Observed Signal · Oct 28, 2026 · Research Report · Source: Retail-News · Impact: 3/5 · Sentiment: Neutral
PwC warns of AI agent governance gaps and security risks
According to PwC's 'Digital Trust Insights 2027' study, German companies plan to increase cybersecurity investments and delegate more operational responsibility to AI. 47% of executives expect cyber budgets to rise by 6-10% (up from 36% last year). AI applications are a top investment focus for 57%, followed by cloud security (54%) and managed security services (40%). However, governance lags: only 30% prioritize control structures for AI, and 29% would allow AI agents to act fully autonomously. Gaps remain in emergency planning (29% have integrated plans) and industrial OT security (42% cite lack of resources). Additionally, 61% adopt multi/hybrid-cloud to reduce vendor dependency, reflecting growing focus on digital sovereignty.
PwC's study provides key insights into the adoption of AI agents and associated governance gaps, which are critical for the AdTech/MarTech industry as AI-driven automation grows.
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Key Takeaways & Evidence Grounding
- 47% of German executives expect cyber budget increases of 6-10% (up from 36% last year).
- 29% of German companies would allow AI agents to act fully autonomously.
- Only 30% of German companies prioritize AI governance and control structures, compared to 42% globally.
- 51% plan to use AI agents for malware removal and system recovery.
- 61% adopt multi- or hybrid-cloud architectures to reduce vendor dependency.
Connected Companies & Entities
1 Entity mapped“PwC published the 'Digital Trust Insights 2027' study on cybersecurity and AI governance.”
Ontology Mapping & Concepts
Related Market Signals & Shifts
Recent verified developments and strategic activity across this market segment.
AI Drives Cyber Spending; Firms See Risks from Autonomous Systems
According to PwC's 2027 Global Digital Trust Insights Survey, 84% of security and finance executives expect their cyber budgets to increase in the next twelve months, up from 78% last year. AI is a top budget priority for 58% of security leaders, yet only 39% have fully formalized continuity plans that address cyber risks. Attacks on AI systems are the top unprepared threat for 50% of respondents, ahead of cloud threats (40%), third-party attacks (34%), and ransomware (33%). Only 22% would allow AI agents to make autonomous decisions in cyber defense, citing reliability, accountability, and skill gaps. Notably, only 47% say cyber risks are regularly on the board agenda. To mitigate, companies are adopting multi-cloud strategies (54%), regional data redundancy (47%), and improved vendor risk management (50%). The survey covers nearly 4,000 executives across 71 countries.
EY Survey: Half of German CEOs See AI Skills Gap
According to the EY-Parthenon CEO Outlook Survey, 53% of German CEOs fear their companies are not developing AI skills fast enough, the highest level of agreement (21%) among surveyed countries. Globally, 44% of CEOs cite economic uncertainty as a top concern, followed by cyber risks (40%) and technological change including AI (34%). German CEOs prioritize process optimization (62%) over AI applications (48%) for productivity. 24% of German companies cannot reliably assess AI costs and ROI, while only 18% have real-time cost visibility. On average, German companies spend 0.9% of revenue on AI, with 88% expecting increased spending on generative AI over the next three years. EY recommends linking financial responsibility for AI more closely to its economic benefits.
Enterprises Deploy AI Faster Than Governance, Smarsh Study
Smarsh released the 2026 Enterprise AI Trends Study (conducted by FTI Consulting) finding that 55% of enterprises are actively deploying AI while only 26% say governance is keeping pace. The report highlights limited visibility into unauthorized or "shadow AI" (only 30% report comprehensive detection and management capabilities) and frames communications data as a critical foundation for responsible AI, investigations, and business intelligence. The study identifies five trends — governance lagging adoption, communications data becoming strategic, interconnected systemic risk across AI agents/APIs/third-party apps, a shift toward proactive security and resiliency, and compliance evolving into a strategic function. It also reports enterprise investment priorities: 62% in AI/ML capabilities, 53% in data quality/enrichment, and 51% modernizing archives. Smarsh and FTI executives emphasize that scaling AI safely requires stronger data governance across connected ecosystems.
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