Global AI Trust, Risk and Security Management Market 2024-2031

Global AI Trust, Risk and Security Management Market 2024-2031

AI Trust, Risk and Security Management Market Size, Share & Trends Analysis Report by Component (Solution, and Services), and by End User (IT & Telecommunication, BFSI, Manufacturing, Retail & E-Commerce, Healthcare, Government, Media & Entertainment, and Others (Energy and Utilities, and Transportation and Logistics), Forecast Period (2024-2031)

AI trust, risk, and security management market is anticipated to grow at a CAGR of 20.3% during the forecast period (2024-2031). The global AI trust, risk, and security management market is a rapidly expanding industry that focuses on ensuring the reliability, security, fairness, and ethical use of AI technologies across various sectors. This market includes various components such as AI governance frameworks, risk assessment tools, compliance solutions, explainable AI (XAI) techniques, bias detection and mitigation algorithms, privacy-preserving AI methods, secure AI development platforms, and AI-enabled cybersecurity solutions. It caters to a wide range of verticals, including healthcare, finance, retail, manufacturing, government, and automotive. The adoption of AI trust and security solutions is driven by factors such as regulatory compliance, ethical and social concerns, organizational governance, technological advancements, industry-specific demands, and globalization.

Market Dynamics

Increasing Cyber Threats

The increasing frequency underscored cyber threats and malicious ransomware attacks targeting government institutions underscores the urgent need for strong cybersecurity safeguards to ensure the security of sensitive information and vital infrastructure. For instance, in April 2023, the UK government launched new cyber security measures, known as GovAssure, to protect its IT systems from growing threats. The regime, run by the Government Security Group, reviewed all central government departments' cyber health annually using more robust criteria. The measures include using NCSC's Cyber Assessment Framework to review assurance measures, having departments assessed by third parties, and centralizing cyber security policy and guidance to help identify best practices.

Rising adoption of Artificial Intelligence (AI)

The adoption of AI is growing, and research and development expenditures show the significance it is for AI systems to be dependable and secure to promote competition and innovation. For instance, in March 2024, Cognizant launched an Advanced Artificial Intelligence Lab in San Francisco, focusing on AI science and practice. The lab, staffed by researchers and developers, collaborates with research institutions, customers, and startups. Cognizant plans to invest $1.0 billion in generative AI over three years. The lab comes as enterprises seek to understand AI's impact and meet increasing expectations.

Market Segmentation

Based on components, the market is segmented into solutions, and services.

Based on end-user, the market is segmented into IT & telecommunication, BFSI, manufacturing, retail & e-commerce, healthcare, government, media & entertainment, and others (energy and utilities, and transportation and logistics).

IT & Telecommunication Tests is Projected to Emerge as the Largest Segment

The IT & telecommunication segment is expected to hold the largest share of the market. The primary factor supporting the segment's growth includes the initial objective of the project is to improve connection in rural and underserved communities to promote economic growth and digital engagement. According to the National Telecommunications and Information Administration (NTIA), in April 2024, made substantial progress in the implementation of the ""Internet for All"" initiative, allocating billions of dollars towards planning, infrastructure development, and grants. This effort aimed to connect Americans to affordable, dependable, and high-speed Internet service, with a total investment of $65.0 billion made by the (bipartisan infrastructure law) BIL.

Services Sub-segment to Hold a Considerable Market Share

The growing implementation of AI's significance in cybersecurity defense is driving significant growth in the global market for AI trust, risk, and security management. For instance, in October 2023, IBM introduced AI technologies to its managed detection and response services, enabling automatic escalation or closure of up to 85.0% of alerts. The new Threat Detection and Response Services (TDR) provide 24x7 monitoring, investigation, and automated remediation of security alerts across hybrid cloud environments.

Regional Outlook

The global AI trust, risk, and security management market is further segmented based on geography including North America (the US, and Canada), Europe (UK, Italy, Spain, Germany, France, and the Rest of Europe), Asia-Pacific (India, China, Japan, South Korea, and Rest of Asia-Pacific), and the Rest of the World (the Middle East & Africa, and Latin America).

Demand For Security Expertise in Artificial Intelligence (AI) In Asia-Pacific Region

The increasing significance of AI in cybersecurity raises the demand for qualified experts to develop and manage customized AI security solutions, which drives up the cost of AI security education and training initiatives. According to the Times of India, in February 2023, the use of AI in India has seen significant growth in recent years, driven by the increased adoption and deployment of AI technologies by various Indian companies. This widespread integration of AI has had a profound impact on various sectors, including healthcare, finance, and retail, leading to increased efficiency, cost savings, and improved consumer experiences. AI is projected to contribute approximately $500.0 billion to the Indian economy by 2025.

North America Holds Major Market Share

The adoption of AI-powered security solutions has been driven in significant portion by the Small Business (SB) funding infusion, considering the challenges presented by scarce resources. According to the US Small Business Administration (SBA), in August 2023, it launched the selection of six state entities as recipients of the Cybersecurity for Small Business Pilot Program. These six grantees will collectively receive $6.0 million in funding to help small businesses enhance their cybersecurity infrastructure and address cyber threats. These state entities will play an essential role in helping small businesses enhance their cybersecurity infrastructure and address cyber threats.

The major companies serving the global AI trust, risk, and security management market include Accenture PLC, AT&T Inc., Darktrace Holdings Ltd., IBM Corp., and Oracle Corp., among others. The market players are increasingly focusing on business expansion and product development by applying strategies such as collaborations, mergers, and acquisitions to stay competitive. For instance, in February 2024, Securiti AI introduced its AI Security & Governance solution, ensuring the safe adoption of AI. The solution includes AI discovery, risk ratings, data mapping, and advanced security controls, ensuring global compliance with global standards.