Cyber Attacks and Data Breaches Emerge as Biggest Threat to Indian Businesses
Cybersecurity breaches have emerged as the biggest risk for Indian companies in 2026, with senior leaders warning that cyber attacks, data breaches, AI risks, and digital disruption threaten business resilience and growth.
Tech Author
According to the FICCI-EY Risk Survey 2026, cybersecurity threats have emerged as the most pressing worry for Indian companies. According to the survey, 51 percent of senior company leaders now consider cyber breaches and attacks to be the most significant risk to organizational success. This clearly demonstrates how digital threats are no longer just an IT issue, but also a significant business challenge.
According to the report, corporations are also concerned about changing customer needs and geopolitical changes, which rate as the second and third most significant risks. However, technological risks stand out because they have a direct influence on business continuity, operations, and confidence. With firms increasingly reliant on digital technology, even minor cyber incidents can result in significant financial and reputational damage.
According to the report, 61% of respondents believe technological development and digital disruption are impacting their competitive position. The same percentage saw cyber-attacks and data breaches as significant dangers to revenue and brand image. In addition, 57% of CEOs identified concerns such as data theft and insider fraud, while 47% admitted to struggling to keep up with more sophisticated cyber threats.
Artificial intelligence (AI) has emerged as a multifaceted challenge for Indian organizations. While AI provides chances for growth, 60% of respondents believe that slow adoption of new technologies will harm operations. At the same time, 54% feel AI-related risks, such as ethical and governance challenges, are not being managed effectively. This demonstrates the need for more robust AI regulations and security frameworks.
The study also raised concerns about talent shortages and skill gaps, with 64 percent of respondents believing these may affect performance. Another significant risk identified by 59 percent of CEOs was inadequate succession planning. On the regulatory aspect, 67 percent believe regulatory changes require proactive action, whereas many businesses struggle to keep compliance systems up to date. Climate change and ESG issues are both becoming financial problems. Nearly 45 percent of executives stated climate change has an impact on operations, and 44 percent warned that ESG noncompliance could harm the organization.
Overall, the survey shows that Indian companies face multiple connected risks. To stay resilient, businesses must strengthen cybersecurity, manage technology risks wisely, and embed risk planning into long-term strategy.
Information referenced in this article is from Times of india
