Australia Builds AI Defenses Against Rising Security Threats

Australian enterprises and government agencies are making cybersecurity a strategic priority as attacks in the country become more frequent and severe, according to a new research report published today by Information Services Group (ISG) (Nasdaq: III), a leading global technology research and advisory firm.

The 2024 ISG Provider Lens Cybersecurity — Solutions and Services report for Australia finds that more organizations are exploring or adopting new cybersecurity technologies, especially AI and automation tools, to detect threats and take offensive and defensive measures.

“The cybersecurity battlefield in Australia is constantly changing,” said Michael Gale, partner and regional leader, ISG Asia Pacific. “Enterprises and service providers are working together to get the most out of emerging technologies and comply with complex regulations.”

Cybersecurity breaches at Australian organizations, including ransomware operations and supply chain attacks, continue to grow more sophisticated, the report says. Among the most visible have been customer data breaches at financial firms and attacks targeting critical telecommunications and healthcare infrastructure. As the Australian government has imposed new cybersecurity mandates and guidelines and modernized its own defenses, enterprises have sharpened their focus on data privacy and security.

Australian enterprises are investing in both established and emerging security technologies and services, ISG says. These include strategic security services, which incorporate functions such as threat detection, incident response and compliance management, and managed security services, which are evolving into cyber defense centers (CDCs) that use machine learning for advanced analytics.

AI is a core element of many of the solutions Australian companies are adopting, the report says. AI can reduce the need for human effort in recurring tasks — a key benefit amid a shortage of skilled security workers — and generate deeper insights into security readiness and possible threats. However, some firms are concerned about the risks of AI, including potential bias and misuse, ISG says. Companies are taking a similarly cautious approach to generative AI (GenAI) as a tool for threat identification and defense.