Flexera 2026 IT priorities report: what business leaders need to know

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Flexera 2026 IT priorities report: what business leaders need to know

AI leads the way for the third year running in the latest iteration of Flexera's annual canvassing of global IT leaders.

Published on 7th November 2025

Navigating the new IT landscape: AI, cost, risk and sustainability

As technology continues to reshape the enterprise, the Flexera 2026 IT Priorities Report offers a clear window into the minds of more than 800 IT leaders across industries and geographies. For the C-suite, the message is clear: AI is no longer hype; it’s a strategic imperative. But with opportunity comes complexity, and the path to measurable impact is anything but straightforward. Here’s what you need to know.

AI integration: from experimentation to enterprise imperative

One-third (33%) of IT decision-makers say AI integration is their number one focus for 2026, and a staggering 94% are actively seeking ways to embed AI into their technology stack. Chatbots (61%), coding assistants (49%), and project management AI (39%) are leading adoption.

The challenge: Proving ROI. Only 19% of leaders say demonstrating AI’s effectiveness is a top priority, highlighting a persistent gap between adoption and measurable impact.

Cost optimisation and cybersecurity: the twin pillars of IT strategy

Reducing IT costs (24%) and minimising security risks (22%) remain top priorities.

Shadow IT is on the rise, with over 70% of IT leaders believe business units are buying more cloud and SaaS than IT knows about, up from 68% last year.

Visibility gaps are growing, and 85% say gaps in IT visibility pose a risk to their organisation, with 58% reporting issues due to unsanctioned SaaS usage.

CIOs must balance innovation with fiscal discipline, ensuring robust governance and oversight.

The AI gold rush: balancing investment and overspend

Eighty percent of IT leaders report increased AI spending, but 36% believe they’re overspending.

Cloud and SaaS costs are surging. Seventy-three percent report increased investment, and 67% say cloud costs weigh heavily on budgets. Complex pricing models and lack of transparency are major challenges, while FinOps and unified spend platforms are emerging as critical tools for optimisation.

Sustainability: from aspiration to action

Ninety-four percent of IT leaders say sustainability is rising as a strategic priority, but 87% admit their organisations need to improve. Sustainability is increasingly woven into cloud migration, SaaS adoption and security initiatives. Successful organisations embed sustainability into every IT decision, balancing cost, security and innovation.

Vendor landscape: consolidation and strategic partnerships

Microsoft, Google, AWS and OpenAI are the top technology vendors.

Google’s prominence is rising, especially in the U.S. and UK, while OpenAI’s rapid ascent and its $300B partnership with Oracle signal a new era of AI-driven alliances.

For C-suites, that means strategic vendor partnerships are now central to enterprise transformation, not just IT procurement.

Data quality and visibility: the foundation for AI success

Ninety-four percent of IT leaders agree that investing in tools to extract value from data is essential. Yet, MIT reports that 95% of GenAI pilot projects fail to deliver measurable ROI—often due to poor data quality and disconnected workflows.

Data overload is real. Forty-eight percent feel overwhelmed, and 36% are disappointed by data quality.

Unified, high-fidelity data is the key to unlocking AI’s full potential and driving business outcomes.

The C-suite mandate: lead with vision and discipline

The Flexera 2026 IT Priorities Report makes it clear: Success in the digital era demands more than technology adoption. It requires disciplined leadership, robust governance and a relentless focus on outcomes. AI, cost optimisation, sustainability and vendor strategy are now boardroom-level issues. The organisations that thrive will be those that turn intent into measurable impact—curating data, closing visibility gaps and embedding innovation into every decision.