Flexera’s 2026 State of ITAM Report surveyed 512 professionals responsible for IT asset management - people who manage software licenses and cloud contracts. So this is waste seen through a licensing lens.

Flexera’s separate cloud report in March puts raw cloud infrastructure waste (IaaS/PaaS) at 29%, its first rise in 5 years, driven by AI. Different layers, same direction.

And across most cloud categories, more companies say that number is climbing, not falling.

Two things are true at once.

Scrutiny is increasing

Optimizing software spend is now the top priority for software asset management teams.

47% negotiate contract terms directly with vendors.

59% track usage and rightsize SaaS contracts.

42% look for shadow SaaS.

Buyers are watching the bill more closely. But the waste pool is still large.

Estimated waste by category:

• Public cloud software: 18-20%

• IaaS/PaaS software: 15-20%

• SaaS software: 20%, at every maturity level

• AI software: 10%, though visibility is limited

AI shows the lowest estimated waste, yet only 31% of organizations have accurate visibility into AI software. So the 10% may reflect blind spots as much as discipline.

The second chart shows pressure moving the other way:

• Public cloud software: 44% say waste increased last year

• IaaS/PaaS software: 41% - increased

• SaaS software: 43% - increased

• AI software: 59% - increased

So what does wasted spend actually mean?

Unused seats, underused licenses, overprovisioned cloud, poor pay-as-you-go or bring-your-own-license management, or commitments signed but never fully consumed.

Different owner, same problem.

Here is where it gets practical

In AWS and Google Cloud, customers can apply up to 25% of a cloud commitment to eligible third-party software through marketplace.

In Microsoft, eligible purchases can count fully (100%) toward the commitment when the offer and path qualify.

So that 18-20% of wasted cloud software spend sits right next to the part of a commitment marketplace can actually reach.

Customers face three things at once: a spend problem, a commitment they must consume, and pressure to show savings.

Lessons for Cloud GTM leaders:

1. Map which cloud commitment the customer can spend against to buy your product

2. Bring usage, savings and consolidation proof, because buyers are negotiating harder

3. Know who owns the commitment - procurement, FinOps or ITAM - and lean on your cloud co-sell partners

Marketplace will not win the deal on its own. But when a customer is already trying to turn waste into productive spend, it makes a hard budget decision far easier to justify.

Are you using cloud marketplace as a GTM path?

Source: Flexera 2026 State of ITAM