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Digital Transformation Market Narratives Core Tech Modernisation​ Remains a Top Priority for CIOs​ May 16, 2025 Australian CIOs are modernising fast, but legacy systems and skill gaps are holding them back. With $91M IT budgets at stake, discover why narrow strategies may stall transformation in 2025. Request to Download

In 2025, Australian CIOs are doubling down on tech modernisation to simplify infrastructure and scale digital transformation. While progress is being made, especially in infrastructure, critical business systems remain hamstrung by legacy debt, skills shortages, and outdated processes. With IT budgets climbing to an average of $91M, investment is strong but often too narrowly focused. Without a broader strategy that includes AI, automation, and workforce capability, organisations risk hitting a wall of modernisation fatigue.

 

Core Insights:

  • Modernisation is CIOs’ top priority for 2025, but execution remains uneven, especially across core systems like ERP, CRM, and HCM. 
  • Legacy tech and workforce constraints are major blockers, limiting the impact of rising budgets and slowing transformation momentum. 
  • A broader, smarter strategy is needed, with greater focus on AI, automation, and people, not just infrastructure and tools. 

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