Palo Alto Networks’ State of Generative AI report reveals 890% growth in GenAI traffic, increased DLP incidents, and rising risks from unsanctioned AI apps.

Palo Alto Networks’ latest State of Generative AI report offers key insights into how enterprises are embracing generative AI (GenAI) while navigating emerging security challenges. Analysing data from 7,051 global customers in 2024, the report uncovers significant trends in GenAI adoption and its implications for generative AI security.

The most striking finding is an 890% surge in GenAI traffic during 2024. This dramatic increase reflects not only the maturation of AI models but also rising enterprise integration and measurable productivity gains. GenAI has evolved from a novelty to an essential business utility across sectors.

However, with this rapid growth comes increased risk. Data loss prevention (DLP) incidents linked to GenAI more than doubled, with GenAI-related cases now representing 14% of all data security incidents. This 2.5X rise in monthly GenAI-related data events highlights the growing concern over intellectual property leaks, compliance risks, and data breaches stemming from careless or unauthorised use of GenAI tools.

On average, enterprises engaged with 66 different GenAI apps—10% of which were flagged as high risk. The growing prevalence of unsanctioned applications, combined with the lack of cohesive AI governance policies, presents a significant security gap. The pressure to adopt GenAI quickly, often without fully implemented controls, exposes organisations to unnecessary risk.

This comprehensive study draws from anonymised data collected across Palo Alto Networks’ Prisma® Access and Next-Generation Firewall (NGFW) deployments, spanning 2024 and early 2025. Findings were analysed under strict data privacy standards, ensuring sensitive customer information remained secure.

The report offers crucial guidance for IT leaders aiming to harness GenAI’s full potential while mitigating its risks. Balancing innovation with robust generative AI security practices will be vital to ensuring sustainable, safe, and scalable AI-driven transformation.