GenAI Adoption Soars, Security Challenges Persis

Nutanix (NASDAQ: NTNX), a hybrid multicloud computing company, has unveiled the findings of its seventh annual Enterprise Cloud Index (ECI) survey, providing valuable insights into global enterprise cloud adoption and the rapid rise of Generative Artificial Intelligence (GenAI). The survey explores how businesses are embracing cloud technology and GenAI, highlighting key challenges and investment priorities.

The ECI reveals that the majority of organizations have already implemented a GenAI strategy, but targets for implementation differ significantly. While GenAI adoption accelerates, organizations are focusing on leveraging its potential for productivity, automation, and innovation. However, businesses face significant challenges, including data security, compliance, and the need to modernize IT infrastructure. A striking 90% of respondents expect their IT costs to rise due to the implementation of GenAI and modern applications. On a positive note, 70% of organizations are optimistic about seeing a return on investment (ROI) from their GenAI projects in the next two to three years.

Lee Caswell, SVP of Product and Solutions Marketing at Nutanix, noted, “Many organizations are at a pivotal moment in GenAI deployment. This year’s survey reveals key trends from customers, such as challenges in scaling GenAI workloads, new requirements for data governance and privacy, and integration with existing IT infrastructure. To unlock ROI, organizations must modernize their applications and infrastructure while embracing containerization.”

The survey further highlights the rapid adoption of cloud-native technologies. Nearly 90% of organizations have begun containerizing at least some of their applications, with the trend expected to grow as new workloads, like GenAI, are integrated. A significant 94% of respondents agree that adopting cloud-native applications and containers enhances security and data access across hybrid and multicloud environments, setting a new standard for infrastructure.

With over 80% of organizations already having a GenAI strategy in place, real-world use cases are primarily centered on customer support and experience solutions. However, businesses plan to extend GenAI applications to cybersecurity and data protection workloads in the near future. Despite the rapid growth of GenAI, data security and privacy concerns remain paramount, with 95% of respondents agreeing that GenAI is reshaping their security priorities. However, 95% also believe their organization could do more to secure GenAI models and applications, underlining the ongoing challenge of balancing emerging technology with traditional security standards.

Infrastructure modernization is also crucial for scaling GenAI workloads. Nearly all respondents (98%) report challenges in scaling GenAI from development to production, with integration with existing IT infrastructure cited as the primary issue. As a result, investment in IT infrastructure to support GenAI has become a top priority.

The survey also reveals that organizations are investing in their workforce to ensure successful GenAI adoption. 52% of respondents say their organization needs to invest in IT training, and 48% plan to hire new talent with GenAI expertise. Despite the challenges, 53% of respondents view advancements in GenAI as an opportunity to enhance their AI skills and competencies.

The Nutanix 2025 Enterprise Cloud Index survey, commissioned by Nutanix and conducted by Vanson Bourne, surveyed 1,500 IT and DevOps/Platform Engineering decision-makers worldwide, spanning multiple industries and regions, including North America, Europe, the Middle East, Africa, and Asia-Pacific.

As organizations continue to scale GenAI and cloud-native technologies, the survey underscores the importance of modernizing IT infrastructure and adopting new solutions to stay competitive in an increasingly technology-driven world.