AI Deception Tools Market To Hit USD 4.8 Billion By 2032 As Cyberattacks Grow In Complexity Report By SNS Insider

(MENAFN- GlobeNewsWire - Nasdaq) The AI Deception Tools Market is expanding as rising cyberattack complexity drives demand for AI-powered decoys, honeypots, and real-time threat diversion solutions.

Austin, Sept. 23, 2025 (GLOBE NEWSWIRE) -- The AI Deception Tools Market size was valued at USD 0.62 billion in 2024 and is expected to reach USD 4.8 billion by 2032, growing at a CAGR of 28.75% during 2025-2032.

As advanced persistent threats (APTs) increase in frequency and sophistication, the utilization of AI deception tools is on the rise. Conventional security measures are inadequate in detecting and preventing stealthy intrusions. In contrast, AI-based deception techniques actively mislead attackers through the use of decoys, fake assets, and honeypots. They not only impede and decelerate the intruder but also gather data regarding their behavior, thereby enhancing future defenses. Major adopters consist of sectors facing significant repercussions in the case of data loss, such as defense, finance, and healthcare.

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Key Players:

• Darktrace
• Palantir Technologies
• IBM
• Microsoft
• Google DeepMind
• Shield AI
• Sensity AI
• HiddenLayer
• Vectra AI
• ZeroFox
• Fortinet
• CrowdStrike
• SentinelOne
• Cybereason
• ReSecurity
• Claroty
• Deceptive Bytes
• Smokescreen Technologies
• Illusive Networks
• Acalvio Technologies

AI Deception Tools Market Report Scope:

Report Attributes	Details
Market Size in 2024	USD 0.62 Billion
Market Size by 2032	USD 4.8 Billion
CAGR	CAGR of 28.75% From 2025 to 2032
Base Year	2024
Forecast Period	2025-2032
Historical Data	2021-2023
Report Scope & Coverage	Market Size, Segments Analysis, Competitive Landscape, Regional Analysis, DROC & SWOT Analysis, Forecast Outlook
Key Segments	. By Deployment Mode (Cloud-Based, On-Premise) . By Technology (NLP, Machine Learning, LLM, Generative AI, Computer Vision, Others [Attack Simulation, Digital Twin]) . By Application (Fraud Detection, Cyber Security, Others [Data Privacy, Information Verification]) . By End Use (Healthcare, BFSI, Telecom & IT, Government, Retail, Others)
Customization Scope	Available upon request
Pricing	Available upon request

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Segmentation Analysis:

Based on Technology, the Market was Led by the Machine Learning Segment in 2024

In 2024, the machine learning segment led the AI deception tools market, capturing a substantial revenue share attributed to its capabilities in anomaly detection, adaptation to emerging threats, and automation of deception strategies. The generative AI segment is projected to exhibit the highest compound annual growth rate (CAGR) owing to its capacity to produce realistic utilities through adaptive decoys and facilitate real-time interactions to engage attackers.

By Application, the Cybersecurity Segment Dominated the Market with 48% Share in 2024

In 2024, the cybersecurity sector led the market, representing 48% of the AI deception tools market share, attributed to the rise in sophisticated cyberattacks by cybercriminals, including zero-day exploits and advanced persistent threats (APTs). The fraud detection segment is projected to exhibit the highest CAGR, as financial institutions, e-commerce platforms, and digital service providers face increasing challenges from synthetic identity fraud, deepfakes, and transaction spoofing.

By End-Use, BFSI Segment Led the Market in 2024

In 2024, the BFSI segment led the AI deception tools market, capturing a substantial revenue share due to heightened vulnerability to identity theft, fraud, and specific cyber threats. The government sector is projected to exhibit the highest CAGR due to the rising geopolitical threat, the expansion of cyber warfare, and assaults on public infrastructure.

In 2024, North America Dominated the Market with Substantial Share; Asia Pacific is Projected to Grow the Fastest CAGR in the Market Globally

In 2024, the North America region led the AI deception tools market, capturing a substantial revenue share attributed to early technology adoption, a large population of cybersecurity vendors, and heightened government investment in AI-powered threat detection. The Asia Pacific region is projected to exhibit the highest CAGR attributed to rising digitization, customer data proliferation, escalating cyber threats, and enhanced recognition of identifiable processes and sector comprehension of deception (IDeption).

Recent Developments:

• In April 2024, Darktrace launched the ActiveAI Security Platform, an advanced upgrade of its Cyber AI Loop, integrating deception, threat simulation, and autonomous response across cloud, endpoint, and OT environments.
• In August 2024, Palantir Technologies partnered with Microsoft to deploy its AIP platform on Azure Government Cloud, enabling advanced AI-powered security and deception capabilities for U.S. defense and intelligence agencies.

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Exclusive Sections of the Report (The USPs) – Check Section 5

• ADOPTION & USAGE TRENDS – helps you analyze enterprise and government adoption levels, sectoral usage distribution across finance, defense, media, and education, and organizational practices, such as phishing simulations and red-teaming campaigns.
• EFFECTIVENESS & DETECTION ACCURACY – helps you evaluate detection accuracy of deepfake and synthetic content, reduction in social engineering success rates, response times to deceptive attacks, and error rates in AI-driven alerts.
• THREAT LANDSCAPE EVOLUTION – helps you understand the rise of synthetic media incidents, the shift toward multimodal deception vectors, and the growing role of generative AI and open-source tools in adversarial campaigns.
• BUSINESS IMPACT & ROI METRICS – helps you measure cost savings from prevented scams, ROI timelines, reduction in incident response costs, and improvements in employee-targeted attack resilience and cyber readiness.
• COMPETITIVE LANDSCAPE – helps you assess the positioning of leading solution providers, their detection capabilities, innovation in deepfake countermeasures, and expansion across high-risk industries.

About Us:

SNS Insider is one of the leading market research and consulting agencies that dominates the market research industry globally. Our company's aim is to give clients the knowledge they require in order to function in changing circumstances. In order to give you current, accurate market data, consumer insights, and opinions so that you can make decisions with confidence, we employ a variety of techniques, including surveys, video talks, and focus groups around the world.

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