AI in Cybersecurity Market Anticipated to Reach $ 154.8 Billion by 2032, Expand at 23.6% Annually

Global AI in cybersecurity market grows due to rising cyber-attacks, digitalization, and demand for advanced security solutions across industries.

WILMINGTON, DE, UNITED STATES, July 9, 2025 /EINPresswire.com/ -- AI in cybersecurity solutions provides data security capabilities to several sectors by enabling the confidentiality of sensitive information, it allows organizations to protect their assets from various cyber-attacks and improve customer experience. In addition, several large and small-sized enterprises are increasingly employing AI in cybersecurity solutions to expand their security services. Moreover, in the financial sector, AI examines user behavior and transaction data to identify trends that may represent fraud, assisting financial institutions in the detection and prevention of fraud. As this sector deals with the vast amount of sensitive data, which in turn provides lucrative opportunities for the growth of AI in cybersecurity in this sector.

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According to the report, the AI in cybersecurity market generated $19.2 billion in 2022 and is projected to reach $154.8 billion by 2032, witnessing a CAGR of 23.6% from 2023 to 2032.

AI in cybersecurity is the use of AI technologies and processes to improve the protection of computer networks, systems, and data against cyberattacks and cyber-attacks. It refers to the use of AI algorithms and machine learning, as well as other AI-related technologies, to identify, prevent, or respond to real-time security incidents. AI in cybersecurity provides the ability to improve the speed, precision, and effectiveness of security operations. It enables organizations to better protect and defend complex and constantly evolving cyber threats.

The global AI in cybersecurity market growth is attributed to factors such as the rise in demand for enhanced security solutions, the increasing number of cyber-attacks in several industries, and the rising adoption of digitalization in security solutions. However, the high implementation cost of AI in cybersecurity solutions, and the dearth of skilled cybersecurity experts and education hamper market growth. Furthermore, increasing investments and innovation strategies and the surge in demand for real-time threat detection is anticipated to provide lucrative growth opportunities for the global AI in cybersecurity market in the upcoming years.

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Recent industry developments highlight the growing use of AI in cybersecurity. In August 2023, Palo Alto Networks launched an AI-powered threat intelligence platform to boost real-time threat detection. In September, IBM Security added AI-driven automation to its QRadar SIEM platform. By October, Cisco introduced an AI-based XDR solution for identifying and predicting cyber threats. These advances show a global shift toward AI to counter evolving cyber threats.

Based on security type, the network security segment held the highest market share in 2022, accounting for nearly two-fifths of the global AI in cybersecurity market revenue, and is projected to rule the roost by 2032. Machine learning in security continually learns by examining data to locate trends, enabling users to detect malware in encrypted communications and identify insider risks more effectively. However, the cloud security segment is projected to manifest the highest CAGR of 27.4% from 2023 to 2032. The increasing demand for effective cloud-based cybersecurity to protect customer privacy is further expected to propel global market growth.

Based on technology, the machine learning (ML) segment held the highest market share in 2022, accounting for more than half of the global AI in cybersecurity market revenue, and is estimated to maintain its leadership status throughout the forecast period. Machine learning in security continually learns by examining data to locate trends, enabling users to detect malware in encrypted communications and identify insider risks more effectively. However, the context-aware computing segment is projected to manifest the highest CAGR of 27.1% from 2023 to 2032. The increasing demand for effective cloud-based cybersecurity to protect customer privacy is further expected to propel global market growth.

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Based on offering, the software segment held the highest market share in 2022, accounting for nearly half of the global AI in cybersecurity market revenue, and is estimated to retain its lion's share throughout the forecast period. The same segment would also display the fastest CAGR of 26.0% during the forecast period. The adoption of AI in cybersecurity continues to grow across various industries and rising demand for software services to build and deploy new security systems.

Based on deployment type, the on-premise segment accounted for the largest share in 2022, contributing to more than three-fifths of the global AI in cybersecurity market revenue, and is expected to maintain its lead position during the forecast period. As on-premise deployment mode may provide an extra level of security to the organizations. These factors further drive the demand for this segment in the global market. However, the cloud segment would portray the fastest CAGR of 26.2% from 2023 to 2032. This is due to the increase in the adoption and susceptibility of wireless networks, as facilities increasingly rely on wireless networks for data transfer.

Based on region, North America garnered the major market share in 2022, holding nearly two-fifths of the global AI in cybersecurity market revenue. The region's robust industrial sector, including manufacturing, automotive, and logistics, has been an early adopter of AI in cybersecurity, which is anticipated to propel the market's growth in this region. However, the Asia-Pacific region is expected to maintain its dominance during the forecast period. The same region would also cite the fastest CAGR of 27.7% from 2023 to 2032. As the key players are investing heavily in automation and AI in cybersecurity to enhance productivity, improve efficiency, and address labor shortages are expected to provide lucrative growth opportunities for the market in this region, which is expected to provide lucrative growth opportunities for the market in this region.

Leading Market Players: -

Intel Corporation
IBM Corporation
NVIDIA Corporation
Samsung Electronics Co. Ltd.
Amazon Web Services, Inc.
Palo Alto Networks, Inc.
Microsoft Corporation
Cisco Systems, Inc.
Micron Technology Inc.
GenDigital

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The report provides a detailed analysis of these key players in the global AI in cybersecurity market. These players have adopted different strategies such as new product launches, collaborations, expansion, joint ventures, agreements, and others to increase their market share and maintain dominant shares in different countries. The report is valuable in highlighting business performance, operating segments, product portfolio, and strategic moves of market players to showcase the competitive scenario.

COVID-19 Scenario:

1. The COVID-19 pandemic had a significant impact on the global AI in cybersecurity industry. The increasing adoption of real-time threat detection solutions in security operations has proliferated the demand for AI in cybersecurity market. It is the key to optimizing cyber security processes with the integration of advanced technologies such as AI, ML, and including cloud solutions.

2. Furthermore, there is a rise in the need for proactive and prompt threat identification and response in organizations, as cyber-attacks expand and become more complex and prevalent. Leveraging automation trends and the use of smart data in security solutions could lead to advanced real-time threat protection. These factors have propelled the growth of AI in cybersecurity solutions among industries.

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