Bloomberg is set to dramatically escalate its ongoing data battle with Thomson Reuters, as it announces a $100 million redesign of its market data services.
The company, which earlier this month said it was opening its data APIs but maintaining regular data subscription fees, is now simplifying its products, the Financial Times reported. It is aiming to cut complication in its widely-used market data system, while improving usability.
The news comes as Thomson Reuters is understood to be taking aggressive steps to open up its market data on its flagship Eikon system. Early troubles with the system, including a difficult speedy migration, are understood to have played a part in the departure of its chief executive, Tom Glocer.
Bloomberg has already moved over 100,000 subscribers to the latest simplified system, known as Bloomberg Next. Some 200,000 more subscribers will be migrated by December, it was reported.
Around 3,000 software developers were involved in the two-year development of Bloomberg Next. Development included analysis of the eye movements of system users, to see how to best lay out the new system.
Bloomberg co-founder Tom Secunda told the FT: “Simplicity has tremendous value. A function that’s brilliant and never used is worth zero.”
“Our business model is that we keep our price fixed but we dramatically increase the value of our product.”
More details are set to be announced later today.