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    US Applied AI in Cybersecurity Market

    ID: MRFR/ICT/57388-HCR
    200 Pages
    Aarti Dhapte
    October 2025

    US Applied AI in Cybersecurity Market Research Report By Organization Size (SMEs, Large Enterprise) and By Security Type (Network Security, Endpoint Security, Application Security, Cloud Security, ICS Security, IoT Security, Identity and Access Management, Risk and Compliance Management, Data Loss Prevention, Unified Threat Management, Security and Vulnerability Management, Antivirus/Antimalware, Fraud Detection, Intrusion Detection/Prevention System, Threat Intelligence, Others) - Forecast to 2035

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    US Applied AI in Cybersecurity Market Summary

    As per MRFR analysis, the applied AI in cybersecurity market size was estimated at 876.62 USD Million in 2024. The applied ai-in-cybersecurity market is projected to grow from 984.27 USD Million in 2025 to 3134.75 USD Million by 2035, exhibiting a compound annual growth rate (CAGR) of 12.28% during the forecast period 2025 - 2035.

    Key Market Trends & Highlights

    The US applied AI-in-cybersecurity market is experiencing robust growth driven by technological advancements and increasing security demands.

    • Investment in AI technologies is surging as organizations seek to enhance their cybersecurity measures.
    • Enhanced threat detection capabilities are becoming a focal point for businesses aiming to mitigate risks effectively.
    • The largest segment in this market is the enterprise security solutions, while the fastest-growing segment is the cloud security solutions.
    • The rising cyber threat landscape and growing regulatory pressures are key drivers propelling market expansion.

    Market Size & Forecast

    2024 Market Size 876.62 (USD Million)
    2035 Market Size 3134.75 (USD Million)

    Major Players

    CrowdStrike (US), Palo Alto Networks (US), Darktrace (GB), Fortinet (US), Check Point Software Technologies (IL), IBM (US), McAfee (US), Cisco Systems (US), FireEye (US)

    US Applied AI in Cybersecurity Market Trends

    the applied AI in cybersecurity market is currently experiencing a transformative phase., driven by the increasing sophistication of cyber threats and the growing reliance on digital infrastructure. Organizations are increasingly adopting artificial intelligence technologies to enhance their security measures, as traditional methods often fall short in addressing complex cyber challenges. This shift is evident in various sectors, including finance, healthcare, and government, where the need for robust cybersecurity solutions is paramount. The integration of machine learning algorithms and automated threat detection systems is becoming commonplace, allowing for real-time responses to potential breaches. As a result, the applied AI in cybersecurity market is poised for substantial growth., with stakeholders recognizing the necessity of proactive measures to safeguard sensitive information. Moreover, the regulatory landscape is evolving, with government agencies emphasizing the importance of cybersecurity frameworks that incorporate advanced technologies. This regulatory push is likely to further stimulate investment in the applied ai-in-cybersecurity market, as organizations seek to comply with stringent guidelines while enhancing their security posture. The collaboration between public and private sectors is also fostering innovation, leading to the development of cutting-edge solutions tailored to combat emerging threats. As the market continues to mature, it appears that the focus will remain on leveraging artificial intelligence to create resilient cybersecurity infrastructures that can adapt to the ever-changing threat landscape.

    Increased Investment in AI Technologies

    Organizations are channeling resources into advanced AI technologies to bolster their cybersecurity frameworks. This trend reflects a growing recognition of the limitations of traditional security measures, prompting a shift towards more dynamic and responsive solutions.

    Enhanced Threat Detection Capabilities

    The application of machine learning algorithms is significantly improving threat detection capabilities. By analyzing vast amounts of data, these systems can identify anomalies and potential threats more effectively, allowing for timely interventions.

    Regulatory Compliance and Framework Development

    As regulatory bodies emphasize cybersecurity, organizations are increasingly adopting AI-driven solutions to meet compliance requirements. This trend indicates a proactive approach to not only adhere to regulations but also to enhance overall security measures.

    US Applied AI in Cybersecurity Market Drivers

    Growing Regulatory Pressures

    Regulatory pressures are intensifying, compelling organizations to adopt more robust cybersecurity measures. the applied AI in cybersecurity market is experiencing growth. as companies seek to comply with various regulations, such as the CCPA and GDPR. These regulations often mandate the implementation of advanced security technologies to protect sensitive data. As non-compliance can result in hefty fines, businesses are increasingly turning to AI-driven solutions to ensure they meet regulatory requirements. This trend is likely to bolster the applied ai-in-cybersecurity market, as organizations prioritize compliance alongside security.

    Rising Cyber Threat Landscape

    The increasing complexity and frequency of cyber threats are driving the applied ai-in-cybersecurity market. Organizations are facing sophisticated attacks, including ransomware and phishing, which have surged by over 50% in recent years. This evolving threat landscape necessitates advanced security measures, prompting businesses to invest in AI-driven solutions. the applied AI in cybersecurity market is projected to grow. as companies seek to enhance their defenses against these persistent threats. As a result, the demand for AI technologies that can analyze vast amounts of data and identify anomalies in real-time is likely to rise, indicating a robust growth trajectory for the industry.

    Increased Focus on Data Privacy

    The heightened focus on data privacy is significantly influencing the applied ai-in-cybersecurity market. With consumers becoming more aware of their data rights, organizations are compelled to enhance their data protection strategies. AI technologies are being leveraged to monitor and secure sensitive information, ensuring compliance with privacy regulations. The market is witnessing a surge in demand for AI solutions that can provide real-time insights into data usage and potential breaches. This emphasis on data privacy not only drives investment in AI technologies but also shapes the future landscape of the applied ai-in-cybersecurity market.

    Demand for Automation in Security Operations

    The need for automation in security operations is becoming increasingly apparent, as organizations strive to improve efficiency and reduce response times. The applied ai-in-cybersecurity market is benefiting from this trend, as AI technologies can automate routine tasks, allowing security teams to focus on more complex issues. Reports suggest that automation can reduce incident response times by up to 70%, which is crucial in mitigating potential damages from cyber incidents. Consequently, businesses are investing in AI solutions that streamline security processes, thereby driving growth in the applied ai-in-cybersecurity market.

    Integration of AI with Existing Security Frameworks

    The integration of AI technologies with existing security frameworks is a key driver for the applied ai-in-cybersecurity market. Organizations are increasingly recognizing the value of enhancing their traditional security measures with AI capabilities. This integration allows for improved threat detection and response, as AI can analyze patterns and predict potential vulnerabilities. As companies invest in hybrid security solutions, the applied ai-in-cybersecurity market is expected to expand. The synergy between AI and existing systems not only enhances security posture but also optimizes resource allocation, making it a compelling proposition for businesses.

    Market Segment Insights

    US Applied AI in Cybersecurity Market Segment Insights

    US Applied AI in Cybersecurity Market Segment Insights

    Applied AI in Cybersecurity Market Organization Size Insights

    Applied AI in Cybersecurity Market Organization Size Insights

    The US Applied AI in Cybersecurity Market is seeing progressive segmentation based on Organization Size, which comprises both small and medium enterprises (SMEs) and large enterprises. This division plays a pivotal role in understanding how different sizes of organizations allocate resources toward cybersecurity strategies. SMEs often adopt Applied AI solutions to enhance their existing infrastructure without incurring significant costs, enabling them to fend off cyber threats that could jeopardize their operational continuity.

    This is particularly important as SMEs face increasing cyber risks but typically have less budget flexibility compared to larger organizations.On the other hand, large enterprises are often characterized by their substantial IT budgets and infrastructure, which allows for the integration of advanced AI technologies into their cybersecurity protocols effectively. This empowers them to not only respond to threats more swiftly but also to proactively mitigate risks through predictive analytics. The rising threat landscape in the US is compelling both segment types to invest in sophisticated AI-driven cybersecurity solutions to protect sensitive data and maintain regulatory compliance.

    Furthermore, the trend of digital transformation across various industries is increasing the demand for Applied AI solutions, resulting in a competitive edge for organizations that embrace these technologies.Investments made by large enterprises in robust AI capabilities can lead to significant market growth and contribute to developing comprehensive cybersecurity frameworks. Overall, with the focus on Organization Size, businesses in the US are realizing the importance of tailored cybersecurity measures that align with their size, risk profile, and operational capabilities, leading to a more secure and resilient digital ecosystem.

    Applied AI in Cybersecurity Market Security Type Insights

    Applied AI in Cybersecurity Market Security Type Insights

    The US Applied AI in Cybersecurity Market, specifically within the Security Type segment, reflects a strong emphasis on safeguarding various digital infrastructures across multiple industries. This segment comprises several key areas including Network Security, which plays a critical role in protecting a nation's internet backbone against unauthorized access and attacks, while Endpoint Security focuses on securing endpoints such as laptops and mobile devices, which are increasingly vulnerable to cybersecurity threats.

    Application Security ensures that software applications are equipped to resist attacks, especially given the rise of cloud computing and the need for Cloud Security solutions to protect data stored remotely.The significance of IoT Security is also growing rapidly as smart devices proliferate, necessitating measures to manage their vulnerabilities. Identity and Access Management systems are vital for ensuring that only authorized personnel can access sensitive information, thereby reducing risk and compliance challenges. Moreover, Data Loss Prevention and Unified Threat Management frameworks are essential for businesses in maintaining data integrity against breaches.

    Finally, sectors like Fraud Detection and Threat Intelligence provide crucial intelligence that aids organizations in preempting cyber threats, showcasing the diverse functionalities encompassed within the US Applied AI in Cybersecurity Market statistics.Collectively, these components illustrate the market's robust growth trajectory driven by increasing cyber threats and the need for resilient security solutions across the US landscape.

    Get more detailed insights about US Applied AI in Cybersecurity Market

    Key Players and Competitive Insights

    The applied ai-in-cybersecurity market is currently characterized by intense competition and rapid technological advancements. Key growth drivers include the increasing sophistication of cyber threats, the rising demand for automated security solutions, and the integration of AI technologies into cybersecurity frameworks. Major players such as CrowdStrike (US), Palo Alto Networks (US), and IBM (US) are strategically positioned to leverage these trends. CrowdStrike (US) focuses on cloud-native solutions and threat intelligence, while Palo Alto Networks (US) emphasizes its AI-driven security platform to enhance threat detection and response capabilities. IBM (US) is investing heavily in AI and machine learning to bolster its security offerings, indicating a collective shift towards innovation and advanced technology in the competitive landscape.

    The market structure appears moderately fragmented, with a mix of established players and emerging startups. Key business tactics include localizing services to meet regional compliance requirements and optimizing supply chains to enhance service delivery. The influence of major players is significant, as they set benchmarks for technological advancements and customer expectations, thereby shaping the overall market dynamics.

    In October 2025, CrowdStrike (US) announced a strategic partnership with a leading cloud service provider to enhance its threat detection capabilities through integrated AI solutions. This collaboration is likely to bolster CrowdStrike's market position by expanding its service offerings and improving its response times to emerging threats. Such partnerships are indicative of a broader trend where companies are seeking synergies to enhance their technological capabilities and market reach.

    In September 2025, Palo Alto Networks (US) launched a new AI-driven security platform aimed at small to medium-sized enterprises (SMEs). This initiative reflects a strategic move to capture a growing segment of the market that requires robust cybersecurity solutions but lacks the resources for extensive IT infrastructure. By targeting SMEs, Palo Alto Networks (US) not only diversifies its customer base but also positions itself as a leader in accessible cybersecurity solutions.

    In August 2025, IBM (US) unveiled its latest AI-enhanced security software, which incorporates advanced machine learning algorithms to predict and mitigate potential cyber threats. This development underscores IBM's commitment to innovation and its strategy to maintain a competitive edge in the rapidly evolving cybersecurity landscape. The introduction of such cutting-edge technology is likely to attract new clients and reinforce existing relationships, thereby enhancing IBM's market share.

    As of November 2025, current competitive trends in the applied ai-in-cybersecurity market include a strong emphasis on digital transformation, sustainability, and the integration of AI technologies. Strategic alliances are increasingly shaping the landscape, as companies recognize the value of collaboration in enhancing their technological capabilities. Looking ahead, competitive differentiation is expected to evolve, with a shift from price-based competition towards innovation, technology, and supply chain reliability. This transition may redefine how companies position themselves in the market, emphasizing the importance of advanced solutions and strategic partnerships.

    Key Companies in the US Applied AI in Cybersecurity Market market include

    Industry Developments

    In July 2023, Proofpoint announced its AI-powered email security enhancements, aimed at combating the ever-growing threat of phishing attacks, reflecting a trend towards intelligent threat-hunting capabilities across the industry.

    Meanwhile, in August 2023, Microsoft reported substantial growth in its cybersecurity offerings, emphasizing AI integration for improved security response times, which has become essential given the rising cyber threats. Notably, in September 2023, Cisco Systems made headlines by acquiring a small AI startup to expand its cybersecurity capabilities, further indicating a consolidation trend among key players in the market. The valuation of market leaders like Check Point Software Technologies and Fortinet has increased, driven by heightened demand for advanced cybersecurity solutions amidst numerous high-profile data breaches.

    Over the past two years, the market has expanded significantly due to increasing cyberattack frequency and the growing need for sophisticated AI technologies to address these challenges effectively. This ongoing evolution highlights an urgent need for robust, responsive, and innovative security measures in the US.

    Future Outlook

    US Applied AI in Cybersecurity Market Future Outlook

    The applied ai-in-cybersecurity market is projected to grow at a 12.28% CAGR from 2024 to 2035, driven by increasing cyber threats and demand for advanced security solutions.

    New opportunities lie in:

    • Development of AI-driven threat detection platforms for real-time response.
    • Integration of AI in compliance automation tools for regulatory adherence.
    • Creation of AI-based predictive analytics for risk management strategies.

    By 2035, the market is expected to be robust, driven by innovation and strategic investments.

    Market Segmentation

    US Applied AI in Cybersecurity Market End User Outlook

    • BFSI
    • Retail
    • Government & Defense
    • Manufacturing
    • Utilities
    • Oil & Gas
    • Healthcare
    • Automotive & Transportation
    • Other

    US Applied AI in Cybersecurity Market Application Outlook

    • Identity and Access Management
    • Risk and Compliance Management
    • Data Loss Prevention
    • Unified Threat Management
    • Security and Vulnerability Management
    • Antivirus/Antimalware
    • Fraud Detection/Anti-Fraud
    • Intrusion Detection/Prevention System
    • Threat Intelligence
    • Others

    US Applied AI in Cybersecurity Market Security Type Outlook

    • Network Security
    • Endpoint Security
    • Application Security
    • Cloud Security
    • ICS Security
    • IoT Security
    • Others

    US Applied AI in Cybersecurity Market Deployment Type Outlook

    • On Premises
    • Cloud

    US Applied AI in Cybersecurity Market Organization Size Outlook

    • SMEs
    • Large Enterprise

    Report Scope

    MARKET SIZE 2024 876.62(USD Million)
    MARKET SIZE 2025 984.27(USD Million)
    MARKET SIZE 2035 3134.75(USD Million)
    COMPOUND ANNUAL GROWTH RATE (CAGR) 12.28% (2024 - 2035)
    REPORT COVERAGE Revenue Forecast, Competitive Landscape, Growth Factors, and Trends
    BASE YEAR 2024
    Market Forecast Period 2025 - 2035
    Historical Data 2019 - 2024
    Market Forecast Units USD Million
    Key Companies Profiled CrowdStrike (US), Palo Alto Networks (US), Darktrace (GB), Fortinet (US), Check Point Software Technologies (IL), IBM (US), McAfee (US), Cisco Systems (US), FireEye (US)
    Segments Covered Organization Size, Deployment Type, Security Type, Application, End User
    Key Market Opportunities Integration of advanced machine learning algorithms enhances threat detection and response capabilities in the applied ai-in-cybersecurity market.
    Key Market Dynamics Rising demand for advanced threat detection drives innovation in applied AI technologies for cybersecurity solutions.
    Countries Covered US

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    FAQs

    What was the expected market size of the US Applied AI in Cybersecurity Market in 2024?

    The US Applied AI in Cybersecurity Market was valued at 818.12 million USD in 2024.

    What will be the projected market value of the US Applied AI in Cybersecurity Market by 2035?

    By 2035, the market is projected to reach a value of 10,045.0 million USD.

    What is the expected CAGR for the US Applied AI in Cybersecurity Market from 2025 to 2035?

    The expected CAGR for the market from 2025 to 2035 is 25.606%.

    Which organization size segment will contribute significantly to the US Applied AI in Cybersecurity Market in 2035?

    For the year 2035, large enterprises are forecasted to contribute significantly with a market value of 6,915.0 million USD.

    What market value is expected for SMEs in the US Applied AI in Cybersecurity Market by 2035?

    The SMEs segment is expected to reach a market value of 3,130.0 million USD by 2035.

    Who are the key players in the US Applied AI in Cybersecurity Market?

    Major players in the market include Proofpoint, Microsoft, Check Point Software Technologies, Fortinet, and Splunk, among others.

    What is the projected market growth rate for large enterprises in the US Applied AI in Cybersecurity Market?

    The market for large enterprises is projected to grow significantly, reaching 6,915.0 million USD by 2035.

    What are the key applications driving the growth of the US Applied AI in Cybersecurity Market?

    Key applications driving growth include threat detection, incident response, and vulnerability management.

    What emerging trends are shaping the US Applied AI in Cybersecurity Market?

    Emerging trends include increasing automation in cybersecurity processes and the integration of advanced machine learning techniques.

    How does the current global scenario affect the US Applied AI in Cybersecurity Market?

    The current global scenario is driving demand for enhanced cybersecurity measures, boosting market growth across various sectors.

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