NTT DATA has warned that enterprises are moving faster on artificial intelligence than on the cloud foundations needed to support it, with only 14% of organisations reaching the highest level of cloud maturity despite nearly two decades of adoption. The company’s new global report, based on a survey of more than 2,300 senior decision-makers across 33 countries, argues that cloud has shifted from being an infrastructure layer to becoming the execution layer for AI, and that this shift is exposing a widening gap between ambition and operational readiness.
AI Demand Is Rising Faster Than Cloud Readiness
The report finds that 99% of organisations say AI is increasing demand for cloud investment, while 88% believe current cloud spending levels are putting AI, cloud-native and modernisation initiatives at risk. That is a striking signal for enterprise leaders, because it suggests AI programmes are no longer being limited by ideas or use cases, but by the underlying cloud architecture required to run them at scale.
NTT DATA said fewer than half of organisations are satisfied with the impact of cloud or with the pace of modernisation, indicating that many businesses are still treating cloud as a technical enabler rather than a strategic value engine. Charlie Li, President and Global Head of Cloud and Security at NTT DATA, said cloud has “moved well beyond infrastructure” and is now the “execution layer for AI,” warning that companies that fail to modernise their cloud foundations risk constraining the value of their AI investments.
Legacy Systems and Skills Gaps Remain the Main Drag
A central finding of the study is that legacy applications and data platforms are still holding back cloud-led innovation for many enterprises. NTT DATA said modernisation is now the top priority for the next two years, which reflects a more basic reality for many organisations: before they can scale AI, they need to fix the systems, architecture and operating model beneath it.
The report also points to a cloud skills gap, with AI cited as the top shortage across organisations. That matters because the cloud and AI agendas can no longer be managed separately. NTT DATA said CAIOs are 22% more likely than CIOs and CTOs to say AI is increasing cloud investment needs, underlining how AI leadership is now directly influencing infrastructure decisions.
Six Priorities Define the Next Phase
NTT DATA outlined six imperatives for cloud value creation in the AI era. These include aligning cloud and AI strategies, choosing architecture models more carefully, modernising applications and data, moving toward platform-led delivery, resetting KPIs and keeping security fundamentals strong. The company noted that nearly all organisations expect private cloud growth, while sovereign cloud adoption is projected to rise by 50% over the next two years.
Security remains a critical part of the picture. While 68% of cloud leaders say they are highly confident in their security posture, that drops sharply across the wider market, reinforcing the report’s argument that fundamentals still matter even as technology ecosystems become more complex.
For enterprise leaders, the message is direct: AI adoption may be accelerating, but without stronger cloud maturity, the promise of AI will remain underused.
