A troubling reality confronts enterprise technology leaders: while digital transformation accelerates and AI adoption expands attack surfaces, software supply chain visibility remains critically low across global organizations. New research reveals that only 23% of companies possess high visibility into their software supply chains, creating dangerous blind spots that cybercriminals actively exploit.
The 2025 LevelBlue Futures Report exposes a stark correlation between visibility and security outcomes that should alarm every C-suite executive managing complex technology ecosystems.
Key Takeaways:
The research data reveals an alarming correlation: organizations with "very low visibility" into their software supply chains suffer security breaches at a rate of 80%, compared to just 6% for those with "very high visibility." This 13-fold difference in breach likelihood demonstrates that visibility isn't just a best practice—it's a critical business survival factor.
The vulnerability explosion is real: Verizon's 2024 Data Breach Investigations Report shows that vulnerability-based breaches surged 180% in 2023, with 15% involving third-party suppliers or software supply chains. These statistics illuminate why software supply chain attacks have become the preferred attack vector for sophisticated threat actors.
The multiplication effect of supply chain attacks makes them particularly devastating. When attackers compromise a single software vendor, they gain access to hundreds or thousands of downstream customers simultaneously. This attack methodology explains why 74% of breaches originated from supply chain members that companies were unaware of or failed to monitor.
Artificial intelligence adoption is inadvertently creating new vulnerabilities in software supply chains. The research shows that 39% of CEOs identify AI adoption as presenting greater risk to software supply chains, while 40% view the software supply chain as their organization's biggest security risk overall.
Gartner predicts that by 2025, 45% of organizations worldwide will have experienced attacks on their software supply chains, representing a three-fold increase from 2021. This projection underscores the accelerating threat landscape as digital transformation initiatives expand organizational attack surfaces.
AI integration introduces complexity through third-party AI services, machine learning model dependencies, and automated code generation tools. Each AI component potentially introduces new vulnerabilities that traditional security measures struggle to identify and mitigate.
The research reveals a troubling disconnect between executive awareness and action. While 68% of organizations report that media attention has elevated cybersecurity on C-suite agendas, only 25% plan to prioritize engaging with software suppliers about security credentials within the next 12 months.
This implementation gap reflects broader organizational challenges in translating risk awareness into operational security improvements. Despite acknowledging software supply chain risks, many organizations lack systematic approaches to vendor risk assessment and ongoing monitoring.
LevelBlue's Chief Evangelist Theresa Lanowitz emphasizes the urgency: "In an era of increasing AI disruption and evolving threats from nation-states and cybercriminal groups, the ability to withstand and recover from cyberattacks is directly tied to a clear understanding of an organization's software ecosystem."
The research reveals significant geographical disparities in software supply chain security preparedness. North American organizations lead in perceived readiness, with 57% reporting preparation for software supply chain attacks, compared to 44% in Asia-Pacific, 51% in Europe, and 50% in Latin America.
However, preparedness confidence doesn't always align with investment levels. European and Latin American organizations demonstrate higher proactive investment rates (67% and 64% respectively) despite lower confidence levels, suggesting they recognize cybersecurity as an ongoing journey rather than a destination.
Asia-Pacific organizations face the greatest challenges, with only 54% investing moderately or significantly in software supply chain security while reporting the lowest preparedness levels.
Industry analysis indicates that software supply chain attacks are projected to cost the global economy $60 billion by 2025, making proactive investment in visibility and security measures a financial imperative. Organizations that delay investments in software supply chain security face exponentially higher costs when breaches occur.
The research emphasizes that continuous investment is necessary even for organizations feeling prepared for attacks. Cybersecurity requires ongoing commitment rather than one-time implementations, particularly as attack methodologies evolve and software dependencies expand.
Addressing the software supply chain visibility crisis requires comprehensive approaches that extend beyond traditional security measures. Organizations must implement Software Bills of Materials (SBOMs), establish vendor risk assessment processes, and deploy continuous monitoring capabilities across their entire software ecosystem.
The correlation between visibility and security outcomes makes the investment case clear: organizations with comprehensive software supply chain visibility achieve 13 times better security outcomes than those operating with limited visibility. This dramatic difference in breach likelihood justifies significant investments in visibility and monitoring capabilities.