The Rackspace Cloud Modernization Research reveals that 90% of IT leaders see AI as a key driver for modernizing applications and data, with 80% warning that failing to modernize will limit AI’s benefits. Security (58%), efficiency (54%), and cost reduction (49%) top the motivators, while expected gains include efficiency (30%), cost savings (29%), and enhanced security (28%). However, one-third lack in-house expertise, and challenges such as integration issues, resistance to change, and budget constraints persist. Successful modernization paves the way for AI, competitiveness, and sustained innovation.

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