Nearly eight-in-ten organisations say their cyber budget will increase in the coming year, as businesses contend with an array of cyber risks
Investment in AI was the main budget priority (36%) over the next 12 months, ahead of cloud security (34%), network security (28%) as well as data protection (26%). This, according to an update from PwC.
Cyber skills deficits weigh in as well: a lack of knowledge in the “application of AI for cyber defence (50%) and lack of relevant skills (41%) were the top two challenges over the last 12 months in implementing AI for cyber defence.”
AI tops the agenda for cybersecurity and business leaders when it comes to cyber budget allocations, “addressing cyber talent shortages, and bolstering cyber defence capabilities over the next 12 months, according to PwC’s 2026 Global Digital Trust Insights survey.”
Less than or half of organisations say they are ‘very capable’ to address areas including weak authentication and access controls (55%), vulnerable connected products/devices (48%), with legacy systems (45%) and supply chain vulnerabilities (43%) among the “weakest spots among the areas surveyed.”
When looking at the AI security capabilities organisations are prioritising over the next 12 months, “nearly half (48%) of security leaders are prioritising AI threat hunting capabilities, with more than one-third prioritising other capabilities such as agentic AI (35%).”
As organisations grapple with an array of cyber risks – they are also putting a number behind it.
Half now report using cyber risk quantification to measure financial impact to a significant or large extent.
This comes as a quarter of businesses (27%) claim that their most damaging data breach in the past 3 years cost their organisation at least $1 million.
The most exposed include enterprises with $5 billion or more in total revenue (41%), US-based firms (37%), TMT sector companies (33%).
Cyber security workforce shortages continue to negatively impact progress as organisations operationalise AI, secure complex environments and prepare for the new threats.
Half of respondents said a lack of knowledge in the application of AI for cyber defence, or lack of relevant skills (41%), were the internal challenges to implementing AI for cyber defence purposed in the past year.
While talent shortages weigh – business are responding by prioritising areas such as AI and machine learning tools (53%), security automation tools (48%), cyber tool consolidation (47%) and upskilling or reskilling (47%).
The cyber skills deficit challenge runs beyond preparation for AI.
Nearly half of leaders cite a lack of qualified personnel as a key challenge when securing operational technology and the industrial internet of things (IIoT) systems.
And as quantum technologies keep advancing and represent one of the threats organisations are least prepared to address (after cloud-related threats, 33%; attacks on connected products, 28%; third-party data breach, 27%; quantum computing threats, 26%), almost half (49%) haven’t considered implementing any quantum-resistant security measures because of a lack of understanding when it comes to addressing post-quantum risks, limited internal resources as well as competing demands.
The 2026 Global Digital Trust Insights survey captures the views of 3,887 business and tech execs between May-July of this year.
A third of the executives are from large companies with $5 billion or more in revenues.
Respondents operate in a range of industries, including the following – financial services (21%); industrial manufacturing and automotive (21%); tech, media and telecom (19%); retail and consumer markets (16%); healthcare (10%); energy, utilities and resources (9%); and government and public services (4%). Respondents are based across 72 countries.
