AI in Cybersecurity Market Report 2025

The AI in cybersecurity market size has grown exponentially in recent years. It will grow from $24.67 billion in 2024 to $30.79 billion in 2025 at a compound annual growth rate (CAGR) of 24.8%. The growth in the historic period can be attributed to proof of AI efficacy, emergence of predictive analytics, big data utilization, evolving cybersecurity landscape, early adoption of AI techniques.

The AI in cybersecurity market size is expected to see exponential growth in the next few years. It will grow to $82.56 billion in 2029 at a compound annual growth rate (CAGR) of 28%. The growth in the forecast period can be attributed to increasing cyber threat sophistication, growing adoption of IoT devices, demand for real-time threat detection, shift to cloud-based security, cybersecurity skills gap. Major trends in the forecast period include AI in endpoint security, threat intelligence and information sharing, ai-enhanced incident response, AI-powered authentication, prediction and preemptive measures.

The growth of the AI in cybersecurity market is expected to be driven by the increasing number of cybercrimes. Cybercrime, which involves illegal activities utilizing computers, networks, or digital devices with malicious intent, such as data theft, system disruptions, and fraud, has seen a significant surge. Artificial intelligence is being leveraged to counter this growing threat by providing advanced security solutions capable of rapidly detecting, analyzing, and responding to cyber threats in real time. Additionally, AI helps reduce false positives by filtering out non-threatening activities. In 2022, the Federal Bureau of Investigation reported a substantial increase in investment fraud complaints, reaching $3.31 billion, a 127% rise from the $1.45 billion reported in 2021. Notably, cryptocurrency investment fraud witnessed a staggering 183% increase, soaring from $907 million in 2021 to $2.57 billion in 2022. As a result, the rise in cybercrimes is fueling the growth of the AI in cybersecurity market.

The growth of AI in cybersecurity is anticipated to be propelled by the increasing adoption of IoT devices. The proliferation of IoT devices leads to an expanded attack surface for potential cyber threats. As more devices connect to networks, cybercriminals have more entry points to exploit. AI in cybersecurity plays a vital role in continuously monitoring and analyzing the vast amounts of data generated by these devices, enabling the identification of abnormal patterns and potential security threats. For example, according to Dataprot, a Serbia-based cybersecurity solutions company, there were over ten billion active IoT devices in use in 2021, and this number is expected to increase to 25.4 billion by 2030. Therefore, the growing adoption of IoT devices is a key driver for the expansion of the AI in cybersecurity market.

Leading companies in the AI in cybersecurity market are actively developing innovative solutions for enterprise security to maintain a competitive advantage in the industry. Enterprise security encompasses a comprehensive set of measures and strategies implemented by organizations to safeguard their information, assets, technologies, and operations from various threats and risks. An example of this trend is evident in the actions of SentinelOne, Inc., a US-based cybersecurity company. In April 2023, SentinelOne launched a cutting-edge threat-hunting platform that utilizes generative artificial intelligence and reinforcement learning. This platform integrates real-time neural networks and a language model-based natural language interface, allowing users to manage and monitor security data with AI, gain instant insights, and seamlessly take necessary actions. By aggregating information from diverse sources, the platform recommends and executes response actions without requiring coding skills. SentinelOne's objective is to empower organizations to scale their cybersecurity operations, stay ahead of evolving threats, and establish a robust defense foundation for the future.

Major players in the AI for cybersecurity market are introducing AI-based products, such as AI-powered cybersecurity assistants, to gain a competitive edge. AI-powered assistants are computer programs or applications utilizing artificial intelligence technologies to perform tasks, offer information, and assist users with various activities. A case in point is BlackBerry Ltd., a Canada-based software company, which, in October 2023, launched a Generative AI-powered assistant specifically designed for Security Operations Center (SOC) teams. Serving as a SOC Analyst, this enterprise-grade solution delivers advanced cyberthreat analysis and support to enhance Chief Information Security Officer (CISO) operations. Leveraging private large language models (LLMs) for precision and data privacy, the assistant seamlessly integrates into the Cylance Console, providing a natural workflow that surpasses traditional chatbot experiences. Tailored for BlackBerry's Cylance AI customers, the assistant predicts user needs and proactively delivers information to streamline SOC operations, addressing challenges such as an evolving threat landscape and resource constraints faced by security officers.

In September 2024, Mastercard Inc., a US-based payment processing company, announced its acquisition of Recorded Future for $2.65 billion. This strategic move is intended to enhance Mastercard's cybersecurity infrastructure by leveraging Recorded Future's advanced AI-driven threat intelligence capabilities. By integrating these solutions, Mastercard aims to improve its ability to identify and mitigate cyber threats effectively. Recorded Future is recognized for its innovative cybersecurity solutions that provide real-time threat intelligence, helping organizations to stay ahead of potential security risks. This acquisition underscores Mastercard's commitment to bolstering its defenses against increasingly sophisticated cyber threats in the financial sector.

Major companies operating in the AI in cybersecurity market include Nvidia Corporation, Intel Corporation, Xilinx Inc., International Business Machines Corporation, Amazon Web Services Inc., Microsoft Corporation, Palo Alto Networks Inc., CrowdStrike Holdings Inc., NortonLifeLock Inc., Cylance Inc., FireEye Inc., Check Point Software Technologies Ltd., Darktrace Plc, McAfee LLC, Symantec Corporation, Fortinet Inc., Cisco Systems Inc., Splunk Inc., Varonis Systems Inc., Trend Micro Incorporated, Sophos Group plc, Carbon Black Inc., Dragos Inc., Zscaler Inc., CyberArk Software Ltd., Lookout Inc., XM Cyber Ltd., Axonius Inc.

North America was the largest region in the AI in cybersecurity market in 2024. Asia-Pacific is expected to be the fastest-growing region in the global AI In cybersecurity market report during the forecast period. The regions covered in the ai in cybersecurity market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the ai in cybersecurity market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

AI in cybersecurity involves applying AI technologies and methods to enhance and reinforce cybersecurity measures. This entails analyzing extensive risk data and the connections between hazards in an organization's information systems to more efficiently and effectively detect, prevent, and respond to threats and attacks.

The primary offerings in AI in cybersecurity include hardware, software, and services. Hardware encompasses physical devices such as servers, routers, firewalls, and other network components, which are utilized to secure and manage data flow within an organization's network infrastructure. AI-based cybersecurity is employed for endpoint devices, such as laptops, desktops, and mobile phones, requiring protection against cyber threats. Key technologies involved are machine learning, natural language processing (NLP), and context-aware computing, providing various security types such as network security, endpoint security, application security, and cloud security. It is applied in identity and access management, risk and compliance management, data loss prevention, unified threat management, security and vulnerability management, antivirus or antimalware, fraud detection or anti-fraud, intrusion detection or prevention systems, threat intelligence, and more. Various industries, including banking, financial services, and insurance (BFSI), retail, manufacturing, infrastructure, enterprise, healthcare, automotive and transportation, government and defense, utilize AI in cybersecurity.

The AI in cybersecurity market research report is one of a series of new reports that provides AI in cybersecurity market statistics, including AI in cybersecurity industry global market size, regional shares, competitors with a AI in cybersecurity market share, detailed AI in cybersecurity market segments, market trends and opportunities, and any further data you may need to thrive in the AI in cybersecurity industry. This AI in cybersecurity market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.

The AI in cybersecurity market consists of revenues earned by entities by AI-based security, AI-based training, and education, AI-based user behavior modeling, and automation of manual security processes. The market value includes the value of related goods sold by the service provider or included within the service offering. The AI in cybersecurity market also includes sales of computers, computer peripherals, and telecommunications such as integrated circuits, smartphones, laptops, and CPUs, and field programmable gate arrays. Values in this market are ‘factory gate’ values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors, and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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