Businesses across Europe are reworking IT budgets as they look to cut operating costs and get more from the software they already pay for, according to a new study by software broker Forscope.

The report found that 52 per cent of EU businesses use cloud computing, while 96 per cent rely on subscription-based SaaS software, with office suites, financial management systems, ERP platforms and CRM tools among the most common categories.

It also said that there is often a mismatch between subscription costs and the extent to which companies actually use the available features.

Forscope presented the findings from a new technical approach aimed at optimising IT infrastructure.

The method uses AI tools under technical supervision to replace bulky subscription platforms with smaller, targeted in-house applications, cutting total cost of ownership by up to 70 per cent over three to five years.

The approach is based on analysing real operational needs, keeping essential productivity tools, removing unnecessary features and adding any functions that are missing.

It is mainly aimed at internal processes such as human resources systems, helpdesks and reporting tools, with the companies saying tailored solutions can be delivered in roughly three months under existing business standards.

“The market is now looking for sustainable alternatives to standard subscription models, with emphasis on security, data control and reducing unnecessary expenses,” said Jakub Sulak, chief executive of Forscope.

The report also comes as organisations face major software support deadlines for key operating systems and office suites such as Windows 10 LTSC and older versions of Microsoft Office.

It further stated that “the end of manufacturer support does not automatically make existing software unusable or unsuitable for operation”.

“Instead of expensive, rushed mass upgrades, more companies are opting for combined solutions, including software packages bought from firms that no longer use them and special security programmes from software suppliers, in order to make the transition smoother and more controlled,” the report concluded.