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C1 Research Reveals 2026 IT Investment Priorities

C1 has recently published its IT Investment Priorities report for 2026, which is the result of insights gathered from conversations with CIOs and senior technology leaders across various sectors. This report underscores a crucial trend that CIOs are prioritizing as they approach 2026: a strong focus on cost reduction, security enhancement, and modernization efforts that do not incur unnecessary risk.

While AI continues to be a hot topic, the CIOs' main agenda item is decidedly focused on achieving savings. The budget consolidations and cutbacks seen in 2025 are paving the way for 2026 IT investments that are no longer swayed by mere hype; instead, they are centered on measurable, disciplined results that align with clear business objectives. The report highlights four core themes that will guide CIOs' investment decisions in the upcoming year:

1. Start Small, Win Fast

CIOs are opting for a more pragmatic strategy regarding AI adoption. They plan to kick off with small, high-confidence use cases that can demonstrate value quickly. The idea is to expand their AI initiatives only once a solid foundation—covering identity, security, data, and infrastructure—is adequately established. By taking this approach, CIOs aim to foster an intelligence-driven organization that evolves and learns over time.

2. The AI Channel

A significant number of CIOs have begun to see AI as a practical interaction channel—one that can facilitate real-time insights and automate workflows, ultimately promoting smarter interactions for both employees and customers. The recognition of AI in this capacity signifies a shift towards integrating AI holistically into the customer and employee experience frameworks.

3. Security Fundamentals

The findings suggest that most security breaches continue to arise from basic access deficiencies rather than sophisticated attacks. Additionally, AI-generated content, such as fake audio and images, is emerging as a business threat. Consequently, identity management and protection against deepfakes are poised to be critical areas for investment in 2026.

4. Customer and Employee Experience

It’s recognized that the experiences of employees and customers are inextricably linked; neglecting one can lead to a decline in the other. CIOs are thus compelled to cultivate agent experiences as part of their strategy to improve overall customer outcomes.

Leigh Juul, Chief Revenue Officer at C1, reiterated the consistent message from CIOs: "Invest wisely and maintain focus on the fundamentals." He further noted that leaders integrating cost discipline alongside proactive modernization will place their organizations in the strongest possible position for future growth.

Hassan Kassih, C1’s Vice President of Capabilities, echoed this sentiment by emphasizing that even amid budget constraints, CIOs are advancing their AI agendas by targeting clear, tangible applications that provide real value. The eight priorities listed in this report offer a realistic and actionable pathway to achieving results with minimized risk.

The comprehensive C1 Edge Research report on IT Investment Priorities for 2026 can be accessed at C1’s website.

About C1

C1 is dedicated to transforming modernization into reality, offering secure and realistic solutions in AI collaboration, infrastructure, and security that yield measurable results from the outset. With a commitment to real-world outcomes, C1 blends industry-leading technologies with deep insights drawn from advisory, professional, and managed services. C1’s expertise spans various sectors, including healthcare, education, governmental bodies, and financial services—helping organizations become faster, simpler, and more robust while translating transformation into measurable value. For more information, visit C1’s homepage.