Enterprises are discovering that the first wave of cloud adoption didn’t simplify operations. It created flexibility, but it also introduced fragmentation, rising costs, and skills gaps that now make AI adoption harder to manage.

In this episode of Tech Transformed, analyst and host Dana Gardner speaks with two leaders from across the IBM portfolio: Maria Bracho, CTO for the Americas at Red Hat, and Tyler Lynch, Field CTO for the HashiCorp product suite.

They discuss how organisations can move from scattered cloud operations to a unified, automated model that supports AI securely and at scale. The conversation covers the pressures leaders face today, the role of automation, and the skills and operating model changes required as AI becomes core to enterprise strategy.

What you’ll learn

  • Why tool sprawl and shrinking teams are increasing operational risk
  • How AI amplifies gaps in data, security, and processes
  • What skills and operating model changes CIOs must prioritise
  • Why hybrid cloud is essential for multi-model AI workloads
  • The growing importance of automation in cloud and AI delivery
  • How poor data hygiene can rapidly increase AI costs
  • Practical steps for building secure, reliable AI operations

Key insights from the discussion

Cloud complexity is accelerating

Most organisations now run “a sprawl of tool sets and environments,” Bracho notes, often without the people or standardized processes to manage them. While cloud created opportunities, the operational overhead has increased.

AI raises the stakes

Training, tuning, and inference often run in different environments, each with separate performance and security requirements. Bracho describes AI as “the killer workload,” reinforcing the need for robust hybrid architectures.

Skills gaps slow progress

Lynch highlights the disconnect between AI teams and production engineering teams. Without alignment, model deployment becomes slow and risky — echoing findings from the HashiCorp 2025 Cloud Complexity Report, where most organizations say platform and security teams are not working in sync.

AI exposes underlying weaknesses

“AI is not going to solve complexity; it will amplify what you already have,” Bracho says. But with structured processes and automation, AI can reduce operator workload and help teams adopt best practices faster.

Automation is becoming essential

The Cloud Complexity Report shows that more than half of enterprises see automation as key to unlocking cloud innovation. With the foundations already laid, AI can accelerate progress by improving consistency and reducing manual effort.

Modernization is continuous

Both guests emphasise that AI success depends on long-term investment in people, operating rhythms, and security. Consulting can help organizations start strong, but lasting results come from internal alignment and disciplined execution.

Episode chapters

00:00 Navigating cloud complexity
08:11 Skills and operating model challenges
15:13 Automation for cloud and AI productivity
21:48 How consulting accelerates AI readiness
24:10 Final guidance for CIOs

About the guests

Maria Bracho

CTO, Americas at Red Hat. Maria advises enterprise customers on hybrid cloud architectures, platform strategy, and AI-enabled operations across large-scale environments.

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Tyler Lynch

Field CTO for the HashiCorp product suite within the IBM portfolio. Tyler works with organisations to modernise infrastructure, security, and automation practices that support cloud and AI workloads.

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About HashiCorp

HashiCorp is the Infrastructure Cloud company, helping organisations automate hybrid and multicloud environments with Infrastructure Lifecycle Management and Security Lifecycle Management. Offerings include managed services on the HashiCorp Cloud Platform (HCP), self-hosted enterprise products, and source-available tools.
Visit hashicorp.com

About Red Hat

Red Hat delivers enterprise open-source solutions, including Red Hat OpenShift and Red Hat Enterprise Linux, enabling organisations to build and manage hybrid cloud environments with speed, reliability, and consistency.
Visit redhat.com

About IBM

IBM provides hybrid cloud, AI, and consulting expertise that brings together Red Hat, HashiCorp, and other portfolio capabilities. IBM helps organisations modernise applications, streamline operations, strengthen security, and prepare for AI at scale.
Vist ibm.com