Navigating the Regulatory Landscape of Application Modernization

Organizations face a major challenge: adapting their applications to new European regulations. From data protection (the GDPR) and cybersecurity (NIS2, DORA, CRA) to artificial intelligence (the AI Act), these requirements are forcing far-reaching changes. This IDC Market Perspective explains their strategic and technical impact and recommends solutions for effective, proactive compliance.“As they strive for digital transformation, European organizations face a paradox: Compliance, risk management, and security remain top priorities, but the rising wave of regulations is making modernization more complex. As a result, organizations must develop structured road maps to anticipate and implement changes. Service providers play a crucial role in prioritizing regulations and shaping a clear compliance planning strategy.” — Cyrille Chausson, European Application Modernization Strategies lead, IDC Europe


Executive Snapshot

New Market Developments and Dynamics

IDC's Point of View

General Data Protection Regulation (GDPR)

Impact on Application Modernization

Digital Markets Act (DMA)

Impact on Application Modernization

EU Digital Services Act (DSA)

Impact on Application Modernization

EU Artificial Intelligence Act (AI Act)

Impact on Application Modernization

EU Digital Operational Resiliency Act (DORA)

Impact on Application Modernization

Cyber Resilience Act (CRA)

Impact on Application Modernization

Network and Information Security Directive 2 (NIS2)

Impact on Application Modernization

Corporate Sustainability Reporting Directive (CSRD)

Impact on Application Modernization

ePrivacy Regulation

Impact on Application Modernization

Taxation and Digital Services Taxes (DSTs)

Impact on Application Modernization

Brexit-Related Regulatory Divergence

Impact on Application Modernization

Cross-Border Data Flow Regulations

Impact on Application Modernization

Intellectual Property (IP) Regulations

Impact on Application Modernization

Advice for Service providers

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Related Research

Synopsis

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