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module) rather than a particular account. Before the development
of SBS, information relating to individual bank accounts or other
financial products was not linked but rather was maintained in
separate systems. Thus, when information about one account was
retrieved on a computer, the user would have no way of obtaining
information about other accounts owned or maintained by the
customer or a related customer. The SBS project sought to change
that situation by integrating all account software systems around
the customer. The customer module, which would contain basic
information about the customer (e.g., name, address, Social
Security number, and demographics), would be integrated with
deposit and loan (or credit) modules so that information relating
to customer deposit and loan accounts could be readily accessed and
retrieved.
Because of concerns that SBS was becoming specific solely to
Bank One's needs, in late 1986 Norwest was asked and agreed to join
in the development of SBS to provide more of an industry
perspective. In exchange for sharing in the development costs of
SBS, Norwest received a perpetual license to use the system.9
9 Norwest paid a base development charge of approximately
$6.5 million to Bank One (although the Participant Agreement
between Norwest and Bank One required a $7 million payment) in
exchange for a percentage of the royalties to be paid to Bank One
by Electronic Data Systems Corp. (EDS). Further, Norwest paid
$1,750,000 to EDS in exchange for a perpetual license to use SBS.
(continued...)
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