Back in November 2024, the team at Exploding Topics dropped a post that read like the holy scripture for digital transformation (DX) disciples: A data-packed roundup of stats that painted DX as the hottest thing in tech since Kubernetes and TikTok combined. The article was slick, exhaustive and highly shareable — a candy store for DX evangelists looking for ammunition to justify their 2025 roadmaps. 

Fast forward seven or eight months, and it’s fair to ask: Was it just a collection of neat numbers, or did it actually capture something real about where IT was (and is) headed? More importantly, is digital transformation still the driving force behind enterprise IT strategy — or are we watching the term quietly fade into the background, replaced by newer, shinier buzzwords?

Let’s unpack this.

The Stat Sheet: Still Valid or Already Obsolete?

The original post from Exploding Topics featured some eye-popping numbers. Among the highlights:

• The global DX market is projected to hit $3.4 trillion by 2026. 
• 91% of businesses engaged in “some form” of digital initiative. 
• AI, IoT, cloud computing, cybersecurity and big data were pegged as the core drivers. 

All of that still technically holds up. No one’s arguing that companies have stopped investing in digital tools or rethinking their business models. But here’s the thing: Just because companies are doing something doesn’t mean they’re calling it “digital transformation” anymore.

The buzz has shifted. We used to say DX. Now, it’s all about modernization. And that subtle shift in language might be more than just semantics.

DX vs. Modernization: A Rebranding or a Reality Check?

Let’s be blunt: “Digital transformation” is starting to feel like one of those 2018-era TED Talk catchphrases that doesn’t quite hit the same in 2025. Not because the underlying idea is flawed — but because it’s been overused, misunderstood, and, frankly, abused by consultants and vendors alike.

Now, organizations are talking about application modernization, infrastructure modernization, workforce modernization. DX hasn’t disappeared, it’s just been sliced up into more digestible, ROI-friendly chunks. It’s modernization by a thousand cuts. That makes it easier to budget, easier to measure and easier to sell to boards who’ve grown weary of multi-year “transformation” initiatives that cost eight figures and produce PowerPoint decks instead of results.

So was that stat bomb from last fall wrong? Not exactly. But maybe it was looking at DX like it was still a movement, rather than what it’s become: Table stakes.

Has AI Hijacked the Transformation Narrative?

There’s also this elephant — well, superintelligent machine — in the room: Artificial intelligence. If DX was the belle of the ball from 2017 to 2022, AI has since kicked down the doors and stolen the spotlight, the DJ and half the guests.

Let’s be honest — every boardroom, IT strategy doc and VC pitch deck in 2025 is centered around AI. Not DX. AI is the new transformation. Whether it’s generative AI, predictive analytics, autonomous agents or AI-augmented software development, the narrative has shifted hard.

That doesn’t mean companies don’t need to transform. On the contrary, to properly leverage AI, most organizations must modernize their infrastructure, data pipelines and processes. So the irony is that the success of AI initiatives depends on good ol’ DX groundwork — data lakes, APIs, hybrid cloud, security posture. All the stuff we used to get excited about in DX playbooks.

But the branding has changed. We’re not calling it DX anymore. We’re just… doing it.

Where Do We Go From Here?

So what do we make of it all? Was the Exploding Topics post just a sexy infographic graveyard? A snapshot of a moment already fading?

Not entirely.

It served a purpose — it reminded us that transformation wasn’t just hype. It was real. It’s just that now, we’ve moved into the “quiet phase” of DX. The headlines are about AI, but the heavy lifting under the hood is still transformation — just under a different name.

What I’d love to see — need to see — is an update. Not just to the stats, but to the framing. How many companies have achieved lasting transformation outcomes? How many initiatives got shelved after the CIO left or the budget dried up? How many DX projects are now labeled “AI enablement” because someone realized that’s where the VC money and executive attention are going?

Stats, Lies, and the Truth We Need

Look — statistics are helpful. But they’re also slippery. DX has always been part gospel, part grift. Vendors love to throw around stats to make their software sound like a silver bullet. Consultants love a multi-year engagement built on transformation dreams. But behind all those slides and soundbites, there’s still one hard truth: Transformation is hard. It’s messy. It rarely fits neatly into Gartner quadrants or HBR case studies.

So here’s my challenge to the industry: Let’s get real. Let’s revisit those stats from 2024 and do a fall check-in. Not just how many dollars are being spent, but where. What’s working. What’s failed. And what’s next.

Because DX isn’t dead. But it has changed — and we need to change how we talk about it, measure it and, most importantly, deliver it.

Until then, I’ll keep watching — and maybe, just maybe, write a new post this fall titled, “Digital Transformation: Resurrection or Rebrand?”

Stay tuned.

— Alan Shimel

Editor-in-Chief, Techstrong Group

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