By Editorial Desk, 63SATS
As cyber threats continue to evolve, Indian businesses are amplifying their focus on cybersecurity, placing it at the forefront of risk mitigation and investment priorities. PwC’s Digital Trust Insights 2025 – India Highlights draws from insights provided by 4,042 executives globally, including 155 Indian leaders, to shed light on how Indian organizations are navigating the escalating cyber risks.
Rising Cybersecurity Budgets and Strategic Priorities
93% of Indian executives anticipate an increase in their cybersecurity budgets in the coming year, with 17% planning hikes of 15% or more—a notable uptick from last year. This heightened investment aligns with Indian businesses’ prioritization of cybersecurity as their top risk mitigation concern (61%), ahead of digital and technology risks (60%), inflation (48%), and environmental risks (30%).
Key investment areas include:
Data Protection and Remediation: Chosen by 42% of business leaders, this remains the most critical investment priority, driven by recent breaches and the imperative to rebuild trust.
Cloud Security: While cloud services are vital to digital transformation, they are also a significant concern, with 55% of executives citing cloud threats as the top risk, a 3% rise from last year. However, 50% of security leaders and CFOs feel unprepared to mitigate these risks effectively.
Generative AI: A Double-Edged Sword
Generative AI (GenAI) has emerged as a game-changer in cybersecurity, with 87% of organizations increasing investments in GenAI-driven cyber defense strategies over the past year. Moreover, 86% have allocated additional resources to AI governance to mitigate risks associated with this transformative technology.
Sivarama Krishnan, Partner and Leader, Risk Consulting, PwC India, emphasizes the importance of a holistic approach:
“Advances in AI and cloud services have expanded the attack surface for enterprises. Organizations must align their priorities and readiness to ensure security and business continuity.”
Despite its promise, GenAI also broadens the attack surface, requiring meticulous oversight to balance innovation with resilience.
The Regulatory Imperative: Compliance as a Strategic Driver
Cybersecurity regulations are proving to be a pivotal catalyst for increased investment. According to the report:
100% of surveyed leaders stated that regulatory mandates had influenced their cyber spending.
74% reported that regulations enhanced their cybersecurity stance, demonstrating their role in driving systemic improvements.
Sundareshwar Krishnamurthy, Partner and Leader – Cybersecurity, PwC India, underscores the strategic significance of compliance:
“Compliance should not be viewed as a mere tick-in-the-box exercise but as an opportunity to build resilience and trust with stakeholders.”
Persistent Threats: Data Breaches and Financial Impact
Despite increased vigilance, the financial toll of cyber incidents remains significant. In the past three years:
44% of leaders experienced breaches costing over USD 500,000.
33% reported breaches costing at least USD 1 million.
8% of security leaders faced breaches exceeding USD 20 million, marking a slight improvement over last year.
These figures highlight the critical need for robust cybersecurity frameworks to minimize both monetary and reputational damage.
Bridging the Cyber Risk Quantification Gap
While most executives recognize the importance of cyber risk quantification, adoption rates remain low, with only 20% of organizations implementing thorough methodologies. Challenges such as data quality issues and misalignment between stakeholder expectations hinder broader adoption.
Sivarama Krishnan points out the untapped potential:
“Developing a reliable cyber risk quantification system is essential for informed decision-making and prioritizing strategic investments.”
