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    Artificial Intelligence Ai Cyber Security Market

    ID: MRFR/ICT/26945-HCR
    100 Pages
    Aarti Dhapte
    October 2025

    Artificial Intelligence (AI) Cyber Security Market Research Report: By Component (Solutions, Services), By Deployment Mode (Cloud, On-premises, Hybrid), By Organization Size (Small and Medium-sized Enterprises (SMEs), Large Enterprises), By Industry Vertical (IT and Telecom, Financial Services, Healthcare, Manufacturing, Retail), By Security Type (Network Security, Endpoint Security, Cloud Security, Application Security, Data Security) and By Regional (North America, Europe, South America, Asia Pacific, Middle East and Africa) - Forecast to ...

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    Artificial Intelligence Ai Cyber Security Market Summary

    The Global Artificial Intelligence Cyber Security Market is projected to grow from 22.18 USD Billion in 2024 to 67.40 USD Billion by 2035.

    Key Market Trends & Highlights

    Artificial Intelligence Cyber Security Key Trends and Highlights

    • The market is expected to experience a compound annual growth rate (CAGR) of 11.5 percent from 2025 to 2035.
    • By 2035, the market valuation is anticipated to reach 67.4 USD Billion, indicating robust growth potential.
    • in 2024, the market is valued at 22.18 USD Billion, reflecting the increasing demand for advanced cyber security solutions.
    • Growing adoption of artificial intelligence technologies due to the rising frequency of cyber threats is a major market driver.

    Market Size & Forecast

    2024 Market Size 22.18 (USD Billion)
    2035 Market Size 67.40 (USD Billion)
    CAGR (2025-2035) 10.63%

    Major Players

    IBM, McAfee, FireEye, Symantec, Rapid7, Mandiant, SentinelOne, Palo Alto Networks, Proofpoint, Check Point Software Technologies, Trend Micro, RSA Security, Cisco Systems, Fortinet, Varonis

    Artificial Intelligence Ai Cyber Security Market Trends

    The growth of the Artificial Intelligence (AI) Cyber Security Market is expected to be remarkable over the forecast period, especially due to the enhanced complexity of cyber threats and the higher uptake of artificial intelligence technologies. As AI technologies become more advanced, they have enabled the formulation of superior cybersecurity measures that cannot easily be outsmarted by cybercriminals, hence protecting business information and networks. The increase in the incidence of ransomware, data breaches, and phishing holds the major proportion of market drivers, thus supporting the growth of AI security solutions.

    As cyber threats are continually evolving, companies have turned to bringing in an AI security solution to counter the threats. Similarly, the growing use of cloud services and the macrosystems of the internet (IoT) are increasing the prospective exposure to attacks, hence making AI-based security more relevant than ever.

    The AI-assisted cyber security market is growing with special features such as the increasing usage of machines and deep Learning to detect threats and defend the organization. Artificial intelligence advanced technologies make it possible for cybersecurity solutions to detect and mitigate risks more accurately and effectively. There are also new fronts in cybersecurity brought about by the convergence of AI with other growth sectors, such as cloud computing and blockchain technology.

    Figure 1: Artificial Intelligence AI Cyber Security Market, 2025 - 2034

     

    Source: Primary Research, Secondary Research, Market Research Future Database and Analyst Review

    The integration of artificial intelligence into cybersecurity strategies appears to enhance threat detection capabilities, thereby fostering a more resilient digital infrastructure.

    U.S. Department of Homeland Security

    Artificial Intelligence Ai Cyber Security Market Drivers

    Rising Cyber Threats

    The increasing frequency and sophistication of cyber threats is a primary driver for the Global Artificial Intelligence Cyber Security Market Industry. Organizations worldwide are facing a surge in cyberattacks, with ransomware incidents alone rising by over 150 percent in recent years. This alarming trend necessitates the adoption of advanced AI-driven security solutions to detect and mitigate threats in real-time. As a result, the market is projected to reach 20.4 USD Billion in 2024, reflecting the urgent need for robust cybersecurity measures. Companies are increasingly investing in AI technologies to enhance their defenses, indicating a strong demand for innovative solutions in the cybersecurity landscape.

    Regulatory Compliance

    The evolving landscape of regulatory compliance is significantly influencing the Global Artificial Intelligence Cyber Security Market Industry. Governments across the globe are implementing stringent data protection regulations, such as the General Data Protection Regulation (GDPR) in Europe and the California Consumer Privacy Act (CCPA) in the United States. These regulations compel organizations to adopt advanced cybersecurity measures to avoid hefty fines and reputational damage. As compliance becomes a critical concern, the demand for AI-driven cybersecurity solutions is expected to grow. This trend is likely to contribute to the market's expansion, with projections indicating a growth trajectory that could see the market reach 67.4 USD Billion by 2035.

    Expansion of IoT Devices

    The proliferation of Internet of Things (IoT) devices is a notable factor driving the Global Artificial Intelligence Cyber Security Market Industry. As more devices become interconnected, the attack surface for cyber threats expands, creating new vulnerabilities. AI-driven cybersecurity solutions are essential for managing the complexities associated with IoT security. These solutions can analyze data from numerous devices, identify anomalies, and respond to threats in real-time. The increasing reliance on IoT technology across various sectors, including healthcare, manufacturing, and smart cities, underscores the necessity for advanced cybersecurity measures. This trend is expected to propel the market forward, as organizations seek to protect their IoT ecosystems.

    Market Growth Projections

    The Global Artificial Intelligence Cyber Security Market Industry is poised for substantial growth, with projections indicating a market size of 20.4 USD Billion in 2024 and an anticipated increase to 67.4 USD Billion by 2035. This growth trajectory reflects a compound annual growth rate of 11.5 percent from 2025 to 2035. The increasing adoption of AI technologies in cybersecurity, coupled with rising cyber threats and regulatory pressures, suggests a robust demand for innovative solutions. As organizations prioritize cybersecurity investments, the market is likely to expand significantly, highlighting the critical role of AI in safeguarding digital assets.

    Growing Demand for Automation

    The demand for automation in cybersecurity is rapidly increasing, serving as a significant driver for the Global Artificial Intelligence Cyber Security Market Industry. Organizations are seeking to streamline their security operations and reduce response times to incidents. AI technologies enable automated threat detection and response, allowing security teams to focus on strategic initiatives rather than routine tasks. This shift towards automation is particularly relevant in the context of the growing volume of cyber threats. As businesses recognize the efficiency gains from AI-driven automation, the market is likely to experience robust growth, further solidifying the role of AI in enhancing cybersecurity measures.

    Increased Investment in AI Technologies

    Investment in artificial intelligence technologies is a crucial driver for the Global Artificial Intelligence Cyber Security Market Industry. Organizations are increasingly recognizing the potential of AI to enhance their cybersecurity posture. According to recent data, global spending on AI in cybersecurity is expected to grow at a compound annual growth rate of 11.5 percent from 2025 to 2035. This investment trend reflects a shift towards proactive security measures, where AI algorithms analyze vast amounts of data to identify vulnerabilities and threats. As businesses allocate more resources to AI-driven solutions, the market is poised for substantial growth, underscoring the importance of integrating AI into cybersecurity strategies.

    Market Segment Insights

    Artificial Intelligence AI Cyber Security Market Component Insights

    The Artificial Intelligence AI Cyber Security Market is segmented by component into solutions and services. The solutions segment is expected to hold a larger market share in 2023, owing to the increasing demand for AI-powered cybersecurity solutions that can automate and streamline security operations. The services segment is also expected to grow significantly, driven by the need for managed security services, consulting, and implementation services. The Artificial Intelligence AI Cyber Security Market revenue for the solutions segment is projected to reach $22.5 billion by 2026, growing at a CAGR of 12.4%.

    The services segment is expected to grow at a slightly slower pace, with a CAGR of 10.6%, reaching a market value of $16.5 billion by 2026. The growth of the solutions segment is primarily attributed to the increasing adoption of AI technologies such as machine learning, deep learning, and natural language processing (NLP) in cybersecurity. These technologies enable AI-powered cybersecurity solutions to detect and respond to cyber threats more effectively and efficiently than traditional cybersecurity solutions.

    The services segment is also expected to grow significantly as organizations increasingly outsource their cybersecurity operations to managed security service providers (MSSPs).MSSPs offer a range of services, including security monitoring, threat detection and response, and incident management. Overall, the Artificial Intelligence AI Cyber Security Market is expected to grow at a robust pace in the coming years, driven by the increasing demand for AI-powered cybersecurity solutions and services.

    Artificial Intelligence AI Cyber Security Market Deployment Mode Insights

    The deployment mode segment of the Artificial Intelligence AI Cyber Security Market is segmented into cloud, on-premises, and hybrid. The cloud segment is expected to dominate the market in the coming years due to its cost-effectiveness, scalability, and flexibility. The on-premises segment is also expected to witness significant growth as organizations seek to maintain control over their data and security infrastructure. The hybrid segment is expected to grow at a moderate pace as organizations adopt a combination of cloud and on-premises deployment models to optimize their security posture.

    In 2023, the Artificial Intelligence AI Cyber Security Market for cloud deployment was valued at USD 8.2 billion and is projected to reach USD 22.5 billion by 2032, growing at a CAGR of 12.4%. The on-premises segment is valued at USD 7.1 billion in 2023 and is projected to reach USD 16.8 billion by 2032, growing at a CAGR of 10.8%. The hybrid segment is valued at USD 2.8 billion in 2023 and is projected to reach USD 5.7 billion by 2032, growing at a CAGR of 9.6%.

    Artificial Intelligence AI Cyber Security Market Organization Size Insights

    The Artificial Intelligence AI Cyber Security Market segmentation by Organization Size includes Small and Medium-sized Enterprises (SMEs) and Large Enterprises. SMEs accounted for a larger share of the market in 2023, and are expected to continue to hold a significant share in the coming years. This is due to the increasing adoption of AI-based cybersecurity solutions by SMEs to protect their data and systems from cyber threats. Large enterprises are also expected to increase their investment in AI-based cybersecurity solutions in the coming years, as they face increasing pressure to protect their sensitive data and systems from cyberattacks.

    Artificial Intelligence AI Cyber Security Market Industry Vertical Insights

    The Artificial Intelligence AI Cyber Security Market is segmented into various industry verticals, including IT and Telecom, Financial Services, Healthcare, Manufacturing, and Retail. These industry verticals have unique cybersecurity requirements and challenges, driving the demand for AI-powered cybersecurity solutions. IT and Telecom: The IT and Telecom industry faces complex cyber threats due to the vast amount of data and connectivity. AI-powered cybersecurity solutions help detect and respond to threats in real-time, ensuring network security and data protection.

    Financial Services: The Financial Services industry is a prime target for cybercriminals due to the sensitive financial data it handles. AI-powered cybersecurity solutions provide advanced fraud detection, risk assessment, and compliance monitoring to protect financial institutions. Healthcare: The Healthcare industry handles sensitive patient data, making it vulnerable to cyber attacks. AI-powered cybersecurity solutions enable healthcare providers to secure patient records, medical devices, and healthcare infrastructure from unauthorized access. Manufacturing: The Manufacturing industry relies on operational technology (OT) systems, which can be vulnerable to cyber threats.

    AI-powered cybersecurity solutions provide anomaly detection, threat intelligence, and OT security monitoring to protect industrial control systems. Retail: The Retail industry faces challenges such as data breaches, e-commerce fraud, and supply chain disruptions. AI-powered cybersecurity solutions help retailers detect and mitigate these threats, protecting customer data and business operations.

    Artificial Intelligence AI Cyber Security Market Security Type Insights

    Security Type Segment Insights and Overview The Artificial Intelligence AI Cyber Security Market is segmented based on security type into network security, endpoint security, cloud security, application security, and data security. Among these segments, network security held the largest market share in 2023 due to the rising adoption of AI-powered network security solutions to detect and prevent cyberattacks. The endpoint security segment is projected to witness the highest growth rate during the forecast period as organizations increasingly focus on protecting endpoints from malware and other threats.

    Cloud security is another significant segment that is expected to grow substantially as more businesses adopt cloud-based services. The application security segment is also expected to experience growth due to the increasing need to protect applications from vulnerabilities. Lastly, the data security segment is poised for steady growth as organizations seek to protect their sensitive data from unauthorized access and theft.

    Get more detailed insights about Artificial Intelligence Ai Cyber Security Market

    Regional Insights

    The Artificial Intelligence (AI) Cyber Security Market is segmented into North America, Europe, Asia-Pacific (APAC), South America, and the Middle East Africa (MEA). North America is expected to hold the largest market share in 2023, due to the presence of major technology companies and government initiatives to enhance cybersecurity infrastructure. Europe is expected to be the second-largest market, with a significant demand for AI Cyber security solutions from various industries.

    APAC is expected to grow at the highest CAGR during the forecast period, owing to the increasing adoption of AI technologies and the presence of a large number of small and medium-sized enterprises (SMEs).South America and MEA are expected to experience moderate growth, with increasing awareness about cyber threats and the adoption of AI Cyber security solutions.

    Figure 3: Artificial Intelligence AI Cyber Security Market, By Regional, 2023 & 2032

    Artificial Intelligence AI Cyber Security Market Regional Insights

    Source: Primary Research, Secondary Research, Market Research Future Database and Analyst Review

    Key Players and Competitive Insights

    Major players in the artificial intelligence AI cyber security market are continuously innovating their offerings to gain a competitive edge. Leading Artificial Intelligence AI Cyber Security Market players are investing heavily in research and development to develop new and improved solutions that meet the evolving needs of their customers. The Artificial Intelligence AI Cyber Security Market industry is also witnessing a growing number of mergers and acquisitions as companies seek to expand their market share and strengthen their competitive position.

    The development of the Artificial Intelligence AI Cyber Security Market is being driven by a number of factors, including the increasing adoption of cloud computing, the growing number of cyber threats, and the increasing demand for data security. 

    The Artificial Intelligence AI Cyber Security Market is expected to continue to grow at a rapid pace in the coming years, as businesses increasingly recognize the importance of protecting their data and systems from cyber threats.IBM is a leading provider of Artificial Intelligence AI Cyber Security Market solutions. The company offers a wide range of products and services to help businesses protect their data and systems from cyber threats, including threat intelligence, security analytics, and incident response.

    IBM has a strong presence in the Artificial Intelligence AI Cyber Security Market, with customers in a variety of industries, including financial services, healthcare, and manufacturing. IBM is well-positioned to continue to grow its market share in the coming years, as the demand for Artificial Intelligence AI Cyber Security Market solutions continues to increase.

    One of IBM's key competitors in the Artificial Intelligence AI Cyber Security Market is McAfee. McAfee offers a variety of Artificial Intelligence AI Cyber Security Market solutions, including endpoint security, network security, and cloud security. McAfee has a strong presence in the Artificial Intelligence AI Cyber Security Market, with customers in a variety of industries, including financial services, healthcare, and manufacturing. McAfee is well-positioned to continue to grow its market share in the coming years, as the demand for Artificial Intelligence AI Cyber Security Market solutions continues to increase.

    Key Companies in the Artificial Intelligence Ai Cyber Security Market market include

    Industry Developments

    • Q2 2025: F5 Acquires Agentic AI Security Specialist Fletch F5 announced the acquisition of cybersecurity startup Fletch, integrating its agentic AI capabilities for real-time, prioritized security insights into the F5 Application and Delivery Platform.
    • Q2 2025: NinjaOne Completes $270m Dropsuite Purchase NinjaOne completed the $270 million acquisition of Dropsuite, adding unified backup solutions for endpoint, server, and SaaS applications to its cybersecurity offerings.
    • Q2 2025: Atlassian acquires Borneo for its security and privacy observability platform Atlassian announced the acquisition of Borneo, a security and privacy observability platform, to enhance data risk identification and monitoring capabilities in Atlassian Guard.
    • Q2 2025: Bitdefender to acquire Mesh Security Bitdefender revealed plans to acquire Mesh Security, an Ireland-based email security provider, with Mesh’s technology to be integrated into Bitdefender’s XDR platform and MDR services.
    • Q2 2025: Cellebrite to acquire Corellium Cellebrite, a forensic investigation solutions provider, announced an agreement to acquire virtualization software firm Corellium in a $200 million deal.
    • Q2 2025: Cyera acquires Otterize to expand data security platform Data security company Cyera, which recently raised $540 million, acquired Otterize, a specialist in securing cloud-native non-human identities and data flows, in a deal valued at tens of millions of dollars.

     

    Future Outlook

    Artificial Intelligence Ai Cyber Security Market Future Outlook

    The Artificial Intelligence Cyber Security Market is projected to grow at 10.63% CAGR from 2025 to 2035, driven by increasing cyber threats, regulatory compliance, and technological advancements.

    New opportunities lie in:

    • Develop AI-driven threat detection systems for real-time response. Create tailored cybersecurity solutions for SMEs leveraging AI. Invest in AI-based training programs to enhance workforce skills.

    By 2035, the market is expected to be robust, reflecting significant advancements and widespread adoption.

    Market Segmentation

    Artificial Intelligence AI Cyber Security Market Regional Outlook

    Artificial Intelligence AI Cyber Security Market Component Outlook

    Artificial Intelligence AI Cyber Security Market Security Type Outlook

    Artificial Intelligence AI Cyber Security Market Deployment Mode Outlook

    Artificial Intelligence AI Cyber Security Market Industry Vertical Outlook

    Artificial Intelligence AI Cyber Security Market Organization Size Outlook

    Report Scope

    Report Attribute/MetricDetails
    Market Size 202422.17 (USD Billion)
    Market Size 202524.53 (USD Billion)
    Market Size 203567.40 (USD Billion)
    Compound Annual Growth Rate (CAGR)10.63% (2025 - 2035)
    Report CoverageRevenue Forecast, Competitive Landscape, Growth Factors, and Trends
    Base Year2024
    Market Forecast Period2025 - 2035
    Historical Data2019 - 2023
    Market Forecast UnitsUSD Billion
    Key Companies ProfiledFireEye, Symantec, Rapid7, Mandiant, McAfee, SentinelOne, Palo Alto Networks, Proofpoint, Check Point Software Technologies, Trend Micro, RSA Security, Cisco Systems, Fortinet, IBM, Varonis
    Segments CoveredComponent, Deployment Mode, Organization Size, Industry Vertical, Security Type, Regional
    Key Market Opportunities1 Enhanced threat detection and prevention2 Improved threat investigation and response3 Increased automation of cybersecurity tasks4 Enhanced user behavior analytics5 Improved risk and compliance management
    Key Market DynamicsGrowing need for AI-driven security Increasing cyber threats Government regulations Adoption of cloud and IoT devices Advancements in AI algorithms
    Countries CoveredNorth America, Europe, APAC, South America, MEA

    FAQs

    What is the expected market size of the Artificial Intelligence AI Cyber Security Market in 2023?

    The Artificial Intelligence AI Cyber Security Market is expected to reach a valuation of 20.48 USD Billion in 2023.

    What is the projected CAGR of the Artificial Intelligence AI Cyber Security Market from 2025 to 2034?

    The Artificial Intelligence AI Cyber Security Market is projected to grow at a CAGR of 10.63% from 2025 to 2034

    Which region is expected to hold the largest market share in the Artificial Intelligence AI Cyber Security Market in 2032?

    North America is expected to hold the largest market share in the Artificial Intelligence AI Cyber Security Market in 2032.

    What are the key applications of Artificial Intelligence in Cyber Security?

    Key applications of Artificial Intelligence in Cyber Security include threat detection, malware analysis, and intrusion prevention.

    Who are some of the key competitors in the Artificial Intelligence AI Cyber Security Market?

    Key competitors in the Artificial Intelligence AI Cyber Security Market include IBM, Microsoft, and Palo Alto Networks.

    What is the expected market size of the Artificial Intelligence AI Cyber Security Market in 2032?

    The Artificial Intelligence AI Cyber Security Market is expected to reach a valuation of 45.0 USD Billion by 2032.v

    What are the key growth drivers of the Artificial Intelligence AI Cyber Security Market?

    Key growth drivers of the Artificial Intelligence AI Cyber Security Market include increasing cyber threats and the need for more robust security measures.

    What are the key challenges faced by the Artificial Intelligence AI Cyber Security Market?

    Key challenges faced by the Artificial Intelligence AI Cyber Security Market include data privacy concerns and the lack of skilled professionals.

    What are the key trends that are expected to shape the Artificial Intelligence AI Cyber Security Market in the coming years?

    Key trends that are expected to shape the Artificial Intelligence AI Cyber Security Market include the adoption of cloud-based security solutions and the use of machine learning for threat detection.

    What are the key opportunities available in the Artificial Intelligence AI Cyber Security Market?

    Key opportunities available in the Artificial Intelligence AI Cyber Security Market include the development of new AI-powered security solutions and the expansion into new markets.

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