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Transforming government IT modernization and cloud migration with AI

Limited resources and complex budget cycles make it difficult for federal agencies to upgrade outdated systems and fragmented IT infrastructures. As a result, agencies struggle to adopt the modern, secure, and scalable technologies needed to keep pace with evolving demands, fulfill their mission objectives and improve the citizen experience. The core pain point isn’t just what they should modernize, but how to do so effectively, efficiently, and strategically.
Complex budget cycles demand a nuanced and informed approach not only to IT modernization but also to cloud migration. Some agencies are racing to exit data centers, prioritizing speed above all else. Others are taking a more strategic approach from the start — containerizing applications or re-platforming capabilities as part of their cloud migration.

Increasingly, agencies are recognizing that true modernization may need to begin even before migration, by improving applications on-premises to set the stage for a smoother, more valuable transition.
Across these approaches, a common challenge remains: ensuring efficient operations after the migration. This includes managing costs, streamlining performance and adopting a full application lifecycle mindset — often grounded in DevOps principles.
To navigate this landscape and address these challenges effectively, agencies should focus on two key actions:
- Embrace AI-powered acceleration: Traditional modernization and migration efforts are often slow and resource-intensive, prompting agencies to seek smarter, more efficient solutions. Working with an industry partner, agencies can accelerate the adoption of AI as a catalyst for IT modernization and a cornerstone of a more agile, efficient, and mission-driven government.
Solutions like ‘domain-specific’ digital assistants, are designed to streamline IT modernization. Like a skilled mechanic reading an engine diagram, these tools can analyze code and understand exactly how an application is meant to function. By automating complex tasks, they boost productivity, bridge knowledge gaps, optimize resources, and lower costs — making the transition to agile, scalable modern technologies faster and more efficient.
- Prioritize long-term value over quick fixes: Migration to the cloud shouldn’t just be about moving applications — it’s a chance to modernize them. Rather than simply relocating outdated code, or layering new tools onto legacy systems, agencies should use this moment to reduce technical debt and ensure workloads are optimized for the cloud. Long-term vision means integrating and reengineering how government delivers to unlock lasting efficiency, scalability, and performance improvements.
What uniquely positions IBM to deliver these kinds of meaningful outcomes is our dual strength as a major technology company with a fully integrated consulting arm. This means that we bring together enterprise-grade platforms, deep understanding of government operations, and the ability to operate in the most mission-critical, regulated environments. We’re not just a vendor — we’re a transformation partner. Agencies today need a partner to bring proven, repeatable innovation to every engagement, always with a human in the loop, to guide the AI and ensure alignment with mission goals.
Our partnership with Amazon Web Services (AWS) is also a key enabler of this success. With IBM’s deep bench of AWS-certified experts and access to AWS’s rapidly evolving cloud capabilities, we’re able to tap into their pace of innovation while bringing our own AI and modernization expertise to the table. This collaborative model — built on continuous feedback and co-creation — ensures we’re delivering the best of both organizations to our government clients.
We’ve seen the impact of this approach firsthand. For example, we helped a federal agency modernize a critical system, originally built in the 1960s, 300% faster than initially anticipated and at half the cost of traditional labor-based approaches. Additionally, using an AI-powered code conversion tool purpose-built for mainframe translation, we converted 3,000 lines of legacy code with 100% accuracy.
The path to a modern, cloud-enabled government requires more than just new tools. It’s about aligning people, processes, and technology to drive mission outcomes — like modernized IT infrastructure, enhanced cybersecurity, faster data-driven decision-making, more efficient service delivery, and greater transparency and accountability to taxpayers.
Learn more about how IBM and AWS can help accelerate your agency’s migration and modernization initiatives.
Discover how other AWS partners are helping agencies accelerate their AI and cloud modernization efforts.
This article was sponsored by AWS and IBM.