In a LinkedIn post published this April, Oracle CEO Mark Hurd states that businesses need to shift away from approaching technology spending with a defensive mindset. Unlike consumers, who spend aggressively on new technology, businesses have traditionally focused on maintaining, integrating, and protecting legacy systems.
Most company CIOs still spend 80% or more of their IT budgets in this defensive mode, managing the applications and infrastructure they’ve had for a long time. That leaves precious little time and money for innovative new technologies, digital capabilities, and digitally inspired business strategies.” – Mark Hurd
Hurd sees transitioning to the cloud as the solution. Cloud services allow companies to pay off their tech debt in installments while incorporating modern technology. Additionally, businesses can translate the cost savings into reinvestments in other critical initiatives.