New research from Datacom shows a clear shift in sentiment following a prolonged period of economic uncertainty, with many organisations now positioning technology as a key driver of future growth.
Datacom’s Business Outlook 2026 survey found that 65 per cent of senior leaders expect economic conditions to improve over the next year. Reflecting that confidence, 82 per cent of surveyed organisations plan to increase their investment in technology to help achieve strategic goals. The survey gathered insights from 200 senior leaders at New Zealand organisations with more than 100 employees and marks its third-year tracking business sentiment.
While efficiency and cost management remain important, the focus is broadening to include growth-oriented initiatives. Many organisations are now revisiting long-term transformation projects that may have been delayed during tougher economic conditions. A major challenge identified by leaders is the need to modernise legacy systems, which can limit the ability to fully adopt emerging technologies such as artificial intelligence.
AI has emerged as the leading technology priority for 2026, with just over half of respondents identifying it as their top opportunity. Data optimisation and automation followed as key focus areas. Importantly, businesses appear to be moving beyond experimentation. Whereas many organisations were previously testing AI in isolated pilots, the emphasis is now on integrating and scaling AI across core operations such as workflow optimisation and customer service.
Growth is the top business priority for 2026, cited by 35 per cent of respondents. However, caution remains. Economic uncertainty continues to be the most significant perceived threat, followed by cybersecurity risks and future workforce challenges. Cybersecurity incidents are becoming more common, with nearly half of organisations reporting an attack in the past year, even though relatively few leaders rank cybersecurity as a top concern for the year ahead.
Barriers to technology adoption persist despite the optimism. Budget constraints and shortages of skilled workers remain the most significant challenges. The ongoing loss of talent overseas is affecting many organisations, particularly in engineering roles, which are expected to be critical for delivering upcoming technology projects alongside AI-enabled tools.
The survey also highlights expectations of government. While many business leaders believe the Government is generally supportive, most feel it needs more time to deliver meaningful results. There is strong appetite for improved digital delivery of public services, with modernisation seen as a key way to strengthen the economy.
Overall, the findings point to a more confident and proactive business environment, where technology investment, particularly in AI and modernisation, is central to New Zealand organisations’ plans for 2026.
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