Generative AI has dethroned cybersecurity as the top IT spending priority for 2025, with 45% of global leaders now putting their chips on AI innovation. While security isn’t exactly getting ghosted—budgets are still expected to grow from 8.6% to 13.2%—it’s definitely lost its VIP status. Think of AI as the shiny Tesla that’s stealing attention from the reliable Honda Civic of cybersecurity. The real challenge? Balancing that flashy new tech with keeping the digital doors locked.
While cybersecurity has long reigned supreme in IT budget priorities, a seismic shift is underway as generative AI officially claims the spending throne for 2025. According to a thorough AWS survey spanning nine countries, a whopping 45% of global IT leaders have named generative AI as their top spending priority, relegating cybersecurity to runner-up status.
The crown has changed hands—AI now rules the IT budget kingdom while security plays loyal deputy.
It’s like watching your reliable family sedan get outshined by the flashy new electric vehicle—practical, but lacking that “wow” factor. This shifting landscape doesn’t mean security concerns are vanishing into the digital ether. Security budgets are still growing considerably, expected to claim 13.2% of IT spending in 2025—up from 8.6% in 2020. The increased focus on security reflects ongoing efforts to protect against online attacks that continue to threaten organizational data.
But let’s be real: AI is the new prom queen of tech investments. The numbers tell a fascinating story of AI’s rapid maturation. About 90% of organizations are already dabbling with generative AI tools, and nearly half have moved beyond the “let’s play around with this” phase to full-scale integration. This trend aligns with projections showing the AI market growth will reach $1.85 trillion by 2030.
Companies are running an average of 45 AI experiments each in 2024, though only 20 will actually make it to end users next year. Talk about survival of the fittest! Talent remains the biggest roadblock to AI nirvana. A staggering 92% of organizations plan to recruit AI-skilled talent next year—good luck with that in this market!—while more than half are launching internal training programs. This shift in priorities has led many organizations to create new leadership roles with Chief AI Officers appearing in 60% of companies.
Turns out you can’t just sprinkle some machine learning fairy dust on existing staff and expect magic. Most organizations are taking a pragmatic approach to implementation, combining pre-trained foundation models with custom development rather than building everything from scratch.
Even traditionally DIY-obsessed financial services companies are increasingly buying off-the-shelf AI solutions. The cybersecurity budget isn’t disappearing, just getting reorganized. Software gobbles up 32% of security spending, while personnel costs represent a hefty 37%—proving that despite all our technological advances, humans remain both the weakest link and strongest defense in security.
