Asset Manager IT Pros Report AI Use Slowed by Internal Resistance, Inadequate Infrastructure

Per a survey by Rackspace Technology, most asset managers plan to move digital data to a private cloud to increase security.



Resistance from the revenue-generating units of asset management firms to adopting artificial intelligence is the leading challenge to aligning AI strategy with managers’ revenue goals, according to a survey from Rackspace Technology.
 

Approximately 44% of respondents to a survey of IT professionals considered this a major challenge; other known challenges to these firms’ efforts included inadequate data and/or tech infrastructure (43%), lack of cross-functional collaboration (38%) and insufficient budgets or resources (25%). 

At the same time, asset managers are looking to move their digital workloads to the cloud. Approximately 68% of respondents reported that they plan to move digital assets from public storage to private or on-premise cloud storage for better data security, compliance and cost savings, according to the survey.  

Those asset management firms which have done so reported success with data security and compliance (85%), reduced unexpected cloud service downtime (82%) and better integration with on-premise systems (81%.). Among the same group, firms reported better performance and data sovereignty (75%), cost and budgets (67%) and reported success dealing with vendor lock-ins—when a customer becomes dependent on a single vendor provider (67%).  

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Asset management firms are integrating AI with their cloud services in order to improve efficiency, with 53% of respondents pointing to this as a goal of the integration. Approximately 46% said they are doing so to advance security and threat detection, while 36% said they are doing so to optimize cost savings.  

The technologies most important to asset managers in the next year or two, according to the survey, include hybrid cloud strategy or multi-environment deployment, in which a firm combines a public cloud with a private one (56%), data security and compliance platforms (53%), integration platforms for data transformation (50%) and edge computing for distributed apps (32%).  

Rackspace and research firm Coleman Parkes Research surveyed 1,420 information technology decisionmakers around the world across industries, including financial services firms and asset managers. The survey was conducted in October and November 2024.  

Related Stories: 

Asset Management Firms Intend to Increase AI Budgets 

How to Invest in the Future of Artificial Intelligence 

Asset Managers Ponder Investments in AI as Security Risks Compound 

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