Regional bank Fifth Third just made a decisive move in the race to modernize commercial banking, announcing a partnership with fintech firm Brex to power its commercial card and expense management platform. The deal signals a broader shift as traditional banks choose strategic partnerships over building tech platforms in-house to meet evolving client expectations.
Fifth Third Bank is betting big on fintech partnerships rather than homegrown solutions. The Cincinnati-based regional bank announced Tuesday it's teaming up with Brex to completely overhaul how it delivers commercial cards and expense management to business clients.
The partnership puts Brex's embedded payments platform at the center of Fifth Third's commercial banking strategy. According to the joint announcement, the platform will let the bank issue corporate cards while automating expense reporting through AI tools that promise to streamline what's traditionally been a manual, time-consuming process for businesses.
"Our partnership with Brex is a commitment to redefine how companies leverage financial technology," Fifth Third CEO Tim Spence said in the announcement. "By combining the strength of a leading bank with Brex's AI-driven innovation, we're creating intelligent solutions that simplify complexity, drive efficiency and enable businesses to scale globally with confidence."
The timing couldn't be more strategic. Fifth Third is currently in the process of acquiring Comerica, a $5.4 billion deal expected to vault it into the ranks of America's ninth-largest banks with roughly $288 billion in combined assets. That scale makes technology partnerships even more critical as the expanded institution will need to serve a vastly larger commercial client base.
The move reflects a broader trend reshaping the banking industry. Rather than spending years and millions developing proprietary platforms, banks are increasingly turning to proven fintech partners who've already solved complex problems. Brex, which has raised over $700 million in funding since its 2017 launch, has built its reputation on serving high-growth companies with sophisticated expense management needs.
