NTT Data warns AI demand is outpacing cloud maturity

NTT DATA has released research showing that only 14% of organisations have reached the highest level of cloud maturity. The findings are based on a survey of more than 2,300 senior decision-makers across 33 countries.

The study highlights a gap between rising demand for cloud infrastructure linked to artificial intelligence and the level of investment many organisations are making. It found that 99% of respondents said AI is increasing demand for cloud investment, while 88% said current spending levels are putting AI, cloud-native and modernisation programmes at risk.

That tension sits at the centre of a broader shift in how businesses view cloud systems. Cloud is moving beyond its traditional role as infrastructure and becoming the layer on which companies run AI-related workloads and services.

Fewer than half of respondents said they were satisfied with cloud's impact or with the progress of their modernisation efforts. Half said legacy applications and data platforms were holding back innovation, suggesting that older technology estates remain a significant obstacle even as companies increase their AI ambitions.

The report distinguishes between organisations with advanced cloud adoption and the rest of the market. Businesses classed as "cloud evolved" were better placed to benefit from AI, and were more likely to report stronger business performance and more mature approaches to cloud use.

One difference was the use of AI during migration projects. The research found that 47% of cloud leaders used AI in their last cloud migration project, compared with 35% of other organisations.

Investment pressures

The findings suggest many technology leaders are dealing with conflicting demands. AI is raising expectations for new services and more flexible computing environments, but investment has not always kept pace.

Security emerged as the top cloud investment priority in the survey. Even so, confidence levels varied sharply between the most advanced cloud adopters and other organisations. Among cloud leaders, 68% were highly confident in their cloud security position, compared with 36% of other respondents.

NTT DATA also pointed to growing complexity across technology estates. Organisations are increasingly using a mix of public, private, hybrid and sovereign cloud models, making architecture choices more important for cost, compliance and operations.

Nearly all respondents expected private cloud growth, while sovereign cloud adoption was projected to increase by 50% over two years. Those choices will directly affect cloud outcomes as companies seek to balance control, resilience and regulatory demands.

Modernisation gap

Modernisation was identified as the leading cloud priority over the next two years. That focus reflects the drag created by older applications and fragmented data environments, which many organisations still need to overhaul before they can make fuller use of AI tools.

The research also highlighted skills shortages. AI was cited as the leading cloud skills gap, indicating that demand for people who can connect cloud transformation with AI deployment is growing faster than supply.

Cost management was another recurring concern. More than half of respondents said they faced cloud cost management challenges, while organisations also expected a threefold increase in fully managed cloud platforms. This suggests growing interest in platform-led operating models as companies try to reduce complexity and tighten control over spending.

NTT DATA said the metrics used to assess cloud transformation also need to change. The study found that while AI can help businesses move from technical measures to business-focused outcomes, adoption remains uneven.

Charlie Li, President and Global Head of Cloud and Security at NTT DATA, said the current pace of AI adoption is outstripping many organisations' cloud readiness.

"AI is accelerating faster than enterprise cloud maturity," Li said. "Cloud has moved well beyond infrastructure and is now the execution layer for AI. Organisations that fail to evolve their cloud foundations risk constraining the growth and value of their AI investments. Our clients who are succeeding are treating cloud as a value creator, not a technology initiative."