The curve of technological advancement is becoming steeper by the day. While this undoubtedly brings opportunities, it also presents challenges. One of the key questions for organizations prioritizing constant innovation is: how do we deal with outdated technology? In other words, how can you detect in advance if your assets—and, by extension, your business—are at risk? What strategies can you implement to avoid problems? And what tools should you deploy to stay ahead?
These concerns are not just valid—they’re widely shared. According to The Kyndryl Readiness Report, 64% of 3,200 leaders and decision-makers surveyed expressed concerns about their outdated systems. And while nearly all respondents stated that technological modernization is a priority in their organizations, 44% of critical infrastructure is approaching end-of-life. Sounds alarming, doesn’t it?
I don’t need to tell you: this brings countless risks. But it’s not all bad news. In this article, we’ll not only unpack the main risks of using outdated technology, but we’ll also explore how to handle this reality with a well-executed IT lifecycle strategy. Ready? Let’s get started!
What is outdated technology?
Outdated technology refers to systems, software, or hardware that are no longer up-to-date with current standards or competitive when compared to modern alternatives. While these tools can still function, they often fall short in performance, security, and compatibility, making it harder for organizations to keep up with today’s fast-paced demands.
Here’s the thing: outdated technology—including many legacy systems—may still get the job done, but not without some serious drawbacks. These older tools often struggle to integrate with newer systems, slow down productivity, and rack up higher maintenance costs over time. Imagine trying to use a flip phone in a world of smartphones—it works, but barely.
And no, outdated technology isn’t the same as obsolete technology. Outdated tools still function (even if begrudgingly), while obsolete ones are completely unsupported or unusable. The catch? Let outdated tech linger too long, and it’s a one-way ticket to obsolescence—and all the risks that come with it.
5 risks of outdated technology
Outdated technology isn’t just a minor inconvenience—it’s a ticking time bomb for organizations. According to The Kyndryl Readiness Report, 44% of critical IT infrastructure is nearing end-of-life, leaving businesses exposed to significant risks. From cyber threats to operational inefficiencies, relying on outdated systems can hold your organization back and even put its future at stake.
Let’s break down the biggest risks of outdated technology and why modernizing your IT environment is essential.
- Increased vulnerability to cyber threats.
- Decreased productivity and efficiency.
- Higher maintenance and operational costs.
- Difficulty staying compliant.
- Limited scalability and innovation.
#1: Increased vulnerability to cyber threats
Old systems are a hacker’s dream. Without regular updates and patches, outdated technology becomes a playground for cybercriminals. Vulnerabilities in unsupported systems can lead to data breaches, ransomware attacks, and other costly security incidents.
Take the 2017 WannaCry ransomware attack, for example. This global cyberattack exploited vulnerabilities in outdated Windows systems that hadn’t received critical patches. The NHS in the UK was among the hardest hit, with outdated operating systems leading to canceled surgeries, disrupted care, and millions in damages.
#2: Decreased productivity and efficiency
It might seem cheaper to hold onto older systems, but outdated technology can end up costing more in the long run. Legacy tools often require expensive repairs, custom fixes, or higher energy usage. Not to mention, downtime caused by failing systems can hit your bottom line hard.
A well-known example comes from Delta Airlines, which suffered a massive outage in 2016 due to a power failure that crashed their legacy IT systems. The airline canceled 2,300 flights and incurred over $150 million in losses—not counting the hit to their reputation.
#3: Higher maintenance and operational costs
It might seem cheaper to hold onto older systems, but outdated technology can end up costing more in the long run. Legacy tools often require expensive repairs, custom fixes, or higher energy usage. Not to mention, downtime caused by failing systems can hit your bottom line hard.
#4: Difficulty staying compliant
As regulations evolve, outdated systems often fail to meet new compliance standards. This puts organizations at risk of fines, legal consequences, and reputational damage. Staying compliant requires technology that can adapt to new security, data privacy, and industry-specific requirements.
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#5: Limited scalability and innovation
Outdated technology can’t keep up with your business as it grows or pivots to new opportunities. Legacy systems often lack the flexibility to integrate with modern tools or support emerging technologies like AI or cloud solutions. This limits your ability to innovate and stay competitive in a rapidly changing market.
7 steps to manage outdated technology
Managing outdated technology might seem daunting, but it doesn’t have to be. The process we’re about to outline can be applied with or without specific tools, making it accessible for organizations of all sizes and budgets. However, pairing this process with a powerful IT Asset Management tool, like InvGate Asset Management, can be a game-changer.
With the right tool, you can automate key parts of the process, gain deeper insights into your IT environment, and ensure nothing falls through the cracks. It’s the difference between manually climbing a mountain and taking the lift—you’ll still reach the summit, but one approach is faster, easier, and far less exhausting.
Now, let’s dive into the seven steps that will help you effectively manage outdated technology and future-proof your organization.
1. Audit your IT infrastructure
The first step to addressing outdated technology is to know exactly what you’re working with. Conduct a thorough inventory of your IT environment, covering all systems, software, and hardware. The goal is to gain a clear picture of your current state and identify components that are outdated or approaching end-of-life.
While discussing the NIS2 implementation in episode 80 of Ticket Volume - IT Podcast, CISO and Senior OT Security Consultant at CNV Cyber, Gennady Kreukniet, highlighted an essential point: the benefits of "knowing what you have" and leveraging an IT Asset Management (ITAM) tool:
2. Identify critical dependencies and risks
Outdated technology rarely operates in isolation, and its impact often ripples across your IT environment. Mapping the dependencies between systems, software, and hardware is key to understanding the broader implications of aging tech. Ensuring your ITAM tool includes Configuration Management Database (CMDB) capabilities can be invaluable for this step, offering a clear view of relationships and dependencies across your IT estate.
Focus on assets critical to your business operations or compliance requirements. This step is crucial for identifying which outdated systems pose the greatest risks, whether through cybersecurity vulnerabilities, operational bottlenecks, or increased downtime. For example, if your payment processing system relies on an unsupported operating system, it could put sensitive financial data at risk, making it a high-priority item to address.
3. Define a modernization roadmap
Replacing outdated systems all at once isn’t realistic for most organizations, so the next step is to create a phased modernization plan. Prioritize upgrades based on factors like risk, cost, and business impact, setting clear short-, medium-, and long-term goals.
Align this roadmap with your budget cycles and strategic objectives, considering incremental approaches like phased cloud migrations or hybrid IT models to make the transition smoother.
4. Invest in scalable and future-proof solutions
When it’s time to upgrade, it’s not just about fixing today’s problems—it’s about preparing for the future. Opt for technologies that are scalable, compatible with emerging tools, and built with robust security features. Cloud-based solutions or SaaS options are increasingly popular because they offer flexibility and simplify updates. Evaluate vendors not only for their current offerings but also for their ability to innovate and provide long-term support.
This is where tools like InvGate Asset Management shine, as they help track asset lifecycles and ensure new solutions integrate seamlessly with your existing systems.
5. Engage and train your teams
Even the best technology will fall flat without proper adoption, which makes engaging and training your teams essential. Start by clearly communicating the reasons behind modernization, emphasizing the benefits like improved workflows, reduced frustrations, and greater productivity. Offer tailored training programs that align with each team’s needs, and consider appointing change champions in departments to advocate for the new tools.
Don’t forget to create a feedback loop during training to address concerns or challenges early, ensuring smoother adoption across the organization.
6. Establish continuous monitoring and review
Modernization isn’t a one-time task—it requires ongoing attention. Regular monitoring and preventive maintenance are essential to keep your systems performing at their best and prevent them from becoming outdated again. Tools that track asset lifecycles can provide visibility into aging equipment, helping you address potential issues before they escalate.
Scheduling routine updates and performance assessments will help you maintain a healthy IT environment. Regularly reviewing your IT performance against key metrics like downtime or security incidents ensures you stay aligned with your business goals.
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7. Plan for the next upgrade cycle
Finally, remember that modernization is an ongoing journey. As soon as you complete one cycle, begin planning for the next. Use insights from previous upgrades to refine your approach and build a long-term IT lifecycle strategy. Stay on top of emerging trends and allocate part of your budget for future modernization efforts.
Additionally, explore sustainable practices when retiring old equipment, such as partnering with vendors that offer recycling programs or donating hardware for reuse, to minimize e-waste and support corporate social responsibility goals.
How can InvGate Asset Management help detect and manage outdated technology
Outdated technology can feel like an invisible threat—hard to spot until it’s already causing problems. That’s where InvGate Asset Management comes in. As a powerful ITAM solution, it provides the visibility and tools you need to identify, track, and address outdated hardware, software, and systems before they become a liability.
Whether it’s aging servers, unsupported software, or legacy systems, InvGate Asset Management empowers you to take control of your IT environment. By combining automated discovery, robust reporting, and lifecycle tracking, it transforms the daunting task of managing outdated technology into a streamlined, proactive process.
Creating a unified IT asset inventory
Before diving into the specific features that can help address outdated technology, it’s important to note that creating a unified asset inventory is a best practice for IT management. A comprehensive inventory gives you a complete view of all your assets, enabling you to identify risks, prioritize upgrades, and make informed decisions that support your organization’s goals.
InvGate Asset Management simplifies this process with multiple methods to build and maintain your inventory. From installing an agent for real-time data updates to network discovery for mapping connected devices and syncing cloud-based assets, the platform ensures you have full visibility. You can also upload existing spreadsheets or manually add custom assets to fill any gaps, ensuring no critical resources are overlooked.
Beyond Inventory Management, InvGate’s Configuration Management Database (CMDB) adds another layer of value by mapping relationships between assets, software, and systems. This enables dependency tracking, impact analysis, and strategic lifecycle monitoring to prevent surprises and reduce downtime. Together, these capabilities empower organizations to detect outdated technology early, prioritize upgrades, and maintain control over their IT environment.
Automating Asset Lifecycle Management
Once your inventory is unified and up-to-date, the next step is to track and manage your assets effectively throughout their lifecycle. InvGate Asset Management includes powerful features that simplify asset lifecycle management, helping you maximize efficiency, minimize costs, and proactively address outdated technology. Here’s how:
#1: QR codes for Asset Management and asset tracking
With QR codes, you can streamline Asset Management and make tracking effortless. InvGate Asset Management allows you to assign unique QR codes to each asset, giving your team instant access to critical information like location, status, and warranty details with a simple scan. Whether you’re in the office or on-site, QR codes ensure that up-to-date asset data is always at your fingertips.
For example, you can quickly scan a QR code to check if a laptop is nearing the end of its warranty or due for replacement. This eliminates the guesswork and manual effort typically involved in tracking physical assets.
#2: Health rules for Asset Health Management
Keeping your assets in optimal condition is essential to avoiding downtime and unexpected failures. InvGate Asset Management’s health rules feature lets you define specific parameters—such as disk space thresholds, CPU usage limits, or software update status—to monitor asset performance and status.
These rules allow you to categorize assets as safe, warning, or critical, giving you a real-time overview of their health. For example, you can configure a health rule to flag devices that haven’t received a critical software update, enabling your IT team to intervene proactively before security vulnerabilities arise.
#3: Smart tags for Warranty Management
Managing warranties across a large IT environment can be a challenge. InvGate Asset Management simplifies this with smart tags, which let you categorize and track assets based on warranty status. You can create tags like “warranty expiring soon” or “out of warranty” to prioritize replacements and ensure compliance with service agreements.
For example, if a server’s warranty is about to expire, a smart tag can help flag it for review. This not only avoids unexpected repair costs but also ensures minimal disruption to critical business operations.
#4: Automated depreciation of assets
Managing the financial lifecycle of your IT assets is a critical aspect of combating outdated technology. With InvGate Asset Management’s automated depreciation feature, you can easily track how assets lose value over time, helping you plan replacements and optimize your IT budget effectively.
This functionality enables you to create custom depreciation rules tailored to specific asset types and manufacturers, ensuring accuracy and adaptability. Whether you prefer straight-line depreciation or more advanced methods, InvGate Asset Management calculates values in real time, automatically updating asset records.
How does this help with outdated technology? By tracking depreciation, you’ll know precisely when an asset has reached the end of its useful life or has become too costly to maintain. For example, if a server’s current value drops below 50% of its purchase price, InvGate Asset Management can send an alert, ensuring your IT team prioritizes its replacement before it becomes a liability.
#5: License Management: Simplify compliance and prevent outdated technology
InvGate Asset Management’s License Management capabilities help you avoid the pitfalls of outdated software, ensuring your organization stays compliant, cost-efficient, and up-to-date. By centralizing and automating the tracking of software licenses, you can:
- Identify and replace outdated software: Quickly spot licenses tied to unsupported or end-of-life software and prioritize upgrades to ensure your business remains secure and operational.
- Optimize license usage: Track underutilized licenses and reallocate them to prevent waste and overpayment, while ensuring key software tools are available to those who need them.
- Proactively manage renewals: Stay ahead of expiration dates with automated alerts, reducing the risk of using outdated or non-compliant software versions.
- CMDB integration for context: Understand how licenses connect to other assets, users, or systems, helping you assess the broader impact of retiring or upgrading software tied to legacy systems.
By keeping your software licenses organized and up-to-date, InvGate Asset Management empowers your IT team to eliminate outdated technology and optimize your software ecosystem—saving money and reducing risks along the way.
#6: Software metering: Eliminate waste and tackle outdated software
InvGate Asset Management’s software metering capabilities give you unparalleled insights into how your applications are being used. By monitoring software installations and usage across your organization, you can take proactive steps to combat outdated technology and maximize your resources.
Here’s how software metering helps:
- Spot outdated software: Track usage patterns to identify software that is no longer in use or has been replaced by newer, more efficient tools. Decommissioning these programs reduces security risks and improves performance.
- Reallocate underutilized licenses: Free up licenses from unused or infrequently used software and assign them where they’re needed most—avoiding unnecessary purchases.
- Ensure compliance: Keep an accurate record of software usage to ensure adherence to licensing agreements and avoid penalties tied to unauthorized usage.
- Monitor in real-time: With InvGate’s agent installed on devices, you can monitor software activity, including the last use, frequency, and duration, to make data-driven decisions about upgrades and replacements.
By integrating software metering into your IT strategy, you can identify which programs are essential and which are holding your organization back. This helps your IT team focus on modernizing your tech stack while ensuring your software investments deliver maximum value.
Conclusion
Outdated technology doesn’t have to be a barrier to innovation or a source of risk for your organization. By adopting a proactive IT lifecycle strategy and leveraging tools like InvGate Asset Management, you can address the challenges head-on. From automating asset inventories and tracking lifecycles to managing licenses and monitoring software usage, InvGate equips your IT team with the insights and tools needed to stay ahead.
Modernization is not a one-time task—it’s an ongoing journey. With the right processes and solutions in place, you can future-proof your IT environment, cut unnecessary costs, and focus on what truly matters: driving your business forward.
Ready to leave outdated technology behind? Start your journey today with InvGate Asset Management. Ask for your free 30-day trial.
