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Overview of the 2025 Security Budget Benchmark Report

IANS Research, in partnership with Artico Search, has released its highly anticipated 2025 Security Budget Benchmark Report, highlighting a critical shift in the financial landscape for cybersecurity. The report reveals that the growth of security budgets has decelerated, now averaging just 4% year-over-year growth, marking the lowest increase seen in the past five years. In comparison, the prior year's figure stood at 8%, showcasing a sharp decline that raises significant concerns for future investments in cyber defense systems.

Factors Behind Budget Constraints

Various macroeconomic factors contribute to this restrained growth in cybersecurity funding. The report attributes these challenges to prolonged global market instability, which is influenced by geopolitical tensions, uncertain tariff policies, inflationary pressures, and fluctuating interest rates. As businesses exercise caution in the face of these unpredictable economic conditions, security organizations are feeling the pinch more deeply than in previous years. The result is flat or shrinking budgets, presenting significant hurdles for Chief Information Security Officers (CISOs) tasked with safeguarding organizations.

Key Findings from the Report

According to the report's findings:

• - Only 49% of CISOs reported receiving budget increases, a stark contrast to previous years when budget approval was more common.
• - The proportion of security budgets as a share of IT spending has decreased from 11.9% to 10.9%, breaking a positive trend that persisted for five years, as AI and cloud investments surged, overshadowing security budget growth.
• - The pace of staffing growth in security organizations has slowed to 7%, the lowest in four years. This stagnation in hiring is primarily due to hiring freezes, which severely limits teams' abilities to expand despite the increasing complexity of the threat landscape.
• - A staggering 89% of CISOs describe their teams as either stretched thin or understaffed, raising pressing organizational risks as security demands grow more expansive and intricate.

Expert Insights

Steve Martano, a recognized authority at IANS, commented on the implications of the findings: "Security budgets are being affected just like any other business unit; their state reflects broader macroeconomic conditions and organizational priorities. This scenario puts immense pressure on CISOs to navigate strategic priorities efficiently while garnering buy-in from organizational leaders regarding risk tolerances in relation to available budgets."

Nick Kakolowski, Research Director at IANS, added, "Despite identifying cybersecurity as a top business risk, many organizations are not matching budget increments to the expanding security program scope, which presents a significant challenge."

Actionable Recommendations

In light of these findings, the report emphasizes the importance of aligning security programs with overarching business objectives. CISOs are encouraged to:

• - Effectively communicate the value of cybersecurity investments to stakeholders to better justify the need for increased resources.
• - Prioritize security initiatives strategically, ensuring they align with the evolving risk landscape.
• - Engage in transparent dialogues about organizational risk appetites relative to available budgets, ensuring a cohesive approach to cybersecurity governance.

Conclusion

The 2025 Security Budget Benchmark Report not only sheds light on the current state of security budgets but also serves as a critical resource for security leaders navigating these turbulent times. Given the increasing cyber threats and economic challenges, the recommendations provided offer actionable strategies to optimize resources and enhance cybersecurity frameworks. For detailed insights and further statistics, download the complete report from IANS Research and Artico Search's website today.

Survey Methodology

The survey, conducted in April 2025, involved 587 CISOs from companies of various sizes and industries, providing a well-rounded perspective on the security budgeting landscape. The analysis of the collected data positions businesses to better prepare for their 2025-2026 planning cycle. For more information about IANS Research and its resources, visit their official website.