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Top 10 Mistakes Companies Make When Migrating to the Cloud: How to Avoid Them?  

February 10, 2026

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If cloud migration delivers business agility, scalable infrastructure, and optimized spending, then why do many initiatives fall short of expectations? The reason is that most companies rush adoption without careful planning. This leads to common mistakes that hurt performance and increase costs. Being aware of such avoidable errors helps teams prevent pitfalls and succeed.  

Here are the top 10 reasons cloud migrations go wrong along with practical strategies to drive real cloud value:  

1. Migrating to Cloud Without a Clear Strategy       

Attracted by the benefits of cloud migration, businesses often adopt it without a well-defined plan. They assume it will just improve operations. On the contrary, this lack of strategy causes confusion and inconsistent decisions. To avoid this, it is necessary to define clear business objectives before shifting any workload.   

A good strategy answers why, when, and what to migrate first. It aligns IT and business teams around shared goals, leading to the reduction in wasted time and preventing overspending. The crucial first step, before you start, is documenting your cloud strategy.    

Inadequate planning causes businesses to choose the wrong platform, which increases the risk of project failure. A defined roadmap guides workloads to the right environment. That’s how your strategy becomes the foundation of success.   

For instance, a UK-based online fashion retailer, ASOS, leveraged Microsoft Azure cloud services for their core system transformation without a fully defined cloud strategy. Due to limited workload planning and resilience design, a major outage occurred in 2019. The incident disrupted operations, impacted revenue, and forced ASOS to rethink its Azure architecture and governance approach.  

2. Underestimating Change Management   

Migrating to cloud changes people’s daily work. Many companies overlook employee training and support. This leads to resistance and slow adoption, and can be avoided by planning change management early.  

Communicate the why and what of migration to employees. Provide training for new cloud tools and processes. Empower champions to help peers learn quickly. This eases transition and builds confidence. 

Change management also includes feedback loops. Ask users what works and what doesn’t. Make adjustments based on real issues. This prevents frustration and improves engagement.   

3. Opting for a Wrong Cloud Platform   

Inadequate planning can often cause businesses end up choosing a cloud platform that doesn’t fit their needs. Each provider offers different strengths, pricing models, and services. Choosing an unsuitable platform without evaluating workload requirements can lead to performance and cost issues. Platform selection should be based on business needs, not popularity.   

Let us consider an example: Dropbox Inc., a cloud storage and sync service provider, which relied extensively on AWS during its early growth phase. As usage scaled, the platform’s cost model no longer aligned with Dropbox’s workload patterns. This drove higher spending on infrastructure. Dropbox eventually built its own infrastructure, showing how choosing a mismatched cloud platform can force costly course corrections later.  

4. Neglecting Application Modernization 

In the cloud services scenario, lift-and–shift may feel like a quick solution, but it often turns into a hidden trap later. While migrating the digital resources, most businesses tend to overlook the legacy applications that may lead to failure in delivering performance or cost benefits. Without modernization, scalability and flexibility remain limited, which turns migration into an expensive compromise instead of progress. Hence, when businesses consider refactoring or re-architecting applications before shifting to the cloud, it enables them to take full advantage of cloud-native capabilities.   

5. Ineffective Cost Management Planning   

Failure to plan the cost management can rapidly push cloud initiatives off track.   

When costs are not planned in advance, cloud expenditures can rapidly become unpredictable. Teams overprovision resources, leave unused services running, and exceed budgets without visibility. Subsequently, this creates financial pressure and forcing abrupt cuts that impact daily operations.  

Over time, rising costs erode stakeholder confidence in the cloud strategy. Projects get paused, scaled back, or abandoned altogether. What started as a move for efficiency ends up being labeled a cloud failure. 

6. Overlooking Security and Compliance  

Massive data breaches and compliance risks can stem from a lack of security measures while carrying out cloud initiatives. Most organizations do the same thing. They tend to neglect the security considerations, which exposes them to huge risks.  

Also, stemming from weak access controls and configuration, there is a potential for compliance gaps triggering legal action and quickly eroding customer trust. Over time, such issues hinder operations and damage brand reputation. Ultimately, this undermines the overall success of cloud initiatives.  

7. Insufficient Cloud Expertise 

Cloud initiatives demand specialized skills and experience. As per IDC’s 2025 report, by 2026, 9 out of 10 organizations globally are expected to experience the challenges posed by the IT skills crisis, resulting in approximately $5.5 trillion in losses attributed to product delays, reduced competitiveness, and decreased revenue.  

Knowing that cloud professionals play a critical role, yet many organizations rely solely on their internal IT teams, lacking adequate skills. This negligence contributes to a skill gap that results in operational inefficiencies. Organizations that opt for training or partner with cloud experts tackle challenges head-on and mitigate the risk significantly.   

8. Inadequate Testing and Validation  

Skipping rigorous testing during cloud migration exposes organizations to operational setbacks. It is highly likely that apps may work differently in cloud environments. As a result of this, several issues related to performance, integrity, and security may surface. To prevent this from happening, teams must perform thorough testing and ensure apps function as expected before going live.  

Here’s a real-world scenario: WorkCover Queensland, a major Australian government agency, hit a snag while migrating to the cloud. This was triggered by poor testing, which led to errors in system configuration. Consequently, this restricted system access for staff, forcing a portion to vacate the workplace. The case illustrates how skipping proper validation can turn a tech upgrade into chaos.  

9. Failing to Prepare a Disaster Recovery Plan 

Assuming cloud platforms are infallible and guarantee 100% uptime, many companies neglect a disaster recovery strategy. When outages occur, it causes severe operational disruptions. This can be avoided by keeping a disaster recovery plan with regular backups and failover testing. Plus, it is necessary to recognize critical workloads, and ensure they are protected to minimize business impact. 

10. Rushing to Migration  

Companies rush to migrate to immediately get their hands on advanced, on-demand technology, such as AI & ML. Other reasons include boosting operational agility and cost optimization. This “rush” is often driven by the competitive need to move faster, improve reliability, and scale resources instantly to meet fluctuating customer demand.  

Rather, companies must adopt a phased approach that involves careful testing and validating every stage thoroughly before shifting. Phased rollout allows enough time for staff to adapt to new systems.  

An online real estate marketplace, Xome experienced mounting pressure to scale quickly and rushed its move to the cloud. Turning to Microsoft Azure cloud services, they rapidly migrated from multiple datacenters to a unified, secure platform.  

The outcome: Accelerated development, improved team productivity, and a substantial reduction in infrastructure costs. In addition, built-in backup and disaster recovery ensured resilience. By acting fast and leveraging Azure cloud migration services, Xome overcame their on-premises limitations, gaining agility, reliability, and efficiency – proving that even a rushed cloud migration can succeed with the right platform.  

How Intelegain Helps You Migrate With Confidence  

For executives, cloud migration is about agility, security, and business impact. With years of proven experience, Intelegain ensures smooth, risk-free transitions through strategic planning, rigorous testing, and compliance-focused execution. Our phased approach minimizes downtime, optimizes costs, and safeguards critical operations.  

Partnering with us allows leadership to confidently accelerate innovation, maximize ROI, and fully leverage the cloud without disruption or hidden risks – connect with us today 

 

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