The end of 'rip and replace'? New survey finds businesses are sticking it out with legacy tech
Despite scaling to AI, many businesses are keeping hold of older hardware, opting to upgrade existing devices wherever possible, rather than replace them.
New survey reveals that 57% of UK organizations are choosing to extend their use of legacy systems instead of replacing them, despite almost half of UK businesses scaling AI usage. Over 75% of UK businesses have exceeded their budgets on modernization, with two thirds pausing or abandoning the process altogether. Ensono's report states that businesses are keeping hold of legacy tech, upgrading and extending older systems to support modern applications as they scale AI use.
While 52% of businesses are managing this balancing act, 61% have been forced to pause, scale back, delay or abandon IT modernization in the past two years. The report suggests that IT budgets are dictating a focus on AI spending, with PCs, laptops and lower-end servers being upgraded with faster storage and RAM. However, 71% of IT modernization projects have exceeded budgets, with workflow challenges and limitations with existing infrastructure posing barriers to ROI on AI spending.
AI's growth is driving the reliance on older tech, as businesses discover the power of these systems, augmented by AI.
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