$8M Average Data Breach Cost in Middle East Heralds AI-Driven Cyber Threats

A recent IBM study reveals that data breaches in the Middle East have become increasingly costly, with the average breach costing $8 million in 2026. The report, conducted by Ponemon Institute and sponsored by IBM, analyzed data from 602 organizations globally, including those in Saudi Arabia and the United Arab Emirates.

The study found that one in four malicious breaches was AI-enabled, highlighting the growing threat of cyberattacks leveraging artificial intelligence. Organizations with extensive use of AI and security automation recorded average breach costs more than $3 million lower than those that did not use these capabilities.

Loss of business remained the largest cost category, averaging $3.57 million per breach, followed by post-breach response costs at $2.17 million. The financial and technology sectors recorded the highest average breach costs, at $10.67 million each, followed by the industrial sector at $9.6 million.

IBM's General Manager for Middle East and Africa, Saad Toma, noted that 'the growing imbalance is fundamentally changing the economics of cyber risk.' He emphasized the need for companies to invest in advanced threat detection and response technologies using AI and automation to stay ahead of emerging risks.