Nasdaq, TIBCO to Build New Trading System

The Nasdaq Stock Market entered into a strategic partnership with Reuters subsidiary TIBCO Finance Technology to develop a new information and trading system based on TIBCO’s real-time middleware on which Nasdaq plans to standardize.

Nasdaq already operates the world’s largest electronic trading floor, and
it expects the new digital infrastructure to become a model for financial
institutions sending real-time market data to traders and investors via the
Internet.

Instead of sending individual messages to millions of users, the new system will broadcast a single message that will filter to these users through the network.

Frank G. Zarb, chairman and CEO of the National Association of Securities Dealers (NASD, Nasdaq’s parent organization), said: “In the 21st century, Nasdaq will experience even more dramatic increases in share volume and market participants. TIBCO will support our future growth and enable us to stay ahead of the curve by providing us with unsurpassed software technology.”

Nasdaq has agreed to use TIBCO’s TIB/ActiveEnterprise software integration suite to tie together disparate computer systems into a single real-time, event-driven information system. No financial terms of the agreement were disclosed.

Nasdaq’s daily share volume has surpassed a billion traded shares on
two separate occasions recently, and usually averages over 740 million
shares on a daily basis. It is the fastest growing stock market in the
United States.

TIBCO is based in Palo Alto, CA, and operates as an independent subsidiary of Reuters Group, plc.