AI Threats & French Regulation: A Tighter Squeeze

A new report from technology advisory firm Information Services Group (ISG) reveals a dynamic shift in the French cybersecurity landscape, driven by the dual forces of escalating AI-powered threats and increasingly stringent regulatory oversight. The “2025 ISG Provider Lens Cybersecurity – Services and Solutions” report highlights that French enterprises are actively reassessing their security postures, prompting a surge in demand for expert guidance and innovative solutions.

With cybersecurity budgets on the rise, many French organizations are seeking specialized expertise to effectively prioritize investments and navigate the complexities of modern security challenges. The report emphasizes that French businesses are adapting to a multifaceted security environment, increasingly characterized by AI-driven defenses and the adoption of integrated security platforms.

Julien Escribe, Partner and Managing Director at ISG, notes that the evolving approach to security service selection reflects a critical need for strategic direction. “As security budgets expand, enterprises require informed guidance to establish the right priorities and effectively address emerging security threats,” Escribe states.

The ISG report indicates a growing trend toward comprehensive, all-in-one security solutions, a departure from reliance on disparate, siloed tools. This shift is fueled by the challenges inherent in managing complex, multi-cloud environments. Companies migrating to these topologies frequently encounter integration, visibility, and management hurdles. To maintain oversight across applications and infrastructure, many are adopting solutions like Secure Access Service Edge (SASE), which converges network security and connectivity within a unified, cloud-delivered service.

Further, the report emphasizes the increasing demand for integrated security platforms that offer a holistic view of potential threats and centralized control over security defenses. Given persistent financial constraints and a shortage of skilled cybersecurity professionals, organizations are turning to Technical Security Service (TSS) providers for crucial support, centralized platforms, and automation capabilities. This reliance on managed services allows businesses to augment their existing security teams and streamline operations.

A key driver of this transformation is the integration of governance, risk, and compliance (GRC) policies into overall security strategies. EU regulations, such as the NIS2 directive and the AI Act, are being transposed into French law, placing significant compliance burdens on businesses. The report estimates that over 15,000 French companies are now subject to stricter compliance requirements.

The report also acknowledges the rapidly evolving threat landscape, with malicious actors increasingly leveraging AI for sophisticated cyberattacks. This necessitates advanced detection and response capabilities, prompting companies to seek security service providers that utilize GenAI and machine learning to enhance their own offerings. Furthermore, there is a significant increase in client side investments in AI-driven threat detection, comprehensive employee training programs, and automated incident response mechanisms. Companies understand that human error is a huge risk.

Benoît Scheuber, Principal Consultant and Security Analyst at ISG, underscores the transformative impact of AI on the cybersecurity landscape. He notes that companies are actively seeking providers capable of seamlessly integrating a diverse range of security tools into a unified platform to optimize operational efficiency. “[Clients] seek providers that can integrate the best products into a unified platform for operational efficiency,” Scheuber added. This focus on integration and automation is crucial for empowering organizations to proactively defend against increasingly sophisticated and ever-evolving cyber threats.