Businesses are recognizing the importance of their employees in maximizing the value of security technology, according to recent research. While AI-driven cybersecurity is often praised for its potential to enhance digital defenses, a new study reveals that almost half of the firms planning to increase cybersecurity spending in the next year will do so to strengthen their human resources.
IBM conducted a study on the cost of data breaches, estimating that organizations that experience such breaches face increasing costs. On average, the cost of a data breach is $4.45 million, but it can reach as high as $10.93 million in sectors like healthcare. The study also found that organizations using AI and automation solutions have seen tangible benefits. These companies were able to identify and contain breaches 108 days faster than those without such solutions, resulting in a $1.76 million lower data breach cost.
However, it is important not to underestimate the changes necessary to fully leverage AI technology. Some may view AI as a magical solution that can single-handedly fend off cybercriminals, but the reality is that successful implementation requires a focus on both technology and human employees.
A recent study by cybersecurity consultancy S-RM highlights the challenges companies face in securing AI tools. While 97% of firms plan to increase their use of AI tools, only 53% are confident in their ability to secure these tools. Criminals can exploit vulnerabilities if the tools are not properly implemented.
S-RM surveyed 600 c-suite and IT budget holders from organizations with a revenue over $500 million in the UK and US. The study found that fewer companies view technology investments as providing high value for money compared to previous years. Only 49% of respondents considered cybersecurity technologies as high value for money, while even fewer saw risk assessments (42%) and third-party risk management (40%) in the same light. This shift likely reflects an increased awareness that investing in cybersecurity technology also requires investment in governance and personnel. As a result, companies are expected to increase their investment in these areas in the coming year.
Cybersecurity budgets grew by 3.1% in 2023, and companies predict an 8% increase in the coming year. This growth is driven by a desire to upskill teams and hire more skilled personnel to effectively deploy new technology. However, there is a disconnect between decision-makers and IT professionals. Only 43% of IT professionals consider cybersecurity technology a high-value investment, compared to 56% of C-suite executives. This misalignment suggests a difference in expectations between those directly involved in deploying technology and those overseeing its implementation.
Jamie Smith, head of cybersecurity at S-RM, emphasized the need for increased cybersecurity budgets to address the growing cyber threat. He noted that organizations must carefully allocate their cybersecurity spend to areas that provide value for money and enable them to manage emerging threats effectively.