Swiss Fintech Sector Enters Maturity as AI and Infrastructure Take the Lead

The fintech sector in Switzerland and Liechtenstein had grown to a total of 529 companies by the end of 2025. This represents moderate growth of four percent compared to the previous year, according to the “IFZ Fintech Study 2026” (PDF) by the Lucerne University of Applied Sciences and Arts (HSLU). After years of strong growth, the figures indicate a new phase of maturity and consolidation for the Swiss fintech sector.

This slower growth is explained by the fact that company formations and market exits are now balanced, which is bringing the specialization of business models to the forefront.

The most significant development is evident at the technological level. For the first time, data analytics, big data, and artificial intelligence (AI) constitute the largest technology category, with 183 companies. This surpasses distributed ledger technology (180 companies) and pure process digitization (165 companies). “Even existing fintech companies have shifted their technological focus toward data- and AI-based applications,” explains co-author Thomas Ankenbrand.

The study cites the reclassification of 24 companies as evidence, which now fall into this category due to the integration of AI applications, particularly generative AI.

The number of fintech companies in Switzerland and Liechtenstein is growing from 161 in 2015 to 529 in 2025. After a strong increase until 2018 and a slight decrease in 2021, growth has slowed in recent years.

This technological shift is also impacting the product level. Infrastructure solutions for financial institutions, with 204 companies, now constitute the largest segment, surpassing investment management (198 companies). This underscores the trend of fintechs increasingly acting as technology providers and partners for established banks, rather than as their direct competitors.

Fintech infrastructure and AI attract venture capital

Although venture capital in the Swiss fintech sector declined overall to CHF 185 million in 2025, the funds were strategically directed towards future-oriented areas, confirming the realignment. Banking infrastructure solutions attracted the most capital at CHF 129 million. At the technology typology level, analytics, big data, and AI, with CHF 91 million in funding, surpassed distributed ledger technology for the first time, compared to CHF 81 million. This indicates that investors are directing their capital to areas where they see the greatest scaling potential in collaboration with the established financial industry.

The business models reflect this orientation. A large majority of fintechs pursue a business-to-business model (60 percent) and are internationally oriented (81 percent). Technology-driven revenue models dominate, with Software-as-a-Service (SaaS) establishing itself as the most important approach at 38 percent. Models focused solely on end customers play a subordinate role and concentrate more on the domestic market.

The composition of the Swiss fintech sector from 2015 to 2025: Banking infrastructure became the largest product segment (left), while data analytics, big data, and AI replaced process digitization at the top and, for the first time, represent the largest technology category.

Despite consolidation and declining venture capital, Switzerland is holding its own in global competition. In the “IFZ Fintech Hub Ranking,” Geneva and Zurich are positioned directly behind the leader, Singapore, in second and third place respectively, benefiting from stable political and economic conditions as well as a strong talent pool.

The future of banking IT is modular

The study also outlines the technological development of banks as an evolutionary process. Instead of a disruptive replacement of existing systems, the researchers assume a gradual modernization. From this, the study derives five key requirements for future IT architectures: functionality, cost-effectiveness, security and resilience, modularity and flexibility, and a consistent data orientation.

The analysis suggests that the path forward leads through a “layered evolution” of IT landscapes. Core banking systems are transforming from monolithic blocks to modular business platforms whose functions are provided via APIs.

This development is fostering a market split. Established providers like Avaloq, Finnova, and Temenos are gradually modularizing their platforms. At the same time, “neo-core” providers like Mambu and Thought Machine are gaining importance, with their cloud-native solutions designed for maximum flexibility. A crucial role in this is played by the strategic integration layer, the so-called decoupling platform. It encapsulates outdated components and serves as an “ecosystem gateway” for connecting external services via open finance interfaces.

Due to the high costs and risks of a complete migration, many institutions are pursuing a phased modernization path. Nevertheless, the study outlines three disruptive scenarios to stimulate thought: a “bankless financial system” based on Decentralized Finance (“DeFi”), a “humanless bank” powered by agentic AI, and a “large transaction bank” as a centralized, shared infrastructure for standardized processes. According to the authors, these scenarios serve as a testing ground for the robustness of current architectural decisions.

Analysis of the crypto markets indicates a growing presence of institutional investors. The introduction of regulated investment products such as exchange-traded funds (ETFs) has facilitated their access to cryptocurrencies. The data also point to increasing professionalization, for example through higher market liquidity, reflected in narrower bid-ask spreads on major exchanges, and a shift in trading activity to weekdays.

Overall, the study paints a picture of a Swiss fintech sector in transition, where the initial rhetoric of disruption has given way to pragmatic collaboration between established financial institutions and highly specialized technology providers.

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(Featured image by Alexis Presa via Unsplash)

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First published in netzwoche. A third-party contributor translated and adapted the article from the original. In case of discrepancy, the original will prevail.

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