Cybersecurity Services: Enhancing Security through Streamlined Detection and Response with Gen AI

April, 2025

Between 2024 and 2025, a surge in cyberattacks impacted millions globally, targeting critical sectors such as healthcare, education, and telecom. These incidents highlight the growing threats posed by data extortion and state-sponsored espionage. In response, governments and regulators are strengthening their cyber defense through increased funding, stricter telecom requirements, and the introduction of regulations such as the Digital Operational Resilience Act (DORA). At the same time, leading service providers are exploring generative AI-driven tools to enhance threat detection, automate response actions, and improve vulnerability management.

Both demand-side and supply-side trends are covered in our Cybersecurity Services 2025 Market Insights™ and Cybersecurity Services 2025 RadarView™, respectively. These reports present a comprehensive study of cybersecurity service providers and closely examine market leaders, innovators, disruptors, and challengers.

Avasant evaluated 45 service providers across three dimensions: practice maturity, partner ecosystem, and investments and innovation. Of the 45 providers, we recognized 26 that brought the most value to the market during the past 12 months.

The report recognizes service providers in four categories:

    • Leaders: Accenture, Capgemini, Cognizant, HCLTech, Infosys, TCS, and Wipro
    • Innovators: Atos, DXC, Deloitte, IBM, Orange Cyberdefense, Tech Mahindra, and Telefónica Tech
    • Disruptors: CyberProof, Fujitsu, Kyndryl, LTIMindtree, NTT DATA, and Sequretek
    • Challengers: Microland, Mphasis, T-Systems, Unisys, Verizon, and Zensar

Figure 1 below from the full report illustrates these categories:

Moneyshot 3 1030x687 - Cybersecurity Services: Enhancing Security through Streamlined Detection and Response with Gen AI

 

“Gen AI is redefining cybersecurity operations by streamlining threat detection, reducing alert fatigue, and accelerating incident response,” said Gaurav Dewan, research director at Avasant. “Service providers are piloting advanced use cases across the entire SOC life cycle to drive real-time resilience.”

The reports provide several findings, including the following:

    • Nearly 50% of cybersecurity service demand comes from the banking, manufacturing, healthcare, and utilities sectors. Industry 5.0 and real-time payments are expanding attack surfaces.
    • Project-based pricing still leads at 46% of contracts, but the output-/transaction-based models are rising due to macroeconomic pressures and constrained CIO budgets.
    • IT-OT convergence is driving industry-specific solutions, with increased demand for cybersecurity assessments, secure network design, and remote access controls.
    • Progressive service providers are adopting Gen AI to boost data classification, threat intelligence, threat hunting, and security operations efficiency.
    • Quantum computing will disrupt cybersecurity by 2029–2030, pushing enterprises to assess cryptographic posture and adopt post-quantum cryptography (PQC)-enabled tools for network security.

“With quantum computing on the horizon, enterprises must proactively assess cryptographic posture and secure digital assets,” said Avasant Senior Partner and Fellow Naresh Lachmandas. “Early adoption of PQC and AI-led inventory strategies will be key to future-proofing cybersecurity.”

The RadarView also features detailed profiles of 26 service providers, along with their solutions, offerings, and experience in assisting enterprises in their cybersecurity journeys.


This Research Byte is a brief overview of Avasant’s Cybersecurity Services 2025 Market Insights™ and Cybersecurity Services 2025 RadarView™. (click for pricing).