Mainframes as mainstays of digital transformation

After 60 years, mainframe computers are more relevant than ever for hybrid cloud optimization, AI innovation, and digital transformation.
Mainframes as mainstays of digital transformation
After 60 years, mainframe computers are more relevant than ever for hybrid cloud optimization, AI innovation, and digital transformation.

For over 60 years, mainframe systems have been mainstays for enterprises around the world. Today’s modern mainframe servers handle the lion’s share of business-critical workloads with 43 of the world’s top 50 banks and 8 of the top 10 payment companies relying on mainframes as their core computing platform.

The mainframe, with its specialized environment for secure transaction processing, is particularly well-suited for application workloads that require the highest levels of security, reliability, and scalability. These include transactions that demand absolute trust, such as financial transactions, healthcare records, and government services. By assigning these workloads to mainframes, organizations can use optimized architectures to deliver virtually unequalled performance and efficiency, while helping reduce costs and risks.

Since so much business-critical data lives on mainframes, modernizing mainframe applications and improving mainframe integration with other computing assets is decisive. In fact, 78% of executives agree that mainframe-based applications will continue to have an important role in digital transformation, up from 66% in 2021 and 64% in 2023. This growing recognition of mainframe importance can be attributed to these machines being capable of handling complex and mission-critical applications, as well as their potential to drive innovation and business outcomes across a computing ecosystem.

75% of more than 2,500 global IT executives surveyed by the IBM IBV say that mainframes are equal to or better than cloud computing in terms of total cost of ownership.

 

Optimizing tech estates with a hybrid-by-design framework

Hybrid by design is an architectural framework that enables an organization to optimize business value across its IT infrastructure including mainframes, cloud, data, and security. This framework integrates mainframe reliability and performance with the agility and scalability of public cloud services, creating an environment that supports critical business applications and drives digital innovation.

A fit-for-purpose hybrid by design strategy helps ensure that each application runs in suitable computing environments—mainframe, public cloud, distributed, or edge. Organizations need to evaluate application workloads based on performance, security, and scalability; cost and skills constraints; user experience; and business goals, including environmental impact and sustainability objectives.

Modernizing applications on mainframes to work seamlessly in a hybrid-by-design environment is crucial for digital transformation. In fact, 88% of executives consider this essential to long-term success, recognizing that simplifying and integrating information sharing and data access are vital to derive benefits from hybrid cloud environments. Combining on-premises mainframes with hyperscalers can create an integrated operating model that enables agile practices and interoperability between applications.

 

AI and mainframes: a symbiotic relationship for enhanced innovation

Modern mainframes and AI form a powerful partnership for driving innovation and value creation. IT executives already depend on mainframe strengths in storing and processing business-critical data and transactions, and they are turning to AI for enhanced decision-making, cybersecurity, and mainframe systems management.

For high-volume transactional workloads, modern mainframes provide robust foundations for AI acceleration. This is not surprising, since 78% of IT executives say their organization is either piloting projects or operationalizing initiatives that incorporate AI capabilities into mainframe applications and transactions.

By applying AI to mission-critical workloads without slowing down applications, organizations can consume results of AI models for virtually every transaction, while maintaining security-rich environments and adhering to strict service-level agreements.

79% of IT executives agree that mainframes are essential for enabling AI-driven innovation and value creation, and 84% say incorporating AI into mainframe transactions is important.

 

Developing mainframe talent and closing skills gaps

Mainframe applications, often written in older programming languages, can be complex. They require expert understanding of application logic and data dependencies. This challenge is magnified by an “aging out” of workers with mainframe skill sets, and limited pools of new mainframe talent. However, by leveraging open technologies, languages, and tools, managers of modern mainframe environments are meeting challenges associated with these complexities.

Today, gen AI-driven application modernization tools are revolutionizing mainframe modernization strategies, accelerating time to value, and closing mainframe skills gaps. In fact, 61% of executives say using gen AI for application modernization efforts on mainframes is important to their organization. These tools enable developers to modernize and manage application development faster and more efficiently, improving overall application quality and reliability.

Download the report to help your clients harness the power of mainframes for hybrid cloud transformation and deploy AI on mainframes to derive more value from core business data.

 


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Meet the authors

Ric Lewis

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, Senior Vice President, IBM Infrastructure


Aparna Sharma

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, General Manager and Managing Partner, Hybrid Cloud Services, IBM Consulting


Ross Mauri

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, General Manager, IBM Z and IBM LinuxONE, IBM Infrastructure


Robert Zabel

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, Research Lead, IBM Institute for Business Value

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    Originally published 08 October 2024