Q3 2025 Cyber Security update: M&A volumes continue to increase as billion-dollar deals dominate the sector

Cyber-attacks are again dominating the headlines as hackers continue to leverage sophisticated methods that bring high-profile companies to their knees. Beyond the immediate operational chaos, these breaches highlight the lasting reputational and financial consequences these attacks cause. 

Against this backdrop, the cyber security M&A market is keeping momentum. With 132 deals in Q3, quarterly deal volumes remain above long-term averages, led by strategic consolidation and investors seeking scale, integration and defensible margins. Landmark transactions, including Palo Alto’s $25bn acquisition of CyberArk and HPE’s $14bn purchase of Juniper Networks, reflect the sector’s ongoing shift towards comprehensive, AI-enabled solutions that combine advisory expertise with technical capability.

However, this momentum brings its own challenges as the market risks saturation. Whilst cyber security natives are reaping the rewards of a volatile landscape, there are now huge amounts of non-cyber businesses offering cyber security solutions leading to the prevalence of lower value products and services.

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