Kyndryl expands AWS tie-up with modernisation offering

Kyndryl has expanded its collaboration with Amazon Web Services, introducing an integrated agentic modernisation offering that adds a joint approach to application and systems modernisation.

The offering combines Kyndryl Agentic Modernisation services-as-software with AWS Transform to help customers assess, plan and carry out modernisation programmes across applications, infrastructure and core systems.

The announcement comes as many large organisations continue to struggle with ageing technology estates and delayed upgrade plans. In Kyndryl's first global modernisation report, nearly half of respondents said they were behind schedule on their modernisation goals.

Kyndryl also highlighted a gap between organisations already using agentic AI in production and those that are not. Its research found that 67% of organisations using agentic AI in production for modernisation said they were ahead of or on track with their goals, compared with 51% of other organisations.

Joint approach

The integrated model combines Kyndryl's software-driven delivery model, AI-enabled workflows and engineering teams with AWS Transform. The aim is to give customers a more standardised way to review existing systems, map out changes and run large-scale modernisation work.

The approach is intended to make modernisation a continuous process rather than a series of one-off projects. Kyndryl said customers using the joint offering would be able to address technical debt, improve operational efficiency and build architectures better suited to AI deployments.

Kyndryl described its services-as-software model as a way to deliver services through software-driven automation, intelligence and digital workflows. According to the company, the model is built on the Kyndryl Agentic Framework and scaled through Kyndryl Bridge.

This structure allows customers to use pre-built agentic workflows across complex programmes, reducing reliance on scarce specialist skills, Kyndryl said. It added that customers would also have access to its expertise in cloud, security, compliance, FinOps and technology operations.

Modernisation pressure

The expanded tie-up with AWS reflects a broader push by technology service providers to position AI tools within legacy transformation work. Many businesses have spent years trying to replace or refactor older applications, but large estates of customised systems and operational constraints have slowed progress.

The new integrated offering is designed to reduce transformation risk while helping companies prepare technology environments for wider AI use. That includes support for governance, resilience and business continuity during modernisation work.

As a launch partner for AWS Transform, Kyndryl has already worked with AWS on customer modernisation projects. The latest announcement formalises a more integrated structure for that work, centred on what the companies described as a scalable and repeatable approach.

Shawn D'Souza, Global Modernisation Leader at Kyndryl, said the shift in how companies approach these programmes is becoming more important as AI adoption grows.

"Many organisations are still treating modernisation as a destination when it should be a continuous business capability," D'Souza said.

"Organisations that can continuously modernise applications, infrastructure and core systems will be better positioned to adopt AI, adapt to change and create long-term value. Together with AWS, we're helping customers build that capability at scale," he added.

Kyndryl operates in more than 60 countries and focuses on advisory, implementation and managed services for large and complex information systems.