# Dell Technologies: From Technical Debt to Agility – Why CIOs Are Rethinking Private Cloud

- Link: https://www.thailand-business-news.com/pr-news/dell-technologies-from-technical-debt-to-agility-why-cios-are-rethinking-private-cloud
- Published: 2026-08-28T17:30:00+07:00
- Author: PR Newswire

SINGAPORE, Aug. 28, 2026 /PRNewswire/ — Chris Kelly, Senior Vice President of Data
Center Solutions, Asia Pacific, Japan and Greater China (APJC), Dell Technologies,
discusses why legacy infrastructure is no longer enough to support today’s hybrid
cloud and AI-driven enterprise. As organizations face growing pressure to modernize
while controlling costs, meeting governance requirements, and avoiding vendor lock-
in, he explains how a disaggregated private cloud approach can help CIOs build a
more agile, automated, and future-ready IT foundation.

[⌊Chris Kelly, Senior Vice President of Data Center Solutions, Asia Pacific, Japan
and Greater China (APJC), Dell Technologies⌉⌊Chris Kelly, Senior Vice President 
of Data Center Solutions, Asia Pacific, Japan and Greater China (APJC), Dell Technologies⌉[
Chris Kelly,
Senior Vice President of Data Center Solutions, Asia Pacific, Japan and Greater 
China (APJC), Dell Technologies

For most CIOs, the question is no longer whether to adopt hybrid cloud. It is how
to make it work as business demands keep shifting. The practical shift is not away
from cloud, but toward workload-optimized placement across public cloud, private
infrastructure, and the edge. The focus is on building an IT foundation that can
absorb change without slowing the organization down.

AI adoption, changing cost models, sustainability pressures, and disruption in the
virtualization market have turned infrastructure into a strategic lever, one that
shapes how fast a business can respond, scale, and compete.

**The Infrastructure Squeeze – Why Old Architectures Struggle to Keep Up**

Enterprises now run a complex mix of traditional systems alongside AI, containerized
apps, and distributed edge workloads. Architectures built for the older environment
simply can’t keep up.

The gap is real. As of 2025, only 30% of organizations have proactively built modernization
into their IT strategy, and less than one-third have a clear plan to retire older
systems^([1]). Leaving this unaddressed carries a cost. A recent IDC report found
that excessive technical debt and the cost of keeping older apps running were cited
as the second-biggest driver of digital infrastructure overspending in APJC, with
47.8% of organizations identifying this as a factor^([1]). Rigid IT stacks, whether
traditional three-tier or tightly coupled hyperconverged systems, struggle to adapt
without triggering expensive, disruptive refresh cycles.

The answer lies in rethinking the architecture itself. Disaggregated infrastructure
takes a different approach: rather than bundling compute, storage, and networking
into fixed, tightly coupled systems, it separates these resources so each can scale
independently, but combines the management of shared compute, networking, and storage
resources with software-driven automation. It brings the flexibility of traditional
three-tier architecture together with the operational simplicity of a unified, automated
experience. That flexibility is exactly what modern enterprises need, and it raises
an important question for CIOs deciding how to put it into practice.

**Disaggregated Infrastructure: Practical Choices for CIOs**

Put simply, disaggregated infrastructure lets compute, storage, and networking scale
independently. CIOs are no longer locked in fixed ratios that force them to overbuy
in one area just to get what they need in another. That has a meaningful impact 
on total cost of ownership by allowing organizations to refresh at the component
level instead of replacing the whole stack.

Enterprises can then adapt as needs shift without the architectural and financial
lock-in that has long held agility back. An open ecosystem supports multiple virtualization,
cloud, and AI stacks, helping organizations preserve choice and reduce dependence
on a single proprietary vendor.

Automation is what makes this manageable at scale. When lifecycle automation runs
from initial design through daily operations, deployments become standardized, manual
effort drops, and existing IT skills stretch further, a real advantage given the
ongoing skills shortage facing infrastructure teams. The Dell Automation Platform
provides the orchestration layer, using validated blueprints and lifecycle automation
to make private-cloud deployment and ongoing operations more consistent. The result
is a private cloud that moves with the business, letting CIOs modernize on their
own terms without losing control or adding complexity.

[[

**How Omega Healthcare Modernized Its Global Service Infrastructure**

Consider Omega Healthcare, which delivers enterprise solutions to leading U.S. hospitals
and healthcare providers across 13 global delivery centers. Its IT estate had become
fragmented across hyperconverged and standalone servers, making operations harder
to manage and less adaptable. The team needed to simplify operations, gain control
over virtualization licensing and vendor choices, and build a standardized, repeatable
architecture it could deploy anywhere. 

Omega selected Dell Private Cloud, delivered through the Dell Automation Platform,
as the foundation for a standardized, automated global environment. The platform
provides orchestration, automation, and lifecycle management. Its disaggregated 
architecture, built on Dell PowerEdge servers and Dell PowerStore storage, lets 
Omega scale compute and storage independently while improving reliability, operational
efficiency, and global continuity for 24/7 patient-care operations.

**Private Cloud’s Role in the AI Journey**

A common barrier in the AI journey is data readiness, including data proximity, 
quality, governance, and controls. Moving large data volumes to centralized systems
is complex and costly, and it can slow down AI projects before they prove their 
value. Concerns like security, data privacy, and regulatory compliance add further
pressure.

A strategic private cloud lets organizations deploy AI closer to where their data
already lives: on-premises, at the edge, or connected to public cloud, depending
on workload needs. That means faster insights, lower latency, stronger security,
and better resource utilization, while supporting the governance requirements of
sensitive data.

What makes this more urgent is where AI is heading. As AI moves from experimentation
into production, infrastructure must support different requirements for training,
inference, data movement, and governance across on-premises, cloud, and edge environments.
Agentic AI adds even more complexity. Infrastructure must evolve quickly, not just
run reliably. A private cloud built on disaggregated components offers a practical
and flexible foundation for making this possible.

**Why 94% of APJC Organizations Are Rethinking the Public Cloud**

The region’s growth and appetite for innovation are significant, and so is the technical
debt. Legacy systems across APJC were never designed for modern hybrid cloud. Today,
38.7% of APJC organizations are actively building a robust hybrid cloud environment
^([2]).

This means organizations are not simply layering new technology onto old foundations.
They are combining application modernization with stronger data governance and making
more deliberate decisions about where each workload should run. Hybrid cloud integration
ranks among the top cloud challenges, alongside integrating with legacy systems 
and managing multi-cloud environments.

This is fueling a clear cloud repatriation trend. IDC research found that 94%^([
3]) of APJC organizations plan some form of cloud repatriation, with Southeast Asia
at 97%^([4]) and India at 96%^([5]). These moves are driven by the need for more
controllable, flexible environments, with concerns around governance, compliance,
cybersecurity, and performance. Cybersecurity is the top driver for repatriation
in India and ANZ, while power and space availability leads in Greater China and 
Southeast Asia.

**Three Must-Knows for CIOs Building Tomorrow’s Infrastructure**

Start with architecture, not applications. A shift to disaggregated, open ecosystems
helps CIOs avoid the overprovisioning trap and vendor lock-in that fuel technical
debt. It lets businesses scale components independently, match resources precisely,
and change workloads without constant overhauls.

Get data proximity right. Many AI ambitions run aground when data strategies overlook
proximity, leading to stalled projects, poor data quality, weak controls, and rising
costs. Getting proximity right can reduce those risks, strengthen security, and 
improve performance.

Finally, invest in automation as a strategic move, not just an efficiency play. 
When IT teams are freed from manual work, the private cloud stops being a cost center
and becomes a platform for continuous innovation. Automation that spans the lifecycle,
from design through operation, standardizes deployments, cuts manual effort, and
helps teams focus on the work that matters most. That’s the mindset shift that separates
infrastructure keeping pace with the business from infrastructure holding it back.

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^([1])IDC InfoBrief, sponsored by Dell Technologies, Unlocking business agility through private cloud modernization in Asia/Pacific, #AP2425431B, February 2026, pg.10

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^([2])IDC InfoBrief, sponsored by Dell Technologies, Unlocking business agility through private cloud modernization in Asia/Pacific, #AP2425431B, February 2026, pg.5

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^([3])IDC InfoBrief, sponsored by Dell Technologies, Unlocking business agility through private cloud modernization in Asia/Pacific, #AP2425431B, February 2026, pg.7

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^([4])IDC InfoBrief, sponsored by Dell Technologies, Unlocking business agility through private cloud modernization in Asia/Pacific, #AP2425431B, February 2026, pg.29

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^([5])IDC InfoBrief, sponsored by Dell Technologies, Unlocking business agility through private cloud modernization in Asia/Pacific, #AP2425431B, February 2026, pg.20

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