AI-driven cyber threats and geopolitical risks are fundamentally altering the landscape of cybersecurity in India and globally, according to the Global Cybersecurity Outlook 2026 report by the World Economic Forum and Accenture. The report suggests a challenging future for digital risk, as the intersection of artificial intelligence, geopolitical tensions, and cyber inequity redefines the cybersecurity framework. In India, where AI adoption is accelerating across sectors like banking and governance, it emphasizes the need for robust preparation and governance frameworks.
The report warns that cyberattacks leveraging AI are outpacing traditional threats. Attackers are employing techniques such as automation, deepfakes, and AI-powered vulnerability scanning tools. A striking 94% of global executives believe AI will be the primary catalyst for change in cybersecurity by 2026. As AI enhances threat detection and automation capabilities, it simultaneously enables faster phishing attacks, more sophisticated deepfakes, and rapid vulnerability assessments.
Notably, 87% of respondents identified AI-related vulnerabilities as the fastest-growing cyber risk by 2025, pointing to a trend where innovation is outstripping security measures. For India’s fintech and e-governance sectors, securing MLOps pipelines and establishing effective AI governance frameworks are paramount to preventing significant breaches. Consequently, Indian enterprises are urged to move beyond traditional perimeter security and adopt comprehensive AI governance frameworks, risk assessments, and secure MLOps pipelines, thus balancing innovation with accountability.
Geopolitical risks are also reshaping cyber strategies, exposing vulnerabilities in national cyber preparedness, especially in critical sectors such as power grids, airports, and identity management systems. The report indicates that 64% of organizations are factoring geopolitically motivated cyberattacks into their risk management strategies, while 91% of major organizations have adapted their cybersecurity approaches in response to geopolitical volatility. Strengthening digital infrastructure security has become an essential strategic priority for India, as cyber conflicts increasingly impact physical systems.
Recent incidents involving critical infrastructures, including airports and hydroelectric plants, underscore the material consequences of cyber warfare. Furthermore, trust in national preparedness is waning, with 31% of surveyed citizens expressing low confidence in their country’s ability to respond to major cyber incidents. India’s initiative towards data sovereignty and local cloud computing infrastructure must be complemented by international collaboration in cyber realms, particularly in threat intelligence sharing and incident response strategies.
The rise in cyber-enabled fraud, particularly through mechanisms like UPI fraud, is being driven by AI-generated scams, deepfake impersonation, and identity theft. The report highlights an alarming increase in cyber fraud, with 73% of respondents reporting personal victimization in 2025. Identity theft and AI-driven scams have positioned fraud as a top concern for CEOs. This is particularly relevant in India, where UPI fraud and social engineering tactics are increasingly prevalent. To safeguard consumers, implementing AI-based fraud detection systems and biometric verification methods will be crucial as the digital landscape continues to evolve.
As cyber risks intensify heading into 2026, India’s approach to cybersecurity will rely not only on advanced technology but also on international cooperation, policy alignment, and shared threat intelligence. The Global Cybersecurity Outlook 2026 underscores that cybersecurity has transformed into an economic and societal issue, necessitating collaboration among government entities, industrial stakeholders, and global organizations. With AI driving innovation and attacks at unprecedented speeds, a collective cyber defense strategy may emerge as the nation’s most significant strategic asset.
See also
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