Business · Companies · 5 hrs ago
Survey finds software changes consume 28% of companies’ IT budgets
A survey of 2,018 senior IT decision-makers in the US and UK found that companies spend an average 28% of software budgets on upgrades, migrations and licensing changes they did not choose.
The changes are often driven by software vendors, including when customers need to keep support for systems they already use.
95% said they had paid for at least one vendor-driven change in the past three years, even though they expected worse reliability, performance or value.
The most recent such change cost organizations an average of $12.87 million, and many also retired working hardware to meet support deadlines.
Vendor-driven work can take engineers away from other projects, including AI and data work that respondents said had been delayed or canceled.
Most respondents said they had little negotiating power with their major software vendors.
The survey found strong support for new protections for software customers, including legislation and maintenance requirements, but it does not say whether any will be introduced.
A survey found that companies spend an average of 28 percent of their software budgets on vendor-driven changes they would not have chosen.
The study surveyed 2,018 senior IT decision-makers in the US and UK.
Some 95 percent said their organizations had paid for at least one vendor-driven change in the past three years while expecting worse reliability, performance or value.
The most recent vendor-driven change cost respondents’ organizations an average of $12.87 million.
The survey also found that these changes can divert engineers, retire working hardware and contribute to delays in AI and data projects.
- Who
- Censuswide surveyed 2,018 senior IT decision-makers in the US and UK.
- What
- The survey found that vendor-driven software changes account for an average of 28 percent of companies’ software budgets.
- When
- Published on October 20, 2026. Respondents were asked about changes in the past three years.
- Where
- The survey covered the US and UK.
- Why
- The survey describes spending on upgrades, migrations and licensing changes that companies said they would not have chosen.
This story does not have two clearly opposing sides.
Respondents said their organizations had paid for vendor-driven changes and retired working hardware to meet software support deadlines.
The survey findings were published.
- Average budget share
- 28 percent
- Survey sample
- 2,018 senior IT decision-makers
- Countries surveyed
- US and UK
- Organizations reporting at least one vendor-driven change
- 95 percent
- Average cost of most recent vendor-driven change
- $12.87 million
- Working life lost when hardware was retired
- 1.65 years on average
3 sources
What people are saying
When the alternative to an unwanted upgrade is losing support on systems the business runs on, saying yes is often a rational response. That's exactly the problem
The market has left some of the most experienced technology leaders in the world with little room to refuse, and that cost shows up in budgets, in engineering time and in innovation that never gets funded.