2026 NASCIO-Deloitte Study Finds Falling State CISO Confidence and Tighter Cyber Budgets

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Summary

The 2026 NASCIO-Deloitte study finds declining state CISO confidence in protecting public data, tighter cybersecurity budgets and widening skills gaps as AI expands threats and governance responsibilities.

Key points

  • The 54-question survey, launched in October 2025, received responses from all 50 states, the District of Columbia and the US Virgin Islands; one response was partial.
  • Only 22% of CISOs described themselves as extremely or very confident that state information assets were protected, down from 48% in 2022.
  • Budget reductions were reported by 16% of CISOs, compared with none in 2024; only 22% reported increases of at least 6%, down from 40%.
  • Third-party breaches were viewed as a coming-year threat by 78% of respondents, up from 44% in 2022.
  • Some 94% of CISOs were involved in GenAI security policy development. Respondents warned that automatically enabled AI features could expose sensitive data and outpace governance.
  • Roughly one-fifth reported fully or partially advancing whole-of-state cybersecurity support, while funding uncertainty and differing state-local responsibilities constrained expansion.
  • Only 22% said their internal cybersecurity professionals had the competencies needed for existing and foreseeable requirements, down from 47% in 2024.

Article Details

Publisher
National Association of State Chief Information Officers (NASCIO) and Deloitte & Touche LLP
Scope
Biennial survey of state CISO cybersecurity strategy, governance, operations, funding, workforce, AI adoption and whole-of-state support.
Sample Size
CISOs from all 50 states, the District of Columbia and the US Virgin Islands answered a 54-question survey. One response was partial, leaving some questions with 51 responses. Survey information was not independently validated by the publishers.
Key Statistics
  • The share of CISOs extremely or very confident that state information assets were protected fell from 48% in 2022 to 22% in 2026.
  • The share not very confident or not confident at all in protection of state information assets within local government and public higher education rose from 35% in 2022 to 63% in 2026.
  • In the 2026 survey, 22% reported cybersecurity budget increases of at least 6%, compared with 40% in 2024; 16% reported budget reductions, compared with none in 2024.
  • Only 22% of CISOs said internal cybersecurity professionals had the required competencies in 2026, down from 47% in 2024; eight of 51 reported significant competency gaps.
  • In 2026, 94% of CISOs reported involvement in GenAI security policy development.
Recommendations
  • Track operational, compliance and risk-based cybersecurity effectiveness metrics, including incident response time and phishing click rate, to demonstrate investment benefits.
  • Apply strong governance and risk controls to GenAI adoption, including risk assessments and security review during tool evaluation.
  • Strengthen data classification, data loss prevention and employee education on data privacy and ethical AI use.

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