Key Takeaways
- Cyber risk is one of the top threats worrying today’s CEOs, with 31% of CEOs saying their company is highly or extremely exposed to the risk of a significant financial loss from cyber threats.
- Cyber risks now rank alongside macroeconomic volatility as the top threats identified by CEOs.
- 84% of CEOs are planning to improve enterprise-wide cybersecurity practices in response to geopolitical risk.
- Stakeholder trust concerns are on the rise, with 38% of respondents receiving questions about data use and privacy, and 37% citing concerns surrounding AI safety or responsible AI.
- Companies can build and preserve stakeholder trust through deliberate investments in data, processes, and controls, including responsible AI programs.
Introduction to Cyber Risk
The current business landscape is marked by uncertainty and volatility, with CEOs facing numerous challenges that threaten the growth and stability of their companies. According to PwC’s 29th Global CEO Survey, cyber risk is one of the top threats worrying today’s CEOs, alongside macroeconomic volatility and geopolitical conflict. The survey, which gathered responses from 4454 chief executives across 95 countries and territories, found that almost a third (31%) of CEOs say their company is highly or extremely exposed to the risk of a significant financial loss from cyber threats in the year ahead. This represents a significant increase from 24% in 2024’s survey and 21% in 2025.
Regional Variations in Cyber Risk
The survey also highlighted regional variations in terms of cyber risk exposure. In Germany, 34% of CEOs said their company is highly or extremely exposed to cyber risks in the year ahead, compared to just 16% among UK CEOs. This is despite the UK continuing to experience regular, high-profile cyber-attacks, such as those affecting Jaguar Land Rover and Marks and Spencer in 2025. These findings suggest that CEOs in different regions have varying levels of awareness and concern about cyber risks, and that some countries may be more proactive in addressing these threats.
Cyber Risks and Geopolitical Volatility
Cyber risks now rank alongside macroeconomic volatility as the top threats identified by CEOs, according to PwC. This is not surprising, given the increasing interconnectedness of the global economy and the rising threat of cyber-attacks. In response to geopolitical risk, 84% of CEOs said they are planning to improve enterprise-wide cybersecurity practices. This highlights the importance of proactive measures to mitigate cyber risks and protect against potential threats. By investing in cybersecurity, companies can reduce the risk of significant financial losses and protect their reputation and stakeholder trust.
Stakeholder Trust Concerns
PwC’s survey also highlighted stakeholder trust concerns, noting that it has never been easier to lose trust. Unpredictable geopolitics, cyber-attacks, and AI’s impact on the workforce are all contributing to stakeholder trust concerns. The survey found that 38% of respondents had received questions about data use and privacy, while 37% cited concerns surrounding AI safety or responsible AI. These findings suggest that CEOs need to be proactive in addressing stakeholder concerns and building trust with their stakeholders. By investing in responsible AI programs and data protection measures, companies can reduce the risk of stakeholder trust erosion and protect their reputation.
Building and Preserving Stakeholder Trust
According to PwC, companies can build and preserve stakeholder trust through deliberate investments in data, processes, and controls. Responsible AI programs, for example, can both build trust and create value by reducing the rate of adverse AI-related incidents and helping companies recover faster if such an event occurs. By prioritizing stakeholder trust and investing in measures to protect it, CEOs can reduce the risk of significant financial losses and protect their company’s reputation. As the business landscape continues to evolve, it is essential for CEOs to be proactive in addressing stakeholder concerns and building trust with their stakeholders.
Conclusion
In conclusion, cyber risk is a significant threat facing today’s CEOs, with 31% of CEOs saying their company is highly or extremely exposed to the risk of a significant financial loss from cyber threats. Cyber risks now rank alongside macroeconomic volatility as the top threats identified by CEOs, and 84% of CEOs are planning to improve enterprise-wide cybersecurity practices in response to geopolitical risk. Stakeholder trust concerns are also on the rise, with 38% of respondents receiving questions about data use and privacy, and 37% citing concerns surrounding AI safety or responsible AI. By investing in cybersecurity, responsible AI programs, and data protection measures, companies can reduce the risk of significant financial losses and protect their reputation and stakeholder trust. As the business landscape continues to evolve, it is essential for CEOs to be proactive in addressing stakeholder concerns and building trust with their stakeholders.