London dominates the UK’s cybersecurity landscape, particularly in AI, according to a new analysis of government data by Bristol-based OnSecurity. The report, based on the “AI and Software cybersecurity market analysis report” from the Government website, reveals the UK as a global leader in AI cybersecurity, but highlights a significant geographical concentration of expertise.
The analysis found that “48% of AI cybersecurity providers are headquartered in the United Kingdom,” placing it ahead of the United States (38%). In the software security sector, the UK also leads with “58% of firms headquartered” within its borders, followed by the US at 26%.
However, a closer look at AI cybersecurity firms within the UK reveals a stark regional imbalance. “A significant geographic concentration based in London (59%, 39 firms) and the South East (17%, 11 firms), accounting for the majority of registrations,” the report states. While some regional clusters exist, such as the North West (9%) and East of England (6%), “the data suggests a more limited distribution of cybersecurity for AI capability across other UK regions.”
The concentration is similar for specialist software security providers, with “London (49%, 46 firms) and the South East (20%, 19 firms)” dominating. However, “wider (partial) provision of software security suggests a more distributed pattern,” with “substantial regional counts from the North West, East of England, and South West (each 7-8%).” Scotland and Wales also maintain a “modest but established presence.”
Conor O’Neill, Co-Founder & CEO at OnSecurity, said: “The data highlights the UK’s strong leadership in the cybersecurity market, especially in the AI sector, where nearly half of the global providers are headquartered here. This is a testament to the UK’s growing influence and innovation in cybersecurity, driven by a combination of world-class talent and forward-thinking policies. It’s exciting to see such a concentration of cybersecurity for AI capabilities in London and the South East, which further solidifies the UK’s position as a global hub for cybersecurity excellence. While regional distribution remains somewhat limited, the UK’s ability to attract investment and talent from across the globe speaks volumes about its market potential. As cybersecurity continues to evolve, the UK is perfectly positioned to continue leading the way, not just in AI, but across the entire cybersecurity landscape.”
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