Increasing worldwide investments in cybersecurity protection
Global Cybersecurity Investments Soar as Threats Evolve
In the face of escalating cyber threats, businesses worldwide are significantly increasing their cybersecurity budgets. The necessity to stay secure against evolving threats is driving this investment, rather than a choice.
Continuous investment, innovation, and vigilance are key strategies for staying ahead of these threats. According to projections, global security investments are set to grow by 12.2% by 2025, reaching a staggering $377 billion by 2028.
The largest area of investment in cybersecurity is security software, which will see a 14.4% growth in 2025. Companies are doubling down on cloud security as a key investment area in security software. This focus is on cloud security, identity management, and security analytics.
AI is making cyber threats more sophisticated, necessitating a shift in viewing cybersecurity as a business-critical investment rather than just an IT expense.
The industries expected to have the fastest-growing cybersecurity budgets in 2025 are primarily financial services, insurance, and technology sectors. These sectors are experiencing higher-than-average budget growth rates for cybersecurity, driven by the increasing complexity and volume of cyber threats.
Although the overall growth in cybersecurity budgets slowed to an average of 4% in 2025 compared to 8% in 2024, financial services, insurance, and tech sectors still saw relatively stronger budget increases. Meanwhile, industries such as healthcare, professional and business services, and retail and hospitality experienced the lowest budget growth in cybersecurity this year.
Sectors like finance, healthcare, eCommerce, and government are showing skyrocketing demand for advanced cyber defense due to escalating cyberattacks. Healthcare and finance remain among the most targeted industries, with costly breaches driving increased spending on security measures.
The media & entertainment industry is expected to grow its cybersecurity budget by 17.1%. Small and medium-sized businesses are also ramping up their cybersecurity defenses as they digitize. Managed security services are expanding as businesses seek outside help to stay ahead of threats without overextending their internal teams.
Capital markets are projected to have a 19.4% increase in cybersecurity budgets. In the Gulf Cooperation Council (GCC) region, governments and enterprises are prioritizing cybersecurity education and training to build long-term resilience. Organizations are increasingly adopting SIEM tools as a cornerstone of their security strategy, driven by the need for faster, smarter threat detection.
Identity management is a significant focus in the growth of security software investments. The life sciences industry is projected to see a 16.9% increase in cybersecurity spending.
In the Middle East & Africa, Central & Eastern Europe, and Latin America, the fastest growth in cybersecurity spending is happening. The U.S. and Western Europe are expected to contribute the bulk of the spending, but the rapid growth in these regions is noteworthy.
In summary, financial services, insurance, and technology industries are leading the fastest-growing cybersecurity budget increases in 2025, while healthcare and some service and retail sectors are seeing more modest or stagnant budget growth despite high threat levels. The media & entertainment industry, capital markets, and the life sciences industry are also expected to see significant growth in their cybersecurity budgets.
Technology industries are recognizing the need for increased investment in data-and-cloud-computing sectors due to the growing complexity and volume of cyber threats. As a result, the growth of cybersecurity budgets in technology sectors is predicted to be significant in 2025. Moreover, artificial intelligence is fueling the sophistication of cyber threats, prompting companies to view cybersecurity as a critical business investment rather than just an IT expense.
