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All issuesVolume 326, Issue 3IT Vendor NewsBarracuda Networks

Rising cybersecurity costs will force organizations to revisit strategies

barracuda, Monday, May 19th, 2025

While spending on cybersecurity continues to increase, it's not clear to what degree that level of spending is sustainable. Some might argue that after not spending enough on cybersecurity for decades, organizations are starting to realize, and cybersecurity is now finally getting its due. However, there are others who argue that as a percentage of overall IT spending, the amount allocated to cybersecurity is coming at the expense of other strategic imperatives.

A report from The Futurum Group projects cybersecurity spending will increase at a compound annual growth rate (CAGR) of 11.6% from 2024 to 2029 to reach $287.6 billion in revenue. Based on an analysis of revenue growth forecasts provided by cybersecurity vendors that make up 70% of the market, the five fastest-growing cybersecurity segments will be integrated risk management/security operations, identity and access management, cloud security, application security and data security.

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