Top Mainframe Modernization Companies

The mainframe modernization market is estimated to grow from USD 8.39 billion in 2025 to USD 13.34 billion by 2030, at a CAGR of 9.7%, during the forecast period. Organizations across banking, financial services, insurance, government, retail, telecommunications, and healthcare are increasingly prioritizing mainframe modernization to align their IT infrastructure with the increasing demand for agility, resilience, and digital innovation. Rather than relying on traditional maintenance, enterprises are turning to solutions such as re-hosting, re-platforming, re-architecting, and re-engineering, aiming to integrate legacy core systems with cloud, AI, APIs, and containerization.

Large enterprises and public sector agencies are deploying application modernization, platform upgrades, managed services, and hybrid migration strategies to improve operational efficiency and address regulatory compliance, cybersecurity concerns, and the ongoing challenge of mainframe talent shortages. For instance, JPMorgan Chase implemented automation-powered re-engineering to advance transaction processing, whereas the Royal Bank of Canada is adopting hybrid migration approaches to improve data stewardship and customer offerings. Government organizations, such as those in the UK and Australia, are shifting from monolithic mainframe systems toward modular, cloud-connected solutions that enable more responsive digital public services.

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The major vendors covered in the mainframe modernization market include IBM (US), TCS (India), Capgemini (France), Atos (France), AWS (US), Micro Focus (UK), BMC Software (US), Infosys (India), Wipro (India), HCL Tech (India), DXC Technology (US), Kyndryl (US), Rocket Software (US), Fujitsu (Japan), Cognizant (US), Tech Mahindra (India), Broadcom (US), and TmaxSoft (US). These players have incorporated various organic and inorganic growth strategies, including collaborations, acquisitions, product launches, partnerships, agreements, and expansions to strengthen their international footprint and capture a greater share of the mainframe modernization market. These strategies have allowed the market players to expand across geographies by offering mainframe modernization solutions and services.

IBM

IBM advances mainframe modernization by embedding AI at the core of its new Telum II processor, enabling real-time analytics and automation without added latency. Its portfolio spans re-hosting, re-platforming, re-architecting, refactoring, application modernization, and hybrid cloud integration, all supported by AI tools such as watsonx Code Assistant that simplify code transformation and documentation. IBM addresses operational continuity, security, and regulatory compliance through managed services, helping enterprises bridge legacy and cloud-native architecture effectively.

A recent IBM survey found that 88% of executives consider mainframe modernization essential for their digital transformation strategies, highlighting the importance of AI and hybrid integration. IBM’s collaborations with leading banks, governments, and enterprises, such as its work with Delta Air Lines and JPMorgan Chase, demonstrate its ability to deliver scalable, secure, and AI-augmented modernization solutions through incremental, risk-managed approaches, future-proofing essential workloads.

AWS

AWS’s mainframe modernization is powered by AWS Transform, an agentic AI platform that accelerates migration by automating large-scale code analysis, refactoring, and application decomposition. Services include automated refactoring (COBOL to Java), re-platforming, scalable modernization testing, and data replication, enhanced by AI-enabled tools such as Amazon Q Developer.

AWS partners with Blu Age, Micro Focus, and others to extend capabilities, enabling real-time data access, DevOps integration, and secure migration pathways. Its managed services ensure operational stability, compliance, and security across regulated verticals, empowering organizations globally to efficiently modernize legacy workloads and unlock new digital business value through automation and cloud scalability.

Market Ranking

The mainframe modernization market is highly consolidated, with five main players collectively holding 70–75% of the total market share. The top five companies include IBM, AWS, TCS, Capgemini, and HCLTech. They dominate the mainframe modernization market due to their unique combinations of deep legacy expertise, advanced automation and AI-powered modernization tools, and extensive global delivery capabilities. IBM’s leadership is driven by its full-stack modernization suite and hybrid cloud integration, enabling it to handle large, regulated projects in the banking and government sectors. AWS distinguishes itself with rapid, scalable cloud-native modernization through generative AI and a broad partner ecosystem, helping enterprises reduce complexity and cost.

TCS commands a significant share by leveraging proprietary frameworks and risk-managed, phased delivery models within the BFSI and public sectors. Capgemini stands out with sector-specific, AI-driven code transformation and a strong foothold in European regulated industries, supported by its “modernization factory” approach. HCLTech secures its position through flexible hybrid platform expertise, automation, and cost-efficient managed services tailored to incremental, industry-focused modernization. The ability of these companies to execute complex, compliance-heavy transformations at scale and provide end-to-end modernization solutions sustains their market leadership.

Related Reports:

Mainframe Modernization Market by Offering (Software, Services), Organization Size (Large Enterprises, SMEs), Vertical (BFSI, Telecom, IT & ITES, Retail & Ecommerce, Government, Others), and Region - Global Forecast to 2030

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