TierPoint, a leading provider of secure IT Infrastructure solutions, cloud services, and data center colocation, today announced the publication of its 2025 Technology & IT Modernization Report for Mid-Sized Businesses. This in-depth report offers valuable research and expert insights designed to help organizations make informed decisions on IT modernization, technology adoption, cost management, and more.
With more organizations expanding their IT operations or adopting new technologies, they encounter new sets of IT complexities and challenges. As 99% of leaders acknowledged the importance of new technologies and plans to implement them, two-thirds of surveyed respondents reported significant IT staffing challenges.
Other key findings from the report to help IT leaders include:
- IT Modernization Priorities: Enhancing cybersecurity measures tops the list, with 53% of organizations focusing on this area. Improving data management practices follows closely, prioritized by 48% of respondents. Upgrading hardware and infrastructure ranks third at 45%, supporting the goals of enhanced cybersecurity and improved data management. Migration to cloud-based services is also a significant focus, cited by 44% of respondents.
- Emerging Technology Adoption: An overwhelming 99% of IT decision-makers plan to adopt or invest in emerging technologies and strategies over the next 12 to 24 months. Artificial Intelligence (AI) and Machine Learning (ML) are at the forefront, with 63% of respondents indicating plans for adoption. Cloud computing follows at 49%, and high-performance computing is noted by 45% of participants.
- Challenges in IT Modernization: The survey identifies several obstacles hindering IT modernization efforts. A significant 47% of respondents report a lack of internal skills or talent as a primary challenge. Security and privacy concerns are cited by 44.9%, while budget constraints are highlighted by 36.3% of participants. Resistance to change among leadership and employees also present notable challenges.
- Impact of IT Skill Shortages: A substantial 97% of survey respondents report feeling the impact of IT skill shortages to varying degrees. Over 87% indicate that these shortages will have at least a moderate to severe impact on their business operations. Specifically, skills in AI and machine learning (63%), cloud computing (49%), and cybersecurity (37%) are in high demand but difficult to find.
- Cost Optimization and Cloud Services: The study reveals that 40% of IT budgets are allocated to cloud platforms, SaaS, and infrastructure. Despite implementing cost-saving measures, only 29% of organizations find these efforts fully effective, leading many to consider cloud repatriation to regain control over escalating expenses.
- Business Continuity and Data Protection: Ensuring business continuity remains a top priority, with 74% of respondents implementing additional safeguards against IT threats or disasters that impact IT operations. However, only 35% feel fully confident in their protections, indicating ongoing challenges in disaster preparedness and maintaining seamless operations in the face of potential disruptions.
Report Methodology
The report is based on a recent TierPoint survey of over 400 IT leaders, across a variety of industries, mid-sized businesses with a company size of 101-1,000 employees, conducted over two-and-a-half weeks. The study was designed with a 95% confidence level and a margin of error of ±4.9%, indicating that repeated surveys would likely yield results within this range.
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