Companies across Europe are “waking up to the risks” associated with cybersecurity, CONTEXT said as its first-half numbers showed a double-digit surge in cyber spending in the region.
Cybersecurity revenue through European IT distribution rose 13% year on year, the analyst claimed.
It chalked this up to a combination of surging demand for protection, regulatory pressure and major market consolidation.
The UK was a notable exception, however, as cyber revenues here declined 11% amid a tough comparison with H1 of 2024 (when the market enjoyed “exceptional growth”).
As IT Channel Oxygen’s round-up of the first-half’s 14 most significant incidents shows, cyber-attacks have stepped up a notch in 2025.
“Cybersecurity is no longer a niche IT investment, it’s a core part of business resilience,” stated Joe Turner, Global Director of Research at CONTEXT.
“From compliance to AI-driven fraud, companies across Europe are waking up to the risks and prioritising spend accordingly. The result is strong, broad-based market growth.”
Network security enjoyed the strongest growth, up 21% year-on-year, while cloud security, endpoint protection and infrastructure security all posted solid gains, CONTEXT claimed.
CyberArk’s $25bn acquisition by Palo Alto Networks signals a “new era of consolidation” for cybersecurity, the analyst said.
Record levels of fraud linked to the misuse of generative AI – including deepfakes, hyper-realistic phishing, and automated attacks – are raising the bar for defence, and the cost of inaction, it added.
“We’re at a tipping point,” Turner said.
“While AI supercharges productivity, it’s also arming threat actors with tools that are harder to detect, faster to deploy, and increasingly convincing. That’s fuelling security investment across all layers, from endpoint to cloud.”
