The market has seen significant growth over the past few years and is predicted to grow significantly during the forecasted period as well.
AI is highly advanced, finding applications across different sectors like technology, healthcare, &pharmaceuticals. It serves as a critical tool in cost reduction for processes, manufacturing, development, automation, & more. Further, cybersecurity and AI analyze & battle cybercrime using technologies like speech recognition, which enhances cybersecurity capabilities, allowing quick response to cyber-attacks, mainly in anti-fraud measures & security management.
Key Takeaways
- By Offering, Services segment takes the lead in 2024
- By End User, Enterprise segment takes the lead in 2024
- In addition, the BFSI segment is expected to have robust growth over the forecasted period.
- By Type, Network Security take the lead & drive the market in 2024
- North America has a 39.1% share of revenue in the Global AI in Cybersecurity Market in 2024
Market Dynamic
In the current time, a majority of internet traffic consists of harmful bots, creating threats like account takeovers & data fraud. Countering automated threats showcases more than manual responses. Leveraging AI &
machine learning becomes critical for distinguishing between beneficial bots, like search engine crawlers, & malicious bots, along with differentiating human users from automated visitors. Further AI algorithms play an important role in creating precise IT asset inventories, highlighting all users, devices, & applications with different access levels to different systems. These AI-based solutions can assess potential attack vulnerabilities based on the asset inventory, allowing companies to strategically allocate resources to areas with the greatest risks.
Moreover, the adoption of AI is surging, finding applications in creditworthiness assessment, facial recognition, & weather forecasting. As industries seek enhanced tools, the integration of AI and cybersecurity becomes inevitable to combat highly sophisticated hacking techniques.
Research Scope and Analysis
By Type
The network security segment captures a significant revenue share in 2023, driven by the growing popularity of machine learning algorithms & artificial intelligence in cybersecurity, as businesses are highly utilizing these technologies to safeguard against & prevent cyber-attacks, marking an important role for network security.
Further, AI-based endpoint security is gaining momentum across organizations, showcasing continuous monitoring, risk-based application control, & automated classification. Endpoint security solutions are automating allow & deny lists based on known goodware & malware, respectively, in response to the number of endpoint attacks, which in connected devices has further encouraged the integration of AI-powered endpoint security technologies to discover suspicious activities & protect sensitive information. The pursuit of live authentication & behavioral analytics showcasing security solutions in the changing landscape of cybersecurity.
By Offering
The services sector secured a substantial revenue share, driving rapid growth in the AI cybersecurity market, which is attributed to the rise in demand for covering machine learning, application program interfaces, speech, sensor data, and vision, with the market's expansion is driven by advanced programs adept at reliably detecting anomalous activities. As hardware operations gain popularity, the software platform is changing to improve security capabilities, with industry participants showcasing anticipated to prioritize open system architecture, open-source software, & open standards to advance hidden computing.
Further, the growth in global prominence of networking solutions, processors, & memory solutions is driving the development of hardware-based AI in cybersecurity, with the rise in popularity of neural networks & processors expanding hardware applications, mainly in fraud detection in the middle of the global rise in cyberattacks, with the deep learning approach gaining traction in anticipated credit card fraud detection, promising further industry expansion.
By Application
The fraud detection/anti-fraud segment claimed a significant share of global revenue, as AI in cybersecurity is gaining momentum as a proactive measure against fraud, making it a leading preventive control. Machine learning has emerged as an important tool, supporting governments & end-users to battle the growth in the number of fraudulent activities. Further, the use of AI tools is expected to grow, aiming at fraud prevention, countering email phishing, & identifying fake records.
Further, enterprises are highly switching towards unified threat management (UTM) to safeguard digital assets from a spectrum of threats, like phishing attacks, spyware, unauthorized website access, & trojans. Also, the UTM approach is expected to rise in number, providing a range of security functions like intrusion detection and prevention, business VPN, gateway anti-virus, network firewalls, & web content filtering. Moreover, organizations are likely to emphasize UTM software for quick and precise detection of advanced threats, imposing scalable hardware-based monitoring to prevent attacks before entering the network.
By Technology
In terms of technology, the machine learning segment took the lead in revenue share in 2023, driven by the larger adoption of deep learning across different industries, as major players like Google & IBM are integrating machine learning into threat detection & email filtering, improving cybersecurity measures, as businesses recognize the importance of deep learning & ML in fortifying security protocols. Machine learning platforms are gaining traction for their ability to automate monitoring, identify anomalies, and sift through vast volumes of data generated by security technologies.
Moreover, the global AI in the cybersecurity market is anticipated to experience further growth, driven by the NPL segment., as the rising popularity of text summarization, sentiment analysis, question-answering systems, & natural language inference contributes to this trend, as it finds its application in uncovering data overlaps, identifying framework & standard gaps, and pinpointing security infrastructure vulnerabilities. The future also holds potential developments in the automation & customization of NLP, promising significant steps in the application of AI in cybersecurity.
By End User
The enterprise category claimed the lead in revenue share in 2023, and the BFSI sector is expected to become a major market for cyber-AI. The emphasis is on security measures to restrict data leaks & battle cyber threats, as the BFSI sector is adapting to technological advancements, experiencing a shift in how consumers engage in financial activities like purchases, payments, borrowing, & crowdfunding, to further improve operations & secure sensitive information, banks are inspecting the implementation of the zero-trust concept in their hardware, depending on threat intelligence.
Further, the growth in cyber events has spurred interest in AI within the government & defense industries, as a DDoS attack on a major Israeli telecommunications provider in March 2022, as reported by the Center for Strategic & International Studies, led to the disconnections of several Israeli government websites, highlighting the urgency for advanced AI solutions in cybersecurity.
The AI in Cybersecurity Market Report is segmented on the basis of the following
By Type
- Network Security
- Endpoint Security
- Application Security
- Cloud Security
By Offering
- Software
- Hardware
- Services
By Application
- Identity And Access Management
- Risk And Compliance Management
- Data Loss Prevention
- Unified Threat Management
- Fraud Detection/Anti-Fraud
- Threat Intelligence
- Others
By Technology
- Machine Learning
- Natural Language Processing (NLP)
- Context-aware Computing
By End User
- BFSI
- Retail
- Government & Defense
- Manufacturing
- Enterprise
- Healthcare
- Automotive & Transportation
- Others
Regional Analysis
North America dominated with a
39.1% revenue share in 2023, largely driven by the proliferation of network-connected devices driven by IoT, 5G, & Wi-Fi 6. Industries like healthcare, automotive, energy, government, and mining spurred 5G expansion, creating potential vulnerabilities for hackers. To bolster security, leading organizations plan to invest in machine learning, advanced analytics, and real-time assessment tools. North America is set to lead in adopting
natural language processing, ML, & neural networks to detect and counter cyber threats, mainly with the rise in the use of mobile devices. Nearly 60% of mobile threats grow from browsing activities, allowing stakeholders to turn to AI algorithms for cybersecurity in the region.
Moreover, Europe provides growth prospects with strong government policies & rising cyber incidents, mainly in healthcare, automotive, government, and IT & telecommunication. Further, governments in France, the UK, Germany, & Russia plan a rise in investments in detecting anomalies & threats, allowing cybersecurity providers to improve their AI offerings to address changing cyber challenges.
By Region
North America
Europe
- Germany
- The U.K.
- France
- Italy
- Russia
- Spain
- Benelux
- Nordic
- Rest of Europe
Asia-Pacific
- China
- Japan
- South Korea
- India
- ANZ
- ASEAN
- Rest of Asia-Pacific
Latin America
- Brazil
- Mexico
- Argentina
- Colombia
- Rest of Latin America
Middle East & Africa
- Saudi Arabia
- UAE
- South Africa
- Israel
- Egypt
- Rest of MEA
Competitive Landscape
Established & new players are investing highly in ML, neural networks, and NLP to support users with AI-driven insights. However, cybercriminals are increasingly using AI to improve the potency of their attacks. Key companies are gearing up to support their cybersecurity defenses using AI. Industry participants may channel funds into both organic & inorganic strategies to advance their proficiency in AI-based cybersecurity.
In October 2023, IBM introduced an upgraded version of its managed detection & response services, incorporating advanced AI technologies, which enable automatic escalation or closure of up to 85% of security alerts, accelerating response times. Further, the new Threat Detection & Response Services (TDR) allow constant monitoring, investigation, & automated resolution of security alerts across hybrid cloud environments.
Some of the prominent players in the global AI in Cybersecurity Market are:
- NVIDIA Corp
- IBM Corp
- Intel Corp
- McAfee
- Samsung Electronics
- Micron Technology
- Cylance Inc
- Cisco System
- Darktrace
- LogRhythm
- Other Key Players
COVID-19 Pandemic & Recession: Impact on the Global AI in Cybersecurity Market
The COVID-19 pandemic & the following economic downturn have significantly impacted the global AI in the cybersecurity market. As remote work started to grow, cyber threats multiplied, allowing organizations to support their digital defenses. Even after budget constraints during the recession, the need for AI-powered cybersecurity solutions increased as businesses recognized the importance of safeguarding sensitive data.
Further, the pandemic highlighted the vulnerability of digital infrastructures, increasing the adoption of AI to detect & respond to changing threats. However, some companies experienced financial constraints, slowing down the market's potential growth, as the crisis also highlighted the critical role of AI in protecting cybersecurity, showcasing its value in navigating the ever-evolving landscape of digital risks in the middle of global uncertainties.
Recent Development
- In November 2023, the Department of Homeland Security's Cybersecurity and Infrastructure Security Agency (CISA) unveiled its initial Roadmap for AI, contributing to broader government initiatives for secure AI development. With a main role in national AI safety & security, DHS, following President Biden's Executive Order, aims to promote global AI safety standards, safeguarding U.S. networks, reducing AI-related risks, combating intellectual property theft, and attracting skilled talent. Further, CISA's roadmap outlines 5 strategic efforts, guiding responsible AI implementation in cybersecurity.
- In November 2023, cybersecurity firm Trellix introduced its new generative artificial intelligence (GenAI) capabilities, powered by Amazon Bedrock & backed by Trellix Advanced Research Center, using Amazon Bedrock, a completely managed service by AWS, Trellix taps into foundation models (FMs) from top AI companies via an API, improving the development & scalability of generative AI applications.
- In November 2023, the US Cybersecurity & Infrastructure Security Agency (CISA) & the UK National Cyber Security Centre (NCSC) together released the Guidelines for Secure AI System Development. Co-endorsed by 23 cybersecurity organizations worldwide, which addresses the convergence of artificial intelligence (AI), cybersecurity, & critical infrastructure. Aligned with the US Voluntary Commitments on Safe AI, the Guidelines offer critical recommendations, focusing adherence to Secure by Design principles, which highlight customer-centric security, advocates transparency, & support organizational structures prioritizing secure design.
Report Details
| Report Characteristics |
| Market Size (2024) |
USD 22.1 Bn |
| Forecast Value (2033) |
USD 115.0 Bn |
| CAGR (2024-2033) |
20.1% |
| Historical Data |
2018 – 2023 |
| Forecast Data |
2024 – 2033 |
| Base Year |
2023 |
| Estimate Year |
2024 |
| Report Coverage |
Market Revenue Estimation, Market Dynamics, Competitive Landscape, Growth Factors and etc. |
| Segments Covered |
By Type (Network Security, Endpoint Security,
Application Security, and Cloud Security), By Offering
(Software, Hardware, and Services), By Application
(Identity And Access Management, Risk And
Compliance Management, Data Loss Prevention,
Unified Threat Management, Fraud Detection/Anti-
Fraud, Threat Intelligence, and Others), By
Technology (Machine Learning, Natural Language
Processing (NLP), and Context-aware Computing), By
End User (BFSI, Retail, Government & Defense,
Manufacturing, Enterprise, Healthcare, Automotive &
Transportation, and Others) |
| Regional Coverage |
North America – The US and Canada; Europe – Germany, The UK, France, Russia, Spain, Italy, Benelux, Nordic, & Rest of Europe; Asia- Pacific– China, Japan, South Korea, India, ANZ, ASEAN, Rest of APAC; Latin America – Brazil, Mexico, Argentina, Colombia, Rest of Latin America; Middle East & Africa – Saudi Arabia, UAE, South Africa, Turkey, Egypt, Israel, & Rest of MEA
|
| Prominent Players |
NVIDIA Corp, IBM Corp, Intel Corp, McAfee, Samsung
Electronics, Micron Technology, Cylance Inc, Cisco
System, Darktrace, LogRhythm, and Other Key
Players |
| Purchase Options |
We have three licenses to opt for: Single User License (Limited to 1 user), Multi-User License (Up to 5 Users), and Corporate Use License (Unlimited User) along with free report customization equivalent to 0 analyst working days, 3 analysts working days and 5 analysts working days respectively. |