Manufacturing Grapples with Rising Cyber Threats as AI Pushes Attack Sophistication

The manufacturing sector is entering 2025 facing a cyber reality that is both promising and perilous. According to new research from LevelBlue, executives are simultaneously leaning on AI to boost productivity and bracing for attackers who are using the same technology to supercharge their campaigns.

Rising Frequency, Limited Preparedness

The report highlights a sharp uptick in hostile activity: more than a third of surveyed manufacturing executives said their organizations are facing significantly more cyberattacks compared to last year, while more than a quarter acknowledged suffering a breach in the past 12 months.

Despite these experiences, preparedness remains spotty. Only 32 percent of executives say their organizations are ready to fend off AI-powered threats, and just 30 percent feel prepared for deepfake or synthetic identity attacks—even though nearly half expect such threats to hit in 2025.

Cybersecurity in the Boardroom

Executives appear to be moving cybersecurity discussions out of the server room and into the C-suite. The research found that 65 percent of manufacturing leaders say boardroom attention has grown because of media coverage of high-profile breaches. In parallel, two-thirds of respondents report that their cybersecurity teams are now aligned with business units, a shift that reflects growing recognition that resilience is a business enabler rather than an IT cost.

Culture Shift, But Gaps Remain

The study notes progress in cultivating cyber-resilient cultures, with 70 percent of organizations now educating employees about social engineering. Leadership accountability is also rising, with 65 percent of roles measured against cybersecurity KPIs. Yet fewer than half of manufacturers believe they have an effective company-wide cyber culture, and only 35 percent rate their due diligence for mergers and acquisitions as effective—an area attackers often exploit.

Software Supply Chain Blind Spots

Perhaps the most concerning blind spot is the software supply chain. More than half of executives admit to having only “very low to moderate” visibility into it. While 30 percent identify supply chain vulnerabilities as a top risk, just 26 percent plan to prioritize supplier engagement on security credentials in the next year.

Looking Ahead

LevelBlue’s report outlines steps manufacturers can take, from adopting Zero Trust architectures to verifying supplier security practices and expanding external support. The takeaway is clear: AI is redefining both opportunity and risk, and manufacturers who fail to evolve their defenses could see their competitive edge dissolve as quickly as an unpatched system.