Facts and misconceptions about cybersecurity budgets

Managing and allocating budgets for cybersecurity and IT has become an increasingly critical aspect of organizational strategy.
Organizations recognize the need to invest significantly in cybersecurity to safeguard sensitive data, protect against ransomware attacks, and ensure the integrity of their IT infrastructure.
A well-structured cybersecurity budget is crucial for staying ahead of emerging threats and minimizing potential risks.
In this article, you will find excerpts from cybersecurity budget surveys we covered in 2023.
These findings will empower your organizations to craft more effective cybersecurity strategies.
Even with increasing budgets, cost optimization remains a top priority for IT and security decision makers globally.
Hile generative AI has not yet had a material impact on IT spending, investment in AI more broadly is supporting overall IT spending growth.
While security budgets are increasing at a lower rate, security budgets as a share of IT budgets are trending up, suggesting the impact on security spending is moderate compared to IT spending.
Since 2020, security spending relative to IT spending has increased from 8.6% to 11.6%, with technology firms reporting the largest proportional spending at 19%. Cloud service inefficiencies drain IT budgets.
Despite rising insider risk costs, budgets are being wasted in the wrong places.
Despite the growing cost of insider risks, 88% of organizations spent less than 10% of their total IT security budget on insider risk management.
Organizations had an IT security budget of $2,437 per employee, yet only 8.2% was allocated specifically to insider risk programs and policies.
Economic volatility drives businesses to MSPs. Achieving business growth tops the list of budget drivers, said 32% of respondents.
Replacing outdated IT infrastructure was identified by 29% of respondents and security incidents or concerns by 28%. Increased spending doesn't translate to improved cybersecurity posture.
Despite an average cybersecurity budget increase of 29% in 2023, respondents say they need a further 40% rise to be confident in their ability to mitigate security risks.
With this, more than half would spend money on hiring more security specialists, shortly followed by investment in security awareness training and upskilling security teams.
The study found that a mere 38% of executives said that the looming recession would significantly influence their IT security spending this year.
Tight budgets and burnout push enterprises to outsource cybersecurity.
63% of U.S. cybersecurity professionals had their department's budget cut in 2023, compared to only 28% of their EMEA counterparts.
To further align with tight budgets, both U.S. and EMEA organizations have implemented a recruitment slowdown for this year.


This Cyber News was published on www.helpnetsecurity.com. Publication date: Wed, 03 Jan 2024 05:13:04 +0000


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