GFT study: 84% of CIOs cancel AI projects due to legacy system constraints
GFT Technologies' survey of 945 CIOs/CTOs across 19 countries finds legacy infrastructure is a primary barrier to AI adoption, forcing majority of enterprises to abandon AI initiatives. Study highlights gap between AI investment ambitions and underlying infrastructure readiness.
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What happened
GFT Technologies commissioned Wakefield Research to survey 945 CIOs and CTOs from enterprises with annual revenue ≥$500M across 19 countries (August 11–31, 2026). Key finding: 84% of respondents report legacy systems have forced them to cancel AI projects. Additional themes identified: ROI skepticism on AI investments, geopolitical/regulatory uncertainty reshaping strategy, distrust of AI decision-making transparency, and rising personal risk exposure for technology leaders.
Why it matters
Legacy infrastructure represents a material constraint on enterprise AI deployment, directly limiting addressable market for AI solutions and creating demand for modernization services. This signals structural headwinds for near-term AI ROI realization and potential shift in capex allocation toward infrastructure remediation before AI scaling.
Market transmission
First-order: reduced AI project completion rates compress near-term revenue for AI software/services vendors; increased demand for legacy system modernization and infrastructure consulting. Second-order: prolonged infrastructure investment cycles delay AI-driven productivity gains, potentially dampening earnings growth expectations for enterprises; elevated capex requirements may pressure free cash flow and dividend capacity; risk premium on high-valuation AI-dependent equities may widen if ROI skepticism spreads.
What to watch
Enterprise IT spending trends Q4 2026–2027 (infrastructure vs. AI software allocation); guidance revisions from AI software vendors on deal velocity and deal size; consulting/systems integration revenue growth for legacy modernization; CIO sentiment surveys on infrastructure readiness; enterprise capex guidance revisions.
Sources:Business WireBusiness Wire
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