DSCI–Palo Alto Networks: 64% of Organisations Now Committing to Multi-Year AI/ML Strategies Over Ad-Hoc Spending

The Data Security Council of India (DSCI), in collaboration with Palo Alto Networks, has unveiled its latest report — State of AI Adoption for Cybersecurity in India — at DSCI’s flagship summit, AISS 2025. The findings are based on responses from over 160 organisations and cybersecurity leaders across sectors, providing a nationwide snapshot of how AI is reshaping security operations and threat defence.

The report establishes a baseline for enterprise AI maturity in India: where adoption stands today, what investments are coming next, and how the threat environment is rapidly evolving. Key insights reveal that 79% of organisations plan to embed AI/ML into existing security and operations tools, while 40% are currently running pilots or PoCs focused on AI-driven cybersecurity.

AI adoption is being led by the need for faster detection, proactive threat modeling, and predictive risk assessment. Financial institutions are integrating AI into core security functions to meet compliance demands and strengthen resilience. Meanwhile, technology and IT service providers are prioritising continuous compliance assurance and next-level anomaly detection.

AI: A Force for Both Attack and Defence

The report highlights a dual narrative: AI is amplifying adversary sophistication just as it is strengthening cyber defence.

Threat Landscape Trends:

• 31% of attacks now involve AI-enabled supply chain breaches and coordinated multi-vector campaigns
• 29% are linked to autonomous malware and AI-powered zero-day exploitation

AI Readiness: Skills, Governance & Capability Building

As Indian enterprises scale AI defence, new roles and competencies are becoming mission-critical:

• 19% emphasise AI risk awareness to tackle model hallucinations, bias, and data leakage
• 16% prioritise robust data-handling judgement for secure classification, redaction, and data-sharing
• 18% consider AI Security Architects and Model Validators essential to prevent adversarial manipulation and drift
• 15% identify AI Ethics & Policy Officers as core to governing trust, fairness, and compliance

Industry Voices: The Need for Resilient AI Security

“India is at a critical juncture where AI is reshaping both cyber threats and cyber defence,”
said Vinayak Godse, CEO, DSCI.
“AI-enabled attacker capabilities are rising fast — but the same AI, if adopted right, can equip organisations to predict, detect, and respond in real time.”

“Appetite and intent are high, but execution discipline must catch up,”
added Swapna Bapat, VP & Managing Director, India & SAARC, Palo Alto Networks.
“Catching up means using AI to defend against AI — with continuous red teaming, unified platform signals, Zero Trust controls, and humans-in-the-loop for high-impact risks.”

CXO Perspective: Investment & Training Are Rising

A separate survey of 100+ CXOs strengthens the macro trend:

• 42% believe 10% or more of cybersecurity budgets should now be dedicated to AI-driven defence
• 58% say they receive internal training or communication on AI security risks

As organisations prepare for AI-enabled threats, 23% cite Emerging Attack Paradigms as a key trigger for revisiting security strategy, while 22% point to evolving regulatory and compliance requirements.