Kyndryl report: AI shifts enterprise modernization toward business outcomes
Artificial intelligence is reshaping enterprise modernization strategies, with businesses increasingly focusing on business outcomes rather than simply replacing legacy systems, according to Kyndryl’s first global Modernization Report.
The study, based on 2,000 business and technology leaders across five continents and 12 industries, found that AI adoption has become a stronger modernization driver than cost reduction or legacy replacement.
AI is now the top driver of increased mainframe and edge computing use, while also driving SaaS, private cloud, network and application upgrades. Kyndryl said every organisation with a mainframe now plans to deploy AI on the platform.
Agentic AI Accelerates Modernization
Nearly half of respondents said they are behind schedule on modernization goals. Meanwhile, 10% have already deployed agentic AI in production for modernization tasks such as dependency mapping, code conversion and documentation.
Early adopters are reporting better progress, with 67% saying they are ahead of or on track with modernization...
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