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AI has killed the "cloud-first" strategy: why hybrid IT is the only way forward today

Original title, in French: “L'IA a tué la stratégie "cloud-first" : pourquoi l'informatique hybride est la seule voie à suivre aujourd'hui”

Publication
ZDNet France (France)
Author
Joe McKendrick
Published on
6 January 2026 · read in the page structured data · updated on 2 September 2026

Summary

Drawing on a Deloitte analysis, the article explains that the rise of AI is challenging the "cloud-first" strategy adopted by many companies over the past decade. Deloitte points to four problems: unpredictable escalation of cloud costs for AI, latency constraints incompatible with certain uses, resilience needs in the event of connection outages, and data sovereignty requirements. The firm recommends a three-tier hybrid approach: cloud for training elasticity, on-premises for production inference with predictable costs, and edge computing for decisions requiring minimal latency. Milankumar Rana, a former software architect at FedEx Services, confirms this trend: he recommends that his clients keep latency-sensitive or regulation-sensitive applications on-premises, while using the cloud for flexibility.

Summary based on the full text of the article.

Read the article on ZDNet France →

Figures cited

  • 280 reduction factor

    fall in the cost of AI tokens over two years

    global, two-year period, according to Deloitte

    « Les coûts des jetons d'IA ont été divisés par 280 en deux ans, observent-ils, et pourtant "certaines entreprises voient leurs factures mensuelles s'élever à des dizaines de millions". »

    Source: Deloitte

  • 70 %

    cloud cost threshold beyond which on-premises investment becomes more cost-effective

    predictable AI workloads, according to Deloitte's analysis

    « Cela peut se produire lorsque les coûts du cloud commencent à dépasser 60 à 70 % du coût total d'acquisition de systèmes équivalents sur site, ce qui rend l'investissement en capital plus intéressant que les dépenses opérationnelles pour les charges de travail prévisibles en matière d'IA. »

    Source: Deloitte

Classification

Country
Worldwide scope
Company size
All sizes
Industries
Software vendors, IT services companies, telecoms · Transport, logistics, supply chain · All industries, or industry not specified
Companies
Azure (supplier), FedEx Services (deploys AI), Deloitte (study author), AWS (supplier), GCP (supplier)
Keywords
cloud infrastructure, hybrid IT, AI costs, on-premises, edge computing, data sovereignty

Entry written by Marsanne Studio from the cited article, with the help of an AI model (claude-sonnet-5). The rights to the article and its illustrations belong to ZDNet France and its author. Entry translated from French by Claude Sonnet 5.5.