Australian Businesses Underprepared for AI-Driven Cyber Threats, Report Finds

A new report from data security company Cohesity has found that only 2% of Australian organisations believe their cyber recovery plans can withstand attacks involving advanced or 'frontier' AI technologies. The 2026 Global Cyber Resilience Report, based on a survey conducted by Vanson Bourne in July 2026, highlights a growing gap between how quickly businesses are adopting AI and how prepared they are to recover when AI systems, data or workflows are compromised.

The Australian findings paint a concerning picture: 80% of organisations reported suffering a serious cyberattack in the past year, higher than the global average of 73%. While 99% claimed to have a cyber resilience strategy in place, more than half said it needed improvement. Among those hit by attacks, 93% admitted their recovery plans relied on untested assumptions, and 92% said their plans would likely require improvisation during a real incident. Recovery also took longer than expected for 87% of affected organisations, averaging five additional hours, and 74% found more systems impacted than first thought.

The report also points to specific weak spots, including gaps in staff skills, identity and access management, and oversight of AI tools such as copilots and automated workflows. Nearly half of Australian organisations said they lack a clear inventory of the AI agents and tools operating across their business. Cohesity also found that while most businesses have identified their critical functions, only 20% have documented and tested a formal plan to keep those functions running during a disruption.