Business
4:33 26 September 2025
Post by: WBJ

Tech debt drains budgets

Tech debt drains budgets
Source: Adobe Stock

Companies are spending millions on digitalization, yet up to 20% of IT budgets go toward fixing outdated systems instead of innovation, according to McKinsey and Polcom research. This “technology debt” acts like a hidden tax, consuming 20–40% of IT environments and 10–20% of funds meant for new products.

Polcom’s report shows most firms address the issue reactively: 52% invest only in crises, while 13% rely on costly one-off upgrades. Just 28% follow consistent annual IT plans, and they report the best results—29% say they have adequate computing power and skills. In contrast, 65% of firms without strategy still run obsolete systems.

Cloud migration is seen as a key solution. Eighty-three percent of medium-sized companies plan to adopt IaaS, PaaS, or SaaS, aiming to cut costs, scale flexibly, and accelerate innovation.

Source: wbj.pl


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