SMBs Advised to Revise Cybersecurity Policies Amid Growing AI Adoption – ARN

The Rising Intersection of AI and Cybersecurity in Australian Accounting Firms

As artificial intelligence (AI) surges in popularity among accounting firms across Australia, a shadow looms in the form of cybersecurity challenges. With the rise in AI tools comes the potential for increased cybersecurity threats, making it imperative for firms to prioritize their digital defenses. According to the CPA Australia: Business Technology Report 2025, one in five businesses reported experiencing a cyber breach in the past year, underlining the urgent need for robust cybersecurity measures coinciding with the investment in AI technology.

The CPA Australia Report: Insights and Perspectives

The insights presented in the fifth annual CPA Australia: Business Technology Report 2025 are based on surveys conducted between July and September of the same year. These surveys gathered opinions from accounting and finance professionals in not only Australia but also Mainland China, Hong Kong, Malaysia, and Singapore. The data reveals an emerging trend: as firms increase their investment in AI tools into 2026, they must concurrently consider the escalating risks associated with cybersecurity.

Risks Amplified by AI

The CPA Australia report suggests that while AI can certainly enhance operational efficiency and data management, it similarly opens the door to a new wave of cybersecurity threats. For example, AI technology can be exploited by malicious actors to automate and enhance cyber-attacks, making it increasingly vital for businesses to stay ahead of the curve. The very tools that drive progress and innovation in accounting could also create vulnerabilities if not paired with fortified cybersecurity strategies.

Small Businesses at Greater Risk

One of the more concerning findings from the report is the disproportionate vulnerability that smaller businesses face in the current landscape. Gavan Ord, CPA Australia’s business investment and international lead, stresses the necessity for small businesses to review and strengthen their digital defenses. Due to often limited resources and cybersecurity expertise, these smaller firms can be easy targets for cybercriminals. With fewer staff dedicated to safeguarding data, the risk of devastating data breaches and financial loss is alarmingly high.

The Imperative of Cybersecurity

“Cybersecurity isn’t optional – it’s essential,” is a statement echoed throughout the report and resonating within the industry. The message is clear: as investment in AI grows, so too must the commitment to enhanced cybersecurity protocols. Firms need to take proactive measures to protect sensitive information and ensure compliance with regulations, especially as the regulatory landscape continues to evolve in response to technology advancement.

A Multi-Layered Approach to Digital Defense

In the wake of these findings, businesses are encouraged to adopt a multi-layered approach to cybersecurity. This can include investing in advanced security technologies, conducting regular security audits, providing ongoing training for employees, and developing incident response plans. Creating a culture of cybersecurity awareness within the organization can significantly mitigate risks and prepare firms to respond effectively to potential threats.

Looking Towards the Future

As we look towards 2026 and beyond, the intersection of AI and cybersecurity will only grow more complex. Firms that recognize the necessity of aligning their investment in AI with robust cybersecurity measures are likely to find themselves better positioned to navigate the challenges and opportunities ahead. The conversation around these issues is ongoing, and it is evident that a collaborative effort is needed from all stakeholders to bolster the cybersecurity posture of the industry as a whole.

Firms not only need to stay informed about the latest threats but also actively participate in shaping the future of cybersecurity in order to thrive in a digital landscape increasingly influenced by innovations in AI.