At Gartner IT Symposium/Xpo 2025 in Orlando, we asked booth visitors three quick questions: How far along are they in AI adoption? What cost concessions do they expect from vendors using AI? How is this reshaping their sourcing strategy? Their answers reveal where leaders are on their AI journey, and how it’s already reshaping commercial expectations and delivery models.
Snapshot of the findings
Here’s how respondents answered our three questions:
- AI maturity (1 = just starting, 5 = advanced)
- 77.4% of respondents rate themselves between 1 and 3
- 22.5% of respondents rate themselves at 4 or 5
- Average rating: 2.5
- How much cheaper organizations expect IT sourcing contracts to get as providers adopt AI
- Average: ~20%
- Range: 0-60
- Impact of AI on sourcing models
- ~40% plan to insource more
- ~29% plan to outsource more
- ~30% said neither
Takeaway 1: Most organizations are still early in their AI journey
The average AI maturity self-assessment landed at 2.58 out of 5, signaling that while AI is top of mind, many organizations aren’t yet operating at scale.
This early-stage clustering isn’t surprising: sourcing and procurement teams are still working through governance, skills, and identifying where AI can deliver the most value. What is notable is that many of these same organizations are already baking AI expectations into their sourcing strategies—well before fully operationalizing the technology.
The deals being signed today will shape how these programs scale tomorrow. At this stage, it’s less about running AI at scale and more about laying the strategic and commercial foundation that will determine future value.
Takeaway 2: Expectations for cost savings are high, but nuanced
When asked how much cheaper they expect multi-year IT sourcing contracts to become as providers adopt AI, respondents reported an average expected price reduction of roughly 20%.
That figure signals that procurement and sourcing teams are already pricing AI into their negotiations. Buyers expect vendors to translate delivery efficiencies into lower rates, leaner team structures, or faster cycles.
It gets interesting when you examine average contract price expectations across AI maturity:
- Leaders with self-rated AI maturity of 1-2 expect ~16% reductions from vendors
- Organizations just starting their AI journey tend to anchor on conservative expectations. They may not have a clear view of where AI will deliver measurable gains in sourcing, so their posture is more reactive than strategic. Many are likely watching the market to see what concessions are possible before setting harder targets of their own.
- Leaders who self-rated between 3-4 expect ~24% reductions from vendors
- This group is in the confidence zone. They’ve seen enough real-world applications to believe that AI can fundamentally reshape delivery efficiency. As a result, they’re negotiating more aggressively, not just for lower unit costs, but often for leaner team structures, faster delivery cycles, or AI-enabled accelerators built into deals. This is where commercial optimism peaks.
- Leaders who rated their org’s AI maturity at 5 expect ~21% reductions from vendors
- The most mature organizations appear to have tempered expectations. Many have already captured early savings or understand that AI often shifts costs rather than eliminating them entirely. Their strategies are typically more nuanced: pushing for structured value realization over time (e.g., continuous improvement clauses or gain-share models) rather than chasing headline discounts.
Takeaway 3: AI is prompting strategic realignment in sourcing strategy, in both directions
When asked whether AI has led their organization to insource more, outsource more, or make no change, the responses split fairly evenly:
- 40% said insource more
- 29% said outsource more
- 30% said neither
This shows that AI isn’t pushing organizations toward one sourcing model. Instead, it’s pushing teams to re-optimize based on their own capabilities and priorities.
But the real story isn’t about which direction they chose. It’s about whether they’re moving at all:
- Organizations shifting toward either insourcing or outsourcing expect almost identical price concessions from providers (~21-22%).
- Responses of neither expect much less (~15.7%).
This gap reveals two clear sourcing postures:
- Strategic movers, whether outsourcing or insourcing, are actively rethinking how AI will reshape delivery and using that momentum to drive commercial impact.
- Static organizations aren’t yet translating AI into sourcing action, whether due to uncertainty, lack of levers, or a “wait and see” approach.
The takeaway? Capturing value from AI isn’t about choosing insourcing or outsourcing. It’s about moving with intent. In this market, standing still means expecting (and likely capturing) less.
Conclusion: The sourcing conversation has already changed
The sourcing landscape is shifting fast, and AI is already influencing how organizations structure deals and define leverage with providers.
What stands out isn’t a single sourcing model but a new commercial posture. Price concessions are assumed, flexibility is strategic, and standing still carries an opportunity cost. The next competitive edge won’t come from simply adopting AI, but from aligning sourcing strategy to the new delivery economics it creates.
CTA: Explore how Softtek’s AI copilots and agents for the SDLC create substantial sourcing value.
.jpg)
Benjamin Burke
