AI Confidential How AI is reshaping enterprise technology with James Kaplan
May 6, 2025
James Kaplan, a Partner and CTO at McKinsey Technology, shares over 25 years of expertise in guiding enterprises through tech adoption. He discusses how AI is transforming the enterprise tech landscape, emphasizing the critical need for an AI-first mindset. Kaplan addresses the 'IT doom loop,' where investments fail to drive productivity, and explores generative AI's potential in enhancing operations and cybersecurity. He also highlights the importance of collaboration and knowledge-sharing among tech leaders to responsibly embrace AI.
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Shopify’s AI-First Mandate
- Tobi Lütke, Shopify CEO, mandates AI use before requesting more resources.
- He demonstrates AI value by using it to craft his keynote, embodying an AI-first mindset.
Rising Costs of Enterprise IT
- The cost of infrastructure has dramatically decreased over 25 years, but application development and maintenance costs have risen.
- Increased demands like security and compliance make building enterprise-grade IT expensive and complex.
Gen AI Speeds Legacy Modernization
- Gen AI boosts software engineering productivity, especially by automating legacy codebase analysis.
- This acceleration enables faster cloud migration and modernization at scale.
