Why The AI Race Will Be Won On Infrastructure, Not Algorithms

InnovationWhy The AI Race Will Be Won On Infrastructure, Not AlgorithmsByAWS Enterpise Transformation,Brand Contributor.for AWS Enterprise TransformationBRANDVOICEStorytelling and expertise from marketers | Paid ProgramJun 09, 2026, 02:06am EDT--:-- / --:--This voice experience is generated by AI. Learn more.This voice experience is generated by AI. Learn more.Most organizations aim to be AI-forward, but their legacy infrastructure may already be costing them the race. Adobe StockAsk senior executives what is slowing AI progress, and they will cite talent, data quality, change management or regulation. What is often overlooked is the underlying IT infrastructure.Matthias Patzak, Executive in Residence at AWS and former CTO, highlights two striking figures: 70% of enterprise workloads still run on servers owned and managed by the organization, while 70% of the world’s largest companies operate software that is more than 20 years old.AI may be the decisive competitive factor, but most organizations remain constrained by infrastructure that struggles to support it.“We are at an inflection point,” says Patzak. “Leveraging AI requires proper data infrastructure and clean architecture. Organizations must act now to migrate and modernize at scale to become AI-first.”AWS Transform: The Fast Track To An AI-Ready FutureUntil recently, enterprise modernization at scale felt insurmountable—too many applications, overwhelming complexity and business risk if things go wrong.Within AWS’ broader migration and modernization framework, AWS Transform is the first agentic AI service that accelerates the transformation of full-stack Windows, mainframe, VMware workloads, as well as custom transformation of code, APIs, frameworks and more. Where IT teams once spent months manually assessing workloads, mapping dependencies and analyzing infrastructure, AI agents now handle these tasks in hours. In some cases, VMware migration planning that took weeks can now be completed in minutes, compre...