Carrot or stick? AI’s impact on cloud content migration

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The breadth of both structured and unstructured data that a Content Services and Collaboration (CSC) solution touches makes it fertile ground for AI investments. However, the primary barrier is that a significant number of customers remain in self-hosted, on-premises environments. Nucleus interviewed self-hosted enterprise content management customers to identify general attitudes about AI and whether recent advancements in generative and agentic capabilities will exacerbate the need to migrate to cloud infrastructures. While current product strategies dictate that cloud-deployed customers get access to the newest features, the introduction of these models has created a carrot-and-stick division. For example, while some organizations noted AI as the first real push factor to leave on-premises operations behind, those with no plans to migrate felt as though they were being punished for their choice. In response, some vendors have opted to deliver limited AI capabilities to these customers to keep them “in the loop” while demonstrating the value of new innovations.

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