AI is accelerating security risks at unprecedented speed, the World Economic Forum (WEF) has warned, with almost all CEOs seeing it as the biggest force shaping cybersecurity this year.

According to the WEF's 2026 Global Cybersecurity Outlook report, AI-related vulnerabilities rose faster than any other category in 2025, with 87% of respondents reporting an increase.

Just over one-third of respondents revealed they'd experienced data leaks linked to generative AI while 29% said their biggest worry was the ever-increasing capabilities of attackers using the technology.

"The weaponization of AI, persistent geopolitical friction and systemic supply chain risks are upending traditional cyber defenses," said Paolo Dal Cin, global lead, Accenture Cybersecurity.

"For C-suite leaders, the imperative is clear; they must pivot from traditional cyber protection to cyber defence powered by advanced and agentic AI to be resilient against AI-driven threat actors."

All told, 94% of leaders said they expect AI to be the most consequential force shaping cybersecurity in 2026 as adoption rates continue surging across a range of industries.

"With the vast increase in AI adoption, companies are facing new technical vulnerabilities as well as having to deal with growing governance and compliance challenges, such as data leakage and model misuse, to accountability, oversight and regulatory readiness," commented Chris Newton-Smith, CEO of IO.

Supply chain security in the spotlight

The report also highlighted the continuing vulnerability of supply chains. Among large companies, 65% cited third-party and supply chain risks as their main cyber resilience problem, marking an increase from 54% who identified this area as a key issue last year.

The risk of concentration is a key factor in rising concerns, the report found, with incidents at major cloud and internet service providers demonstrating how infrastructure-level failures can trigger widespread downstream impacts.

Rob Demain, CEO of e2e-assure, said vendor concentration is an issue that could leave enterprises at huge risk of downtime or vulnerable to attacks, urging leaders to consider a broader approach.

"Even organizations with strong internal security can be exposed through software providers, managed services or operational technology partners operating in different jurisdictions,” he said.

“This is particularly relevant in the UK, where complex supply chains support everything from public services to manufacturing and energy.”

What are the top supply chain risks?

The survey found that inheritance risk – the inability to assure the integrity of third-party software, hardware and services – was the top supply chain risk, followed by visibility.

Even when strong internal controls are in place, the weakest link is often a supplier or partner. The report noted these are often smaller suppliers that lack the resources or incentives to implement robust security measures.

While two-thirds of organizations evaluate the security maturity of their suppliers, with a similar number involving the security function in procurement processes, more advanced resilience measures are thin on the ground.

Just 27% simulate cyber incidents or conduct recovery exercises, and only a third comprehensively map their supply chain ecosystems to gain a deeper understanding of cyberthreat exposure and interdependencies.

This, researchers suggested, indicates that supply chain risk management is often treated as a compliance checklist rather than as a dynamic, continuous process.

"Cyber resilience is becoming an ecosystem challenge, not an organisational one,” Demain commented.

“Continuous monitoring and shared visibility across third-party environments are now essential to understanding where real risk sits and responding before disruption cascades."

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Small and medium-sized organisations (those with fewer than 250 employees) account for 95% of business in the UK and contribute around 50% of the UK economy. So when COVID-19 hit, the impact on these small-scale companies, and the UK economy, was serious.

SMBs were catapulted into financial limbo, with the government forcing many to close during lockdown to stem the spread of the virus, while others shuttered their doors due to lack of customer demand. Sadly, as a result, nearly a third of these enterprises have closed their doors for good.

Now as we begin to move out of lockdown restrictions, supported by the success of the vaccine rollout, we look at five obstacles facing small and medium businesses that are still prevalent.

Digitisation

Despite the initial shock, evolution to survive was the nature of the game. This meant that some SMBs not only survived the disruption, but also thrived as a result. Those that had the financial ability and operational flexibility adopted new ways of working and embraced digitisation, investing in automation and shifting to remote working.

Most often, those that made the most of the opportunity to digitally transform had previous knowledge of digital capabilities and, therefore, the confidence and capability to continue.

Others, however, were not as agile and lacked the cash flow to adapt; even when some of those SMBs attempted digitisation, they felt left behind due to a lack of web skills and IT resources to support the transition.

As we look ahead to a post-pandemic world and “new normal”, for some SMBs digitisation continues to prove a significant challenge. Some businesses simply can’t go online because of the nature of their consumer interactions that occur in the same location e.g. hairdressers or groomers. Even the concept of going cashless - with supermarkets phasing out cash payments, accelerated by the pandemic - could impact negatively on these trades.

Even when smaller enterprises have taken the plunge and introduced social media to their marcomms, the knowledge required to build an online brand is significant and for some, the companies just can’t unlock social’s true potential.

But not having an online presence, whether social media or an e-commerce platform, could be the difference between staying open and going under. If anything is to be learned from the impact of COVID-19, taking inspiration from those organisations that have thrived by doing things differently - changing their business model and investing in technology - could set others apart from the competition and ensure their future.

Cash Flow

Two-thirds of SMBs looking to reopen - if they haven’t already - but there are some that simply can’t afford to. A lack of profit from the last 12 months has meant cash flow is limited, and with other businesses and suppliers potentially in the same position, late payments have contributed to the cash flow restrictions.

Some SMBs also have government loans to pay back, and despite many expected to bounce back and repay their debts without difficulties, other SMBs don’t feel they’d generate enough additional income to make reopening worthwhile.

The way consumers shop today, also as a result of the pandemic, means for some customers, those retailers with an online presence are their store of choice. This has only made it harder for SMBs who’ve lost loyal customers to these businesses, where it would take significant time and investment to build up a client base again and win back previously loyal clientele.

A lack of funds also limits the opportunity to plan, and in not knowing what may lay ahead, small and medium businesses may struggle. However, if these enterprises have some cash aside, planning ahead and buying additional supplies or products may cost upfront initially, but could help their future survival.

Supply chain

Another contributing factor still affecting SMBs today, and another reason why some will delay getting back up and running again, are their supply chains.

With all organisations affected by COVID, some products aren’t available as a result of limited access to materials, or there are longer turnaround times from manufacturers. Shipping costs have also increased with the global stock shortages and nation’s governments affecting suppliers with imposed restrictions.

Even the ability to network with suppliers continues to be limited, with social distancing measures still in place. Technology advancements can help with the use of video conferencing, but this cuts down the personal touch that is such an advantage for smaller organisations.

There is a definite need for SMBs to increase communications with suppliers over the coming months and factor in whether they have what they need. Considering alternative suppliers to fill the gaps, and being honest with customers to manage their expectations, can help.

Staffing

In a bid to continue operations and retain some profitability, SMBs have also either reduced staffing levels or moved to remote working models with their investment in cloud based technologies.

Remote working has benefited many organisations, enabling continuity of work, but without the budgets of larger corporations, and if the required security isn’t already in place, the risk of cyber attacks and malware is increased in SMBs; especially if employees are using personal IT equipment.

For those enterprises looking ahead, some may not be able to bring employees back if business hasn’t grown. In other cases, having let staff go during the first lockdowns, former employees have moved on to other roles and they’re not returning.

It is difficult enough for SMBs to attract talent, even without the pandemic, as often they can’t afford to offer benefits and other perks to prevent loss of employees to larger competitors.

To counter this in a cost-effective way, creating flexible working environments will attract staff back, and with the more direct relationship that SMBs have the advantage of - i.e. fewer management layers - smaller businesses can check in regularly to ensure staff are ok and help them feel valued, resulting in greater employee motivation and productivity.

Work/life balance

Not only do some SMB owners have businesses to run, but they can also have dependents at home, which is a continuing issue regardless of COVID.

In having both business and personal obligations, there’s no clear room to grow and with working longer hours (in a lot of instances, at home) to keep things going - blurring the lines of work and home life - the stresses facing SMBs are significant and have a negative impact on mental health.

It is vital for these business owners to ensure they’re investing in, not only their staff, as mentioned above, but in themselves, and ultimately their business.

Moving ahead beyond the pandemic, despite those issues that will always affect SMBs, there is hope. Having an open, supportive work culture will overcome staffing issues, and being small enough to ask customers what they want and communicate on a personal level will offer further ways to adapt.

Ultimately, in order to safeguard SMBs as much as possible, they need to use what they’ve learned during the pandemic, putting in place what they need, to be better prepared for the future and ensure they remain operational.

The HP Go Global Awards celebrate and showcase UK SMBs that have, or are planning to break into the international export market. The awards have attracted businesses from a broad spectrum of sectors, all with a common goal in mind conquering the world!

The Breakthrough Exporter of the Year award is open to SMBs that have successfully broken into the export market within the past five years. The Next Breakthrough Exporter of the Year award is open to SMBs that demonstrate the best market strategy for cracking a new export market within the coming year.

HP and its panel of expert judges have now made their initial decisions, creating shortlists for both awards.

The two finalists for the Breakthrough Exporter of the Year award will both be embarking on the Enterprise Nation Go Global mission to China.

• Sefaira A software company specialising in cloud-based computing solutions for high-performance building design.
• Kit for Kids An education supplies company providing parents, schools and nurseries with the tools to care for children, aid their development, and nurture growth.

The shortlist for the Next Breakthrough Exporter of the Year is as diverse as it is innovative.

• Just Park A pre-bookable parking provider.
• Coniq A loyalty marketing software company.
• Ormsbury Street A data and insight provider for small businesses.
• Popagami A company producing children's origami designs.
• Eyetease A digital media company creating taxi-based broadcast and advertising.
• Turtle Tots A company providing pre-natal aqua yoga and children's swimming lessons.

Each of the companies on the shortlist will be invited to pitch their plans to the expert panel, with the four that most impress the judges, winning a place on the Enterprise Nation Go Global mission to China.

"It can be a huge challenge for small UK businesses to crack the global market and it's crucial that they are supported and given every opportunity when it means the most. We're delighted to announce our first two shortlisted businesses who have impressively cracked the export market and won places on Go Global's mission to China, congratulations to Sefaira and Kit for Kids.

"We now welcome the further 6 shortlisted businesses aiming to break into the export market and look forward to their pitches next week, as they compete to join Sefaira and Kit for Kids on Go Global's mission to China," said Susan Bowen, Chief of Staff, HP, UK & Ireland.

The two overall winners will also receive a host of HP IT equipment to help take their businesses to the next level, along with invaluable training, mentoring and 12-months membership to techUK.

UPDATE: The four finalists for the Next Breakthrough Exporter of the Year category have now been selected. JustPark, Coniq, Eyetease and Turtle Tots will all be joining Sefaira and Kit for Kids on the Enterprise Nation Go Global mission to China. The two overall winners of the Go Global Awards will be announced on Friday 04 September 2015.

Demand for the new iPhone 5 has exceeded initial supply, making it the fastest-selling Apple smartphone ever and pushing the delivery date for some pre-orders to next month.

Apple confirmed today that pre-orders for the new mobile device surpassed two million in the first 24 hours. The majority of pre-ordered phones will be delivered as planned by September 21, but many will not be delivered until October, it said.

Pre-orders "have shattered the previous record held by iPhone 4S, and the customer response to iPhone 5 has been phenomenal," said Philip Schiller, Apple's senior vice president of worldwide marketing.

Pre-orders have shattered the previous record held by iPhone 4S.

It is not unusual for Apple products to sell out the first day. Orders for the previous iPhone, the 4S, the last product the company introduced before the death of co-founder Steve Jobs, surpassed one million in the first 24 hours, beating Apple's previous one-day record of 600,000 sales for the iPhone 4.

Apple's US store, www.apple.com, on Monday morning showed pre-orders for the iPhone 5 would take two to three weeks to ship.

Topeka Capital Markets analyst Brian White said demand was well above expectations.

"Given the much stronger-than-expected iPhone 5 pre-order sales, we expect a meaningful jump in the three-day sales results for the iPhone 5 compared to the over four million iPhone 4S weekend sales last year," he said.

Although more consumers were opting for the pre-order method, White still expects long lines Friday when the phone goes on sale in stores.

Apple began taking orders for the iPhone 5 at midnight Pacific time September 14 (7am GMT September 15). Shipping dates for the slimmer, faster smartphone slipped by a week within an hour of the start of pre-orders.

Apple previously said it would start shipping the iPhone 5 by September 21 in the United States and most of the major markets of Europe such as France, Germany and the UK. It goes on sale September 28 in 22 other countries.

Analysts have forecast that more than 30 million iPhones, including older models, will be sold by the end of September. Sales of iPhones account for more than half of Apple's revenue.

Samsung is to inspect 250 Chinese companies which make its products after a US-based group accused one of its suppliers of using child labour.

Samsung also said its audit into working conditions at an HEG Electronics facility in Huizhou in southern China found no under-aged workers.

New York-based China Labour Watch said last month seven children younger than 16 were working in the factory that makes phones and DVD players for Samsung.

But Samsung said the audit identified several instances of inadequate management and potentially unsafe practices such as overtime beyond local regulations, improper safety measures and a system of fines for tardiness or absences.

"Samsung has demanded that HEG immediately improve its working conditions... If HEG fails to meet Samsung's zero tolerance policy on child labor, the contract will be immediately severed," Samsung said in a statement.

The company will conduct inspections for all 105 supplier companies in China which produce goods solely for Samsung by the end of September, and review, via documentation, by the end of the year another 144 suppliers.

"If supplier companies are found to be in violation of our policies and corrective actions not taken, Samsung will terminate its contract with those supplier companies," Samsung said.

The move follows allegations earlier this year that Apple's products were assembled in China amid multiple violations of labour law, including extreme hours.

Apple and its main contract manufacturer Foxconn Technology Group, whose subsidiary Hon Hai Precision Industry assembles Apple devices in China, later agreed to tackle violations of conditions among the 1.2 million workers assembling iPhones and iPads.

That landmark decision could change the way Western companies do business in China.

Foxconn Technology Group and Apple are to split the cost of improving the working conditions at the Chinese factories where the vendor's iPhones and iPads are made.

Foxconn chief Terry Gou did not give a figure for the costs, but the group has been investing heavily in the firm's Chinese factories that have been criticised in the past for resembling sweatshops.

"We've discovered that this (improving factory conditions) is not a cost. It is a competitive strength," Gou told reporters on Thursday after the ground-breaking ceremony for a new China headquarters in Shanghai.

"I believe Apple sees this as a competitive strength along with us, and so we will split the initial costs."

It was unclear if the split would be 50/50 or in some other ratio.

Foxconn announced in mid-February that it had raised wages for workers by 16 to 25 percent, and in late March it reached an agreement with Apple to hire tens of thousands of new workers to reduce overtime work.

Analysts have attributed weaker-than-expected first-quarter results at Foxconn's flagship listed unit Hon Hai Precision Industry Co Ltd mainly to rising salary costs.

Hon Hai has been trying to cut rising Chinese labor costs in the past two or three years, and has been relocating plants to areas of China where wages are lower.

Foxconn's manufacturing in China will focus on domestic consumers in the country of 1.3 billion people, as well as research and development in technology, sales and services, Gou said.

Foxconn Technology Group's other listed units include Foxconn International Holdings, the world's top contract mobile phone maker, and Foxconn Technology Co which makes casings.

Over the past two years, there has been a spate of suicides at Foxconn's sprawling plants where products by Microsoft and Nintendo are also made.

Apple and Foxconn agreed earlier this year to improve conditions for workers assembling Apple products.

Despite Hon Hai's weak first-quarter showing, Gou said he expected the group to be able to reach its revenue growth target of 10 percent this year.

IBM has agreed to buy French business management software maker Ilog for 215 million (170 million).

The takeover will add a range of products to IBM's growing enterprise software range, including Ilog's Business Rules Management Systems (BRMS), business process visualisation software and its extensive supply chain management software suite.

"This combination will allow us to dramatically extend our market reach and realise the full potential of all of our technologies while protecting investments of Ilog's customers now and into the future," Ilog chairman and chief executive Pierre Haren said in a statement.

The offer price represents a premium of about 56 per cent compared with Ilog's one-month average closing share price prior to 28 July, and a 37 per cent premium to the closing price last Friday.

Separately, Ilog on Monday said its net profit dropped to $500,000 (250,000) on turnover of $181 million (90.5 million) in the year to 30 June, compared to a profit of $4.9 million (2.45 million) on sales of $161.5 million (80.75 million) the previous year.

"In the fourth quarter, we faced a challenging economic environment, notably in the financial sector, which remains a key source of revenues for Ilog," the company said.

Neil Ward-Dutton, research director of IT advisory firm Macehiter Ward-Dutton, told IT PRO that the IBM deal was about the perception that it needed Ilog's rules engine technology to fill out its own business rules management capabilities, as service oriented architecture (SOA) and business service management (BSM) became more mainstream.

"IBM and Ilog have been partners for years, so I was surprised IBM hadn't done this sooner," he said.

"But the truth is, rules only makes up a third of Ilog's business and it's pretty high-end, niche stuff used to capture complex business policies away from the applications in a very disciplined way."

IBM has spent about $21 billion (10.5 billion) on 70 acquisitions since 2003, including $5 billion (2.5 billion) on business intelligence software maker Cognos, which IBM purchased in January of this year.