Information Technology

State of the Cloud, Europe, 2024

Despite Economic Headwinds, Firms Embrace Cloud and AI


RELEASE DATE
30-Jul-2025
REGION
Europe
DELIVERABLE TYPE
Customer Research

RESEARCH CODE
PFU7-01-00-00-00
SKU
IT_2025_33692
Yes
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State of the Cloud, Europe, 2024
Published on: 30-Jul-2025 | SKU: IT_2025_33692

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European organizations continue to embrace cloud and AI technologies as a way to drive growth and operational efficiencies. Despite sluggish economic growth in the region that is curtailing some spending, organizations are steadily progressing on their digitalization journeys.

In the 13th annual survey of IT decision-makers responsible for cloud implementations, respondents representing a range of industries, company sizes, and regions of the world share their perceptions, plans, and behaviors related to cloud and IT infrastructure, AI, and managed services. Key findings include:

- Use of hybrid cloud is expected to double by 2026. 66% of European firms agree that a hybrid cloud is necessary for a successful business.
- European firms continue to migrate legacy workloads to the cloud, although at a slower pace than their colleagues in other world regions.
- Speed to deploy apps, ease of access for remote workers, and high levels of security top the list of reasons for deploying apps in the public cloud
- European firms are slightly more mature in AI adoption than counterparts in other regions. 32% of European respondents say they have implemented AI across multiple functions (compared with 24% globally).
- Sustainability remains a top priority for European firms, even as interest lags in other parts of the world. Nonetheless, high costs and lack of in-house experience hinder initiatives.
- Perhaps as a response to tighter budgets, European respondents are less likely to engage a third-party managed or professional services firm for assistance with their digital initiatives.

Respondent Profile

Key Findings

Top Business Priorities Include Revenue, Customer Experience

IT Department, C-Suite Executives Drive Digital Transformation

Technology Investments Among European Business Owners

Sustainability Remains a Priority for European Businesses

Low Expertise and High Costs Hinder Sustainability Initiatives

Cloud is a Crucial Step in Digital Transformation

European Businesses Utilize a Range of Infrastructure Options

Speed, Access, and Security are Top Drivers for Public Cloud

Implementation Challenges Include Cost and Security

Top Reasons for Deploying Apps On-Premises

European Firms Continue to Migrate Legacy Apps to Cloud

Multiple Approaches to App Modernization

Third Party Partners Provide Security, Cloud Workload Management

Top Benefits to Using a Third-Party Provider

Artificial Intelligence Adoption Trends

Major Drivers For Artificial Intelligence in Europe

Major Challenges in AI Implementation

Growth Opportunities Fuel the Growth Pipeline Engine™

Why is it Increasingly Difficult to Grow?

The Strategic Imperative 8™

Benefits and Impacts of Growth Opportunities

Next Steps

List of Exhibits

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