative to agentic
A look at some of the more interesting projects involving advanced forms of AI from the past year.
Will overnight trading in equity markets expand next year? It’s complicated.
The potential for expanded overnight trading in US equity markets sparked debate this year, whether people liked it or not.
WatersTechnology latest edition
Check out our latest edition, plus more than 13 years of our best content.
The total portfolio approach gains momentum: Building the right tech foundation for success
The rationale for the TPA, and the crucial role technology plays in enabling such an approach
Google, CME say they’ve proved cloud can support HFT—now what?
After demonstrating in September that ultra-low-latency trading can be facilitated in the cloud, the exchange and tech giant are hoping to see barriers to entry come down.
Institutional priorities in multi-asset investing
Private markets, broader exposures and the race for integration