Failure to Modernize Key Apps and Data Limits Organizations’ Ability to Benefit from Cutting-Edge AI Technologies According to New Rackspace Technology Survey

 Rackspace Technology, a leading end-to-end, multicloud technology solutions company,announced a new Cloud Modernization Survey commissioned by Rackspace Technology and supported by AWS. Coleman Parkes Research conducted the survey between The survey finds that global IT organizations have been slow to modernize key applications, including customer resource management (CRM), enterprise resource planning (ERP), and human resources (HR) systems. Moreover, the study suggests that failure to modernize key apps and data will limit organizations’ ability to deploy and benefit from cutting-edge technologies such as artificial intelligence (AI).

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According to the survey of 1,420 global IT leaders across industries, 80% of respondents agree they will only benefit from AI if they modernize legacy apps and data. Although survey respondents identify increased security (58%), improved efficiency (54%), and cost reduction (49%) as the leading motivators of modernization – and ERP, CRM, and HR as the apps that most need upgrading – organizations are still dragging their feet on updating legacy infrastructure. Of legacy infrastructure that has not yet been modernized, only 22% of workloads are considered noncritical, but 25% of legacy infrastructure has “not yet been assessed.” 89% of those surveyed say they have been in the cloud between 1-10 years.

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“It is telling that even well into their cloud journey, the three most critical apps organizations say they need to upgrade are truly at the heart of the business because they are at once the most important things to modernize and the most challenging,” said Jeff DeVerter, Chief Technology Evangelist, Rackspace Technology. “At the same time, it is encouraging to see leaders understand that app modernization is key to getting the most out of cutting-edge technologies. It could be that the prospect of losing out on AI will motivate organizations to finally get off the sidelines when it comes to modernization of core systems.

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