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Report: Firms with technical debt unlikely to see advantages from AI adoption

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Organizations which have modernized their purposes are thrice extra prone to see a transparent ROI on their AI investments in contrast to people who haven’t, in response to a brand new survey from Cloudflare.

The 2026 App Innovation Report discovered that 93% of leaders imagine that updating their software program was “the only most essential think about boosting their AI capabilities.”

Organizations which have fallen behind on their modernization efforts report being 85% much less assured of their infrastructure. Those that fall into that camp usually solely modernize reactively after a safety breach occurs.

Moreover, firms that align safety with modernization are 4 instances extra prone to attain superior AI maturity.

“In the event you aren’t modernizing your online business to embrace AI and stop the subsequent wave of cyberattacks, you aren’t simply standing nonetheless, you’re quickly falling behind. The winners of this period of the Web will finally be outlined by their infrastructure,” mentioned Matthew Prince, CEO and co-founder of Cloudflare.

Cloudflare’s analysis additionally reveals that AI mindsets have shifted from adoption to integration, with 91% of main firms having already built-in AI into their portfolio, and 74% planning to double down on it this yr.

The App Innovation Report was carried out with assist from Qualtrics, they usually interviewed 2,351 organizational leaders at firms with 1,000+ workers between June and July of final yr.

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