New Research Finds Majority of C-Suite Leaders Prioritize IT Modernization — Yet ROI Falls Short Without Comprehensive Strategy

A new global study reveals enterprises plan to invest up to 30% of IT budgets in modernization, with AI readiness topping priorities – yet ambition outpaces results as cybersecurity risks, technical debt, and skills shortages persist

WALTHAM, Mass., Sept. 09, 2025 (GLOBE NEWSWIRE) -- Rocket Software, a global technology leader in modernization software, today released key findings from the IDC White Paper, sponsored by Rocket Software, IT Modernization Maturity Assessment Prepares Enterprises for AI-Fueled Digital Business Success. The global survey of more than 800 IT decision-makers across nine countries and multiple industries revealed that IT modernization has moved to the top of the C-suite agenda. Nearly two-thirds of executives rank modernization as a high priority, with planned investments projected to reach 25–30% of IT budgets over the next two years. Yet, more than half of these organizations (51%) identify cybersecurity as the biggest challenge to modernization success, while data quality and integration issues (43%) and training and upskilling staff (39%) also remain significant barriers. 

Organizations report that their top modernization goals are improving operational efficiency (31.5% cite this as a top goal), accelerating innovation, and enhancing customer satisfaction— but those with the most mature, integrated strategies spanning infrastructure, applications, data, security, people, and AI readiness are achieving twice the gains in these outcomes compared to peers. For others, progress is slowed by barriers such as cybersecurity risks, data silos, technical debt, and shortages of AI and cloud skills. As success metrics shift from cost reduction to agility, service performance, and customer experience, the gap between leaders and laggards widens. 

“Enterprises are investing heavily in AI, automation, and hybrid cloud to transform their operations. But true success comes when these investments follow a clear, comprehensive modernization roadmap,” said Michael Curry, President of Data Modernization at Rocket Software. “Leading organizations are turning this strategic approach into a competitive advantage by embedding security, governance, and skills development into every phase — ensuring measurable results.”  

Key findings from the IDC White Paper include: 

• Top Infrastructure Goal: Deploying AI-Ready Tools and Platforms 
  Nearly half of organizations (44%) identify deploying AI-ready tools and platforms as their most important infrastructure goal for the next two years, alongside IT automation, hybrid cloud enablement, and multi-cloud interoperability. 
• Mature Organizations Lead in AI-Ready Infrastructure 
  Among the top 10% of organizations in modernization maturity, 82% are building AI-ready infrastructure to support high-performance models — more than three times the rate of their peers. 
• Cybersecurity and Resiliency Are Leading 2025 Investment Priorities 
  Over half of respondents (57%) say cybersecurity and resiliency will be their highest-priority investment areas in 2025. 
• Data Management and Quality Are Core Priorities for Leaders 
  Among the top 10% of organizations in modernization maturity, 80% are improving data quality, 80% are cataloging data assets, and 75% are assigning consistent stewardship responsibilities to ensure enterprise-wide access and trust. 
• Application Development Goals Include AI Expertise and Data Pipeline Quality 
  Over 45% of organizations plan to increase in-house AI development expertise, and nearly 39% aim to improve the quality of data pipelines over the next two years. 
• Mainframe Modernization to Improve Integration and Workload Optimization 
  About one in four organizations (26%) plan to modernize mainframes to improve integration between mainframe and enterprise data and optimize workloads. 

The study underscores that unlocking ROI requires pairing investments with strategic execution: embedding security-by-design into every effort, adopting scalable architectures for AI and hybrid cloud, and addressing technical debt through phased refactoring and integration. 

Addressing the talent challenge is equally critical, as half (50%) of enterprises plan to grow IT headcount, prioritizing AI, cloud, and cybersecurity expertise.  

"Modernization maturity isn’t just about technology adoption — it’s about the ability to adapt, scale, and deliver measurable business value despite ongoing challenges,” said Mary Johnston Turner, IDC Research Vice President of Digital infrastructure Strategies. “Organizations that are modernizing holistically across all six pillars are navigating cybersecurity risks, data silos, and technical debt more effectively, enabling them to sustain faster innovation and stronger performance over time.”   

See where your organization stands: take Rocket Software and IDC’s 8-minute Modernization Index assessment to measure your IT strategy across six critical pillars and benchmark against peers.  

To download the full IDC White Paper (doc #US53640525, July 2025), click here.  

Methodology 
The IDC 2025 IT Modernization Maturity Study, sponsored by Rocket Software, surveyed 822 IT modernization decision-makers across Australia, Canada, France, Germany, Italy, Japan, New Zealand, the United Kingdom, and the United States in March 2025. Respondents represented organizations with at least 500 employees across industries including retail, financial services, government, healthcare, and manufacturing. All participants were responsible for IT modernization strategy and decision-making. 

About Rocket Software: Rocket Software is a global technology leader, empowering the world’s top enterprises to modernize and innovate across their core systems and the cloud. As the trusted partner for over 12,500 customers and 750 partners worldwide, we help organizations unlock the full potential of their data, applications, and infrastructure—delivering the critical services that power today’s digital economy. With a team of more than 3,200 dedicated employees, we are committed to driving transformation and operational excellence for businesses across every industry. Our software solutions span IT modernization, AI-driven automation, data integration, and secure hybrid cloud. Headquartered in the Boston area, we operate centers of excellence across North America, Europe, Asia, and Australia. As a privately held U.S. corporation and a proud portfolio company of Bain Capital Private Equity, we are uniquely positioned to deliver innovative solutions and long-term value for our customers and partners. 

For media inquiries: 
Lacey Darrow 
ldarrow@rocketsoftware.com 

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