AI and Compliance Drive Shift in French Cybersecurity Market Amid Rising Threats and Regulations

AI-driven threats and tightening regulations are reshaping France’s cybersecurity market, pushing enterprises to modernize their security strategies, according to the 2025 ISG Provider Lens® Cybersecurity — Services and Solutions report for France. As cyberattacks grow more sophisticated and compliance demands intensify, organizations are increasingly turning to integrated security platforms, AI-powered defenses, and comprehensive governance, risk, and compliance (GRC) frameworks. The report highlights that rising security budgets are not being spent on isolated tools but on holistic solutions that improve visibility, reduce complexity, and strengthen resilience. With widespread migration to cloud and multicloud environments, companies face mounting challenges in securing data and applications across distributed systems. To address this, French enterprises are adopting technologies like Secure Access Service Edge (SASE), Extended Detection and Response (XDR), and cybersecurity mesh architectures to unify security operations and gain a centralized view of threats. A critical factor driving change is the expansion of EU regulations such as NIS2, the Digital Operational Resilience Act (DORA), and the AI Act, all of which are now integrated into French law. Over 15,000 organizations must now comply with stricter incident reporting, governance, and control requirements. In response, businesses are moving from periodic audits to continuous compliance models to stay ahead of evolving legal obligations. Cybercriminals are also leveraging AI to launch faster, more targeted attacks—particularly phishing campaigns, which have become the most common threat in France. To counter this, companies are investing in AI and machine learning (ML)-powered detection systems, automated response mechanisms, and enhanced employee training programs. Security providers are increasingly using generative AI to improve threat analysis, streamline service delivery, and enable predictive security measures. Julien Escribe, partner and managing director at ISG for SEMEA, noted that enterprises need expert guidance to prioritize investments and navigate the complex security landscape. With a persistent shortage of skilled cybersecurity professionals, many organizations rely on technical security service (TSS) providers for automation, platform integration, and expert support. The report evaluates 125 providers across nine key categories, including Identity and Access Management, Extended Detection and Response, Security Service Edge, Managed Detection and Response, and Digital Forensics and Incident Response. Accenture, Atos, IBM, Orange Cyberdefense, and Thales are named Leaders in six quadrants each, while Capgemini and Sopra Steria lead in five. Other top performers include Advens, HCLTech, and Intrinsec, each recognized in three areas. In the customer experience category, PwC earned the global ISG CX Star Performer award for 2025, based on the highest satisfaction scores in ISG’s Voice of the Customer survey. The report also identifies emerging players such as Almond, BeyondTrust, Formind, HPE (Aruba), Infosys, Lexfo, and Sophos as Rising Stars—companies with strong potential and innovative offerings. Customized versions of the report are available through Advens and Capgemini. The full 2025 ISG Provider Lens® Cybersecurity — Services and Solutions report for France is accessible to subscribers or for individual purchase online.