ISG Provider Lens™ Focal Points - Microsoft AI and Cloud Ecosystem - Australia 2025

How to Get the Most Value from Microsoft AI and Cloud Ecosystem – Australia

IT spending in Australia is set to grow in 2025 despite macroeconomic uncertainties, including ongoing fears of inflation, potentially higher tariffs and supply chain disruptions. Companies in the region are focusing on cybersecurity, cloud adoption, AI-powered innovation and infrastructure modernization, particularly hardware refresh initiativesas Windows 10 approaches end of life. Michael Barnes, author of the ISG Provider Lens Microsoft AI and Cloud Ecosystem report, says, “Firms are prioritizing projects that will enable controlled business growth while also managing costs.” Modernization initiatives, for instance, will drive increased cloud adoption, but firms also expect increased visibility, predictability and control over cloud costs.