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Twelve months ago, cloud migration was the talk of the town. Everyone was still looking for the best way to switch to the cloud, breaking down the challenges, and eagerly awaiting the opportunities it would bring. Now, with 2026 creeping ever closer, the world is very different. Helping businesses navigate the rocky waters of cloud migration will never completely go away – but the fact is that most organisations have already moved at least part of their estate. Job done, right? Perhaps MSPs can breathe a sigh of relief and retire quietly.

Sadly, there’s a catch. Whilst 88% of organisations have migrated, according to our 2025 Infrastructure Modernisation Report, only 20% feel they’re using the cloud to its full potential. Respondents cite cloud sprawl, unclear costs, and a lack of visibility as key factors holding them back. As 2026 approaches, cloud confidence depends on how well businesses optimise the environments they already run. They need to be ready for AI, resilient against new threats, and cost-controlled in a disciplined way.

This requires concrete preparation today, but knowing where to start can be difficult – especially when so many of these challenges are uncharted waters for many firms. That’s why we’ve broken down some key starting points to get your organisation optimised, secure, and ready for whatever the next year might bring.

Confidence tricks

This year’s Microsoft Ignite event revealed the direction of travel. Hybrid cloud environments are well-established (we found that 68% of businesses were using a hybrid cloud) and introduce both flexibility and complexity in equal measure. Copilot adoption is expected to accelerate, and cloud environments need to be ready to accommodate AI at scale. On top of all this, organisations need full oversight and a cast-iron governance strategy. Here are our three pillars for gaining the confidence to master all of these challenges and be ready for whatever 2026 throws at you.

1. Security that stands up to AI-driven threats

Security remains an unresolved issue for most cloud users. According to our research, 81% of IT leaders remain concerned about cloud security resilience. More striking still is the shift in threat perception: 59% now view AI-powered attacks as the top risk, overtaking traditional data breaches for the first time this year. At the same time, only 38% feel their breach response plans are robust enough to handle modern threats.

There are two prongs to this. AI can be leveraged by organisations to make phishing attacks more effective or convincing. On the flipside, AI adoption is rising inside organisations, and misuse or a lack of understanding among employees about how sensitive data is processed by the AI can leave them exposed to risks.

A rock-solid AI policy is a good starting point for dealing with these challenges. Training sessions and tabletop exercises that incorporate the latest threats ensure all layers of the organisation are more likely to spot AI-powered attacks, and ensure their own AI usage is safe and compliant. Equally, a cloud service that has security built in means that leaders can have confidence in their security moving forward, rather than scrambling to tack on a security policy or system as an afterthought that doesn’t address the precise risks faced by their business.

2. AI-readiness across workloads and governance

Speaking of AI, the surge in adoption clearly comes with enormous opportunities. 58% of IT leaders now use AI for work, a sharp rise from last year, and a trend that we expect to accelerate. But increased usage raises strategic questions. Keeping users safe and aware is vital – but so is ensuring that you’re getting maximum ROI. Businesses need reliable, well-structured cloud environments to ensure AI tools can be used to their fullest.

Microsoft Copilot’s rapid enterprise uptake shows where organisations want to go, but moving fast without setting the groundwork can create risk and will sap productivity in the long run. Restructuring your cloud environment to be fully optimised for AI adoption can seem daunting, but it will always yield dividends. In a world where you can be pretty certain that your competitors will be adopting and expanding their use of AI tools, an AI-ready cloud environment can give you the edge on speed and accuracy, while also mitigating risks.

3. Cost control grounded in real visibility

Last but not least, we come to cost-visibility. It’s not as exciting as AI adoption, and it doesn’t have the sense of danger associated with security considerations. However, the stakes are every bit as high. Limited visibility over your cloud environment and costs can mean hidden inefficiencies go undetected until it’s too late.

This isn’t a fringe concern either. More than half of organisations still lack full visibility into their cloud spending. You might have total cloud confidence going into 2026, but if it isn’t founded on data and a comprehensive understanding of your cloud environment, then that confidence is founded on nothing – and it could cost you your business.

The solution is clear. Continuous monitoring isn’t a ‘nice to have’, but a business imperative. Ad-hoc reviews need to be replaced by regular, frequent checks. Automated tools can gather data quickly and break it down into actionable information, giving businesses the confidence that resources are being allocated in the most efficient way possible.

Why managed services matter now

With the three pillars established, the question is: how do we implement them? Cloud modernisation projects supported by Managed Service Providers are 6.6% more likely to meet all their objectives, and 8.3% more likely to stay on timeline and within scope. As skills shortages persist (only 27% feel they have the in-house expertise required to expand cloud use), external support is becoming an essential part of cloud strategy.

Microsoft-aligned MSPs play a particular role here. They help organisations adopt Copilot responsibly, embed AI governance, design hybrid architectures that meet workload demands, and secure cloud estates against emerging threats. This gives internal teams the clarity and headroom needed to build an environment ready for 2026 and beyond.

Confident yet?

Most firms have migrated to the cloud. Few are using it fully. Cloud confidence comes from unlocking the value already in place. It’s about preparing your digital infrastructure for AI integration whilst keeping your security watertight. You need to make sure you’re laser-focused on what you want AI to achieve, and that your teams have total visibility.

It can feel like a mountain to climb, but it doesn’t have to be. With the right partner, organisations can move beyond migration and build an estate that’s steady, governed, and capable of supporting what comes next.

The 2025 Infrastructure Modernisation Report is a place to start, showing you what your peers are struggling with and how to overcome them. Give it a read, and drop us a line to find out how we can help.

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