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The Imperative of Cloud Modernisation in the Age of AI

IT & Security

Onderzoek door Rackspace in samenwerking met BenchLab

Rackspace
The Imperative of Cloud Modernisation in the Age of AI

Benchmarkresearch

This article is based on the research: "How do IT leaders gain the competitive edge with (Generative) Artificial Intelligence?". This study is carried out by BenchLab from June 2023, targeting C-level executives responsible for IT within multinationals in The Netherlands and the united Kingdom. To date, appointments have been made with over 70 respondents, and 230 contacts are added to the network of Rackspace. All findings are followed up by Rackspace specialists during scheduled meetings.

The shift to cloud computing has revolutionised IT infrastructure, compelling businesses to adopt more agile and scalable environments. According to the report, 40% of workloads are currently in the cloud, with projections to increase to 60+% within two years. This transition underscores a clear trend: companies are prioritizing cloud adoption to meet the demands of a dynamic market. However, this migration is not without its challenges. A significant 60% of organizations reported cost overruns as their biggest hurdle, followed by security and compliance risks (55%).

The shift to cloud computing has revolutionised IT infrastructure, compelling businesses to adopt more agile and scalable environments. According to the report, 40% of workloads are currently in the cloud, with projections to increase to 60+% within two years. This transition underscores a clear trend: companies are prioritizing cloud adoption to meet the demands of a dynamic market. However, this migration is not without its challenges. A significant 60% of organizations reported cost overruns as their biggest hurdle, followed by security and compliance risks (55%).

Despite these challenges, cloud modernisation is non-negotiable, especially when considering the role of AI. Half of the respondents believe that modernising legacy applications and data systems is essential to fully leverage AI's benefits. This belief is rooted in the understanding that AI relies on quality of the data, and outdated systems cannot provide the necessary data quality for effective AI deployment.

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