Report by Kyndryl

2025 Cloud Readiness Report

12 FINDINGSPublished Nov 12, 2025
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Key Findings

82% of organizations experienced a cyber-related outage this year.

Kyndryl2025 Cloud Readiness Report·Nov 12, 2025
Cyber-related outage

41% of leaders are repatriating at least some data to on-premises environments.

Kyndryl2025 Cloud Readiness Report·Nov 12, 2025
On-premises environments

75% of leaders express concern about the geopolitical risks of storing and managing data in global cloud environments.

Kyndryl2025 Cloud Readiness Report·Nov 12, 2025
CloudCloud riskGeopolitical risks

The cloud computing industry has grown into a more than $700 billion sector as of 2025.

Kyndryl2025 Cloud Readiness Report·Nov 12, 2025
Cloud

70% of CEOs stated they arrived at their current cloud environment by accident rather than by design.

Kyndryl2025 Cloud Readiness Report·Nov 12, 2025
Cloud

84% of leaders intentionally use multiple clouds.

Kyndryl2025 Cloud Readiness Report·Nov 12, 2025
Cloud

89% of leaders say cloud investments have made it easier to use AI.

Kyndryl2025 Cloud Readiness Report·Nov 12, 2025
CloudCloud investmentAIInvestment

75% of organizations are investing in AI for cybersecurity, more than any other AI capability.

Kyndryl2025 Cloud Readiness Report·Nov 12, 2025
AI

Organizations have increased cloud spending by over 30% on average over the past year.

Kyndryl2025 Cloud Readiness Report·Nov 12, 2025
CloudCloud spendingBudgetInvestment

91% of organizations say their cloud infrastructure provides the flexibility to adapt to new regulations.

Kyndryl2025 Cloud Readiness Report·Nov 12, 2025
CloudCloud infrastructureRegulationsCompliance

65% of leaders have modified their strategies in response to new data sovereignty regulations.

Kyndryl2025 Cloud Readiness Report·Nov 12, 2025
Data sovereignty regulations

35% of leaders cite integration challenges as a top barrier to realizing ROI from AI.

Kyndryl2025 Cloud Readiness Report·Nov 12, 2025
AIAI ROIAI integration challenges