mrc's Cup of Joe Blog

Join us in exploring the world of modern development, evolving technologies, and the art of future-proof software

Year: 2026

What’s Driving Cloud Repatriation in 2026?

Something interesting is happening in IT departments right now. The same leaders who spent years migrating workloads to the cloud are quietly moving some of them back.

Not all of them. And, I’m not tyring to say that businesses are now rejecting the cloud or anything like that.

However, there’s a growing push for “Cloud Repatriation” because the math stopped working for certain workloads and the governance requirements changed faster than anyone expected.

In case you’re unfamiliar with the term, let’s quickly define it.

What is cloud repatriation? Cloud repatriation is the process of moving applications, data, or workloads out of a public cloud environment (like AWS, Azure, or Google Cloud) and back to on-premise infrastructure or a private cloud. It’s rarely a full cloud exit. Most often, it’s a targeted move of specific workloads where the cost, performance, or compliance profile makes more sense outside the public cloud.

If you’re an IT director or CIO watching your cloud bills climb past projections every quarter, you’ve probably at least considered it. Cloud repatriation is a strategic shift happening across industries. Let’s get into what’s driving it, why AI is accelerating the trend, and how to evaluate what belongs where in your own environment.

What software should NOT be SaaS?

What types of business software should NOT be used on a SaaS model?

That’s something I’ve been thinking about lately as I read more and more cases of rising SaaS costs. The fact is, most businesses are paying more for their SaaS tools than they were last year. Same tools and users, just a bigger bill. 

73% of SaaS companies raised prices in 2025, averaging 14.2% increases. SaaS inflation is running at roughly five times the general rate. CIOs now spend about 9% of their IT budget just absorbing price hikes on software they already have. According to Zylo’s 2025 SaaS Management Index, SaaS spending per employee hit $4,830 last year, up 21.9% from the year before.

For mid-market companies, per-employee spend jumped 40%. Gartner estimates 25% of all SaaS spend is wasted or underutilized. And 78% of CFOs say they’ve been blindsided by hidden fees or price hikes baked into their contracts.

The vendors aren’t subtle about this anymore. A few examples from the last two years:

How to Build Custom Apps Over Your ERP (Without Changing It)

Let me ask you a question: Does your ERP system actually fit your business?

Does it match the way your people work and/or how your business operates day to day? Probably not…and you’re not alone. I talk to IT leaders all the time who tell me the same thing. Their ERP handles the core stuff fine. Beyond that? There are gaps.

Watch the full walkthrough: In this 20-minute video, we build a purchase order form, and approval workflow, all over ERP data (without touching the ERP).

A PowerApps Alternative That Lets You Own the Platform (No Per-User Fees)

If you’re evaluating PowerApps for the first time in 2026, the pricing just changed.

I know…SaaS pricing changes all the time. So what? The business world has gotten used to it.

But here’s the thing. When you’re dealing with a low-code platform that creates and runs your business applications, it’s different. Your business often relies on the applications that it’s created. A pricing change can have major implications for everything you’ve built and everyone who depends on it.

I want to dig into this idea, using PowerApps’ recent change as an example. Is SaaS really the best approach for low-code?

Shadow AI Is the New Shadow IT (and Better Policies Won’t Stop It)

Something is happening in your organization right now that you probably don’t have full visibility into.

It’s happening in organizations across the globe.

Business analysts are building reporting dashboards with AI tools, connected to live company data, with no IT involvement.

Finance staff are pasting budget projections into consumer AI platforms to run analysis faster than waiting on a request.

HR employees are running sensitive policy documents through a chatbot to get quick summaries.

Staff in operations are building workflow automations using free AI builders they found online.

None of it went through IT.

That’s shadow AI. And the reason it matters isn’t just that data is leaving your environment…though it is. It’s that this behavior is accelerating faster than any governance policy can catch up with.

Eventually, everything these people built becomes your problem to secure, maintain, and explain to auditors.

How to Build AI Workflows Over Your Data

Some things don’t really “click” until you see them in action. You hear people talking about some new technology, trend, or tool. But you don’t really “get it” until you see it.

That’s how data-driven AI workflows were for me.

I’d heard the AI hype. Then I saw an AI assistant working over live business data. My wheels started spinning. It opened up so many possibilities. 

Then I saw that AI assistant added to a workflow. Data was passed to the assistant, which then made a decision…and led to another workflow step, which could then lead to another assistant and so on.

That’s when it really clicked. You can do anything with this.

In this article, I’ll explain more about AI workflows and why they’re so important to businesses. What are they? How do they work? Why should you care?

Also, we’ve included a video that walks through the whole process of creating an AI workflow from start to finish. After all, some things don’t really “click” until you see them in action.