Securing the Future: Gartner’s Cybersecurity Investment Insights for 2024

Gartner (a provider of research and consulting services for businesses in the IT sector) has released its latest forecast for global spending on security and risk management. According to the forecast, the spending is predicted to reach $215 billion next year, reporting an increase of 14% year-over-year in contrast to 2023.

Furthermore, as per the details, security services, the industry’s biggest segment which includes consulting, IT outsourcing, implementation, and hardware support, will be responsible for 42% of total spending. The forecast suggests that the security services segment will grow 11% to $90 billion next year. The subsequent biggest segments which include infrastructure protection, and network security endpoint, are anticipated to incur $33.3 billion and $24.3 billion, respectively.

In this regard, a senior research principal at Gartner in a research note said,

In light of cyber risks increasing, cyber threats proliferating, and a changing operating environment, it is more critical than ever for organizations to build and optimize a cybersecurity program.

A Moody’s survey of over 1,700 rated debt issuers also highlights the increased investments organizations are making in cybersecurity to tackle regulatory requirements and increased cyber risk. Cybersecurity spending levels ramped up by 70% from 2019 to 2023, as per Moody’s 2023 cyber survey.

Furthermore, according to the same survey, the share of technology funds granted to cybersecurity is also on the rise. Organizations said that they allocated 8 percent of their technology budgets to cybersecurity in 2023, witnessing an increase of 5% since 2019.

In a statement, VP analyst of cyber credit risk at Moody’s, Leroy Terrelonge said,

While budgets have increased, advanced cyber practices remain out of reach for many issuers, and survey responses raise questions about the effectiveness of some cyber initiatives. Companies and organizations also face lurking challenges, including a growing cybersecurity talent shortage and the advent of generative AI, which will introduce new risks.

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