Gartner puts 2026 worldwide end-user spending on information security at $244 billion. Its separate securing-AI forecast, published in August 2026, sits at $2,835 million for the same year.
The cybersecurity market statistics below cover spending forecasts, public vendor results, deal activity, breach costs and FBI loss data, drawn from releases published through September 2026.
Cybersecurity Market Statistics
How Big Is the Cybersecurity Market in 2026?
Gartner’s February 2026 Forecast Analysis puts worldwide information security spending at $244 billion in 2026, with 11.6% growth in constant currency.
That figure measures end-user spending, not vendor revenue. The same $244 billion first appeared in Gartner’s 3Q25 update, published September 26, 2025.
| Gartner edition | Published | 2026 spending forecast | Stated growth |
|---|---|---|---|
| Information security press release | July 29, 2025 | $240 billion | 12.5% |
| Forecast, 3Q25 Update | Sept. 26, 2025 | $244 billion | 11.6% (constant currency) |
| Forecast Analysis, 2026 | Feb. 5, 2026 | $244 billion | 11.6% (constant currency) |
Source: Gartner press release (July 2025) and Gartner research abstracts (September 2025, February 2026)
Looking further out, the 3Q25 update projects $322 billion by 2029. Gartner states that as a 10.0% CAGR in constant currency from 2024 to 2029.
A 3Q26 update followed on September 24, 2026. Its public abstract does not include a dollar figure.
Source: Gartner, Forecast: Information Security, Worldwide, 3Q25 Update and 3Q26 abstracts
Security Software, Services and Network Spending
Security software is the largest segment in Gartner’s July 2025 release, at $121,154 million forecast for 2026. Security services follow at $92,780 million, with network security at $25,825 million.
The same release put the 2024 total at $193,408 million and the 2025 estimate at $213,025 million.
Source: Gartner, Information Security End-User Spending by Subsegment, July 2025 forecast (2024–2026)
Securing AI Spending in the Cybersecurity Market: $2,835M in 2026
Gartner forecasts the market for securing AI at $4,783 million in 2027, up 68.7% from $2,835 million in 2026. The August 26, 2026 release projects almost $7.7 billion by 2028.
AI application security is the largest named segment, at $851 million for 2027. AI usage control follows at $749 million and carries the highest 2027 growth rate, 73.0%.
| Segment | 2026 spending (M) | 2027spending(M) | 2027 growth |
|---|---|---|---|
| AI Application Security | 508 | 851 | 67.5% |
| AI Usage Control | 433 | 749 | 73.0% |
| AI Governance Platforms | 275 | 462 | 68.0% |
| AI Gateway | 251 | 429 | 70.9% |
| Other Securing AI | 1,368 | 2,292 | 67.5% |
| Total | 2,835 | 4,783 | 68.7% |
Source: Gartner, Securing AI Opportunity by Segment, August 2026 forecast (2026–2027)
Gartner also predicts that by 2029, over half of successful cyberattacks on AI agents will exploit access control weaknesses and prompt injections.
Which Public Security Vendors Grew Revenue 25% or More?
| Company | Quarter (period end) | Revenue | YoY growth |
|---|---|---|---|
| Palo Alto Networks | Q4 FY2026 (July 31, 2026) | $3.41 billion | 34% |
| Fortinet | Q2 2026 (June 30, 2026) | $2.05 billion | 26% |
| CrowdStrike | Q2 FY2027 (July 31, 2026) | $1.47 billion | 26% |
| Zscaler | Q4 FY2026 (July 31, 2026) | $898.2 million | 25% |
Source: Company earnings releases — Palo Alto Networks (Sept. 1, 2026), Fortinet (July 29, 2026), CrowdStrike (Aug. 26, 2026), Zscaler (Sept. 3, 2026)
All four reported quarterly revenue growth between 25% and 34%. Fortinet’s quarter ended June 30; the other three closed July 31.
Full-Year and Recurring Revenue Figures
Palo Alto Networks reported fiscal 2026 revenue of $11,480 million, against $9,221 million in fiscal 2025. Next-Generation Security ARR reached $9.10 billion, up 63%.
Its fiscal 2026 results include integration costs tied to the acquisition of CyberArk Software.
Zscaler’s fiscal 2026 revenue grew 25% to $3,353 million. ARR reached $3,771 million, including $141 million contributed by the Red Canary acquisition.
CrowdStrike ended July 31, 2026 with $5.84 billion in ARR, up 25%. Net new ARR of $332.8 million was a record, the company said.
At Fortinet, product revenue grew 52% to $773 million and billings rose 33% to $2.37 billion. The company raised its 2026 revenue guidance to 19% growth.
Each company defines ARR differently, so those figures are not directly comparable.
Source: Palo Alto Networks, Zscaler, CrowdStrike and Fortinet earnings releases, fiscal periods ended June–July 2026
Cybersecurity Market Statistics on M&A: 219 Deals in H1 2026
Momentum Cyber counted 219 cybersecurity M&A transactions in the first half of 2026, with $9.1 billion in disclosed deal value. The firm says 2026 is tracking toward the highest annual deal count it has recorded.
| Period | M&A transactions | Disclosed M&A value |
|---|---|---|
| Full year 2025 | 400 | $96 billion |
| Q1 2026 | 108 | $2.6 billion |
| H1 2026 | 219 | $9.1 billion |
Source: Momentum Cyber, 2026 Cybersecurity Almanac (Jan. 2026), Q1 2026 Market Review (Apr. 2026), H1 2026 Review (July 2026)
Strategic acquirers captured 92% of disclosed 2025 M&A value.
June 2026 produced the year’s first $1B+ transaction in Momentum Cyber’s count: Accenture’s $4.175 billion deal for Dragos, NetRise and runZero.
In February 2026, Check Point made three acquisitions worth a combined $150 million.
Venture Financing
Private financing reached $20 billion across 820 rounds in 2025. Capital deployed rose 52% while the number of rounds fell 20%.
During Q1 2026, $3.8 billion went into 211 financing rounds, above the quarter’s $2.6 billion in M&A value. AI Security companies took 46% of Q1 financing dollars.
Source: Momentum Cyber, 2025 annual and Q1 2026 releases
What Does a Data Breach Cost in 2026?
IBM’s 2026 Cost of a Data Breach Report puts the global average at $4.99 million. That is a 12% increase and a record high for the study.
The 2025 edition had recorded $4.44 million, down from $4.88 million in 2024.
AI-driven attacks increased 56%, led by deepfake impersonations and AI-enabled malware. An AI model inversion attack averaged $6 million per breach.
Organizations using AI and automation extensively in security saved $1.93 million compared with those using none.
Source: IBM and Ponemon Institute, Cost of a Data Breach Report, 2023–2026 editions
FBI Data Shows $20.877 Billion in Reported 2025 Cybercrime Losses
The FBI’s Internet Crime Complaint Center logged 1,008,597 complaints in 2025. Reported losses totaled $20.877 billion, up 26% from 2024.
These are losses complainants reported, not total cybercrime costs. The IC3 says its ransomware figure excludes lost business, time and remediation costs, and some entities report no loss amount.
Source: FBI Internet Crime Complaint Center, 2025 IC3 Annual Report (losses by year, 2020–2025)
Loss Categories With the Highest 2025 Totals
| Crime type | 2025 reported loss | 2025 complaints |
|---|---|---|
| Investment | $8,648,617,756 | 72,984 |
| Business Email Compromise | $3,046,598,558 | 24,768 |
| Tech/Customer Support | $2,134,675,818 | 47,794 |
| Personal Data Breach | $1,314,923,988 | 67,456 |
| Confidence/Romance | $929,287,469 | 23,159 |
Source: FBI IC3, 2025 Crime Types by Complaint Loss and Count (calendar 2025)
Cyber-enabled fraud accounted for almost 85% of all 2025 losses.
Ransomware complaints totaled 3,611, with $32,320,105 in reported losses. The IC3 identified 63 new ransomware variants during the year.
AI-related complaints reached 22,364, with $893,346,472 in losses. The report’s three-year tables show that descriptor was not captured in 2023 or 2024.
FAQs
How big is the cybersecurity market in 2026?
Gartner forecasts $244 billion in worldwide information security end-user spending for 2026, with 11.6% growth in constant currency. The figure comes from its February 2026 Forecast Analysis and measures spending, not vendor revenue.
How fast is the cybersecurity market growing?
Gartner’s 3Q25 update projects $322 billion in information security spending by 2029. That is a 10.0% compound annual growth rate in constant currency from 2024 to 2029, as projected by Gartner.
What is the average cost of a data breach in 2026?
The global average is $4.99 million, per IBM’s 2026 Cost of a Data Breach Report. That is up 12% from the 2025 edition’s $4.44 million and the highest average the study has recorded.
How much money was reported lost to cybercrime in 2025?
Complainants reported $20.877 billion in losses to the FBI’s IC3 in 2025, up 26% from 2024. The total comes from 1,008,597 complaints and covers only losses victims chose to report.
Reddit threads often ask if cybersecurity demand is cooling. What does 2026 data show?
Published figures show continued growth. Gartner raised its 2026 spending estimate from $240 billion to $244 billion. Palo Alto Networks, Fortinet, CrowdStrike and Zscaler each reported 25% to 34% quarterly revenue growth in mid-2026.
