Cybersecurity Spending to Soar to $240 Billion by 2026, Driven by AI Threats and Regulatory Pressure

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In an era of growing cyber risk, global spending on cybersecurity is set to reach record highs. According to a recent forecast from Gartner, end users are expected to spend $213 billion on information security in 2025, a 10.4% increase over the previous year. By 2026, that number is projected to rise even further, hitting $240 billion a 12.5% year-over-year growth.

For context, cybersecurity spending stood at $193 billion in 2024.

Software Security Takes the Lead

The fastest-growing segment in cybersecurity is software security, projected to reach $121 billion in 2026—up 14.4% from 2025. This growth is being fueled by:

  • Increased reliance on cloud security tools

  • Rise of security brokers

  • Rapid migration from on-premises to cloud-based systems

However, with greater adoption of cloud technologies and AI-powered tools, the threat landscape is also expanding, prompting companies to rethink their defense strategies.

What’s Fueling the Surge?

Ruggero Contu, senior director analyst at Gartner, says the growth is driven by a mix of caution and necessity:

“Established security spending will continue as normal, but some organizations are being more cautious with any new security spending in this highly uncertain and challenging climate.”

Still, several key factors are pushing cybersecurity budgets upward:

  • Escalating cyber threats

  • Stronger cybersecurity regulations

  • Increased awareness among small and mid-sized businesses

  • Expansion of AI and generative AI, both as a tool for innovation and a weapon for attackers

Staying Ahead of the Curve

With ransomware, cloud vulnerabilities, and AI-enabled attacks on the rise, this forecast sends a clear message: cybersecurity is no longer just an IT issue. It’s a core business priority.

As companies invest in more robust cybersecurity measures, staying informed on emerging risks and best practices will be key to maximizing the impact of that spend.

➡️ For more tips, tools, and cyber defense strategies, explore our Cybersecurity Resources.