Techaisle Blog

Zero Trust (ZT) is a concept that, while not universally recognized, holds significant relevance in many organizations, particularly within the mid-market sector. Techaisle’s SMB and Midmarket Security Adoption Trends research shows that Its awareness is relatively low in the small business segment, with a mere 8% familiarity. However, this awareness escalates within larger organizations, reaching 46% in core midmarket businesses (100-999 employees) and 69% in upper midmarket businesses (1000-4999 employees). This trend intensifies when examining the perceived importance of ZT among those aware of it. Only 29% of small businesses regard ZT as more than “moderately important,” whereas a staggering 90% of core midmarket and 93% of upper midmarket firms deem Zero Trust as “important” or “very important.”

About 30% of upper midmarket organizations are engaged in Zero Trust (ZT) access projects. In contrast, 45% of small businesses, compared to a mere 1%-2% of midmarket firms, have no immediate plans to implement ZT access. The data reveals that a significant number of businesses have initiated the deployment of ZT access solutions: 86% of upper midmarket firms, 69% of core midmarket organizations, and 42% of small businesses.

Balancing Immediate Needs with Proactive Planning: Zero Trust Drivers for Different SMB Segments

Cutting-edge midmarket companies are embracing a variety of adoption drivers in response to Zero Trust’s (ZT) capabilities. These capabilities resonate with executives addressing immediate needs, adapting to alterations in their IT landscapes, and proactively forecasting future demands. As with most business decisions, leadership teams carve out paths to success that align best with corporate requirements. ZT stands out for its unique ability to cater to a spectrum, or even a blend, of diverse motivations.

SMBs are the backbone of any economy and are crucial in driving innovation and creating jobs. Yet, when it comes to cybersecurity, they often lag behind larger enterprises, lacking the resources and expertise to defend against sophisticated cyberattacks. This is where Managed Detection and Response (MDR) emerges, offering SMBs a cost-effective and scalable solution to secure their valuable data and infrastructure.

The cybersecurity landscape is littered with threats, and small and medium-sized businesses (SMBs) are often the most vulnerable targets. According to Techaisle's research, not many SMBs are aware of Managed Detection and Response (MDR) services, a powerful tool designed to safeguard against cyberattacks. This begs the question: are SMBs missing out on a critical line of defense in today's ever-evolving digital landscape?

Awareness drives adoption

Techaisle’s SMB and Midmarket research data shows that small businesses are at a much earlier stage of their journey to MDR than their midmarket peers. Just 17% of companies with 1-99 employees report being aware of MDR, compared with 61% of core midmarket firms and 76% of upper midmarket organizations. Looking only at companies that are aware of MDR, current adoption rates mirror this pattern: 5% of small businesses that are aware of MDR are currently using these services versus 45% of core midmarket and 58% of upper midmarket organizations and virtually all companies that are aware of but not using MDR are either currently considering MDR or planning to evaluate these services within the next 12-18 months. These statistics indicate tremendous potential in each SMB segment: vendors must boost awareness of MDR’s benefits while executing an effective conversion strategy. This is especially true in small businesses – which should be an excellent fit segment for a managed service.

Selling sophisticated products to SMB customers is a significant challenge for IT vendors. This problem is especially acute with cybersecurity. Most SMB and Midmarket customer environments need defenses against many different types of threats, attackers, and threat vectors. Most SMBs lack the internal resources to understand what is required to protect against vulnerabilities and how different “shields” can be connected without leaving (or even creating) exploitable gaps in defense posture. Even the channel partners struggle to keep pace with simultaneous growth in threats and threat actors, vulnerabilities tied to in-use technologies or common business practices, and the ever-changing security vendor community.

My journey with Cisco and its Webex product began when I established Techaisle. At that time, Zoom was not even on the horizon. Initially, GoToMeeting was my go-to platform for presentation collaboration, but we eventually transitioned to Webex. However, we switched as the Techaisle team grew and MS Teams was introduced. In the past two years, I have expanded my toolkit to include Webex, the Webex Desk Pro, Webex Desk Mini, Webex camera, and most recently, the Bang & Olufsen Cisco 950 wireless earbuds. Besides Webex, I have used these devices with various platforms, including Zoom, Teams, and Google Meet. The interoperability has been impressive, and the performance of the Webex devices has been outstanding.

But I am getting ahead of myself.

The recent WebexOne event marked a significant shift and showcased a transformed platform. Webex has shed its old skin and emerged as a rejuvenated entity steered by a team of exceptional executives. 

The digital revolution has reshaped the business landscape, with hybrid work becoming a cornerstone of modern corporate culture. Yet, the transition to hybrid work models is not without its challenges. Many organizations struggle to foster a consistent work culture and build high-performing teams in this new environment. Technological disparities, such as inconsistent internet connectivity, further complicate matters, impacting workforce productivity and inclusivity. This digital divide can lead to a sense of exclusion among employees facing connectivity issues, undermining the inclusivity of hybrid workplaces.

Webex is dedicated to helping organizations overcome these obstacles. By integrating Artificial Intelligence (AI) into its platform, Webex has enhanced its efficiency, user-friendliness, and audio, video, and language processing capabilities. The platform now boasts advanced noise cancellation, speech-to-text conversion, automatic camera framing, facial recognition, and real-time automatic language translation, making meetings more accessible and productive. These AI-driven enhancements were unveiled at the WebexOne 2023 event.

According to data from Techaisle, it is projected that the global IT expenditure of small and medium-sized businesses (SMBs) will escalate to a staggering US$1.35 trillion by 2024. Furthermore, this spending is anticipated to experience a compound annual growth rate (CAGR) of 5.7%, extending through 2028. Cisco is making a significant push into the SMB market, a segment where it has enjoyed steady growth. In fiscal year 2023, which concluded in July, the SMB segment was Cisco’s top-performing customer category for a third consecutive year. Cisco sees this segment as a $25 billion addressable market opportunity, captured with mid to high-tier SMBs transitioning to cloud and SaaS solutions. Notably, about 20% of Cisco’s SMB business comes from new customers every year, underscoring this segment's critical role in expanding Cisco’s reach and reflecting on the growing demand for technology amongst SMBs.

Cisco’s go-to-market in the SMB segment is partner-led, catalyzed with continuous partner-focused programs, initiatives, and marketing investments to foster robust relationships. According to the latest research by Techaisle, a significant majority of SMBs, 87%, depend on their partners for technology solutions. Furthermore, these SMBs channel nearly 89% of their IT expenditure through these partners. Cisco is, therefore, continuously enhancing its engagement with partners, revamping its marketing strategies, and adapting to the changing needs of its customers. A vital part of this strategy is the focus on the new “Scale” go-to-market initiative, aligned to engaging SMB customers and Partners in this space, as unveiled at the company’s sales kickoff meeting in August. This model offers partners and customers enhanced sales and marketing support, ensuring that SMBs receive expert advice in crucial care-about areas such as cybersecurity or hybrid work.

The concept of “digital transformation” has become a staple in corporate discussions over the years. While some may write it off as a fad, many, particularly SMBs, understand its importance. For these businesses, digital transformation involves adopting digital technologies to streamline operations, improve customer relationships, and position themselves as agile and innovative entities in their respective fields. Techaisle data reveals that 71% of SMBs are investing in digital transformation, and 37% have a holistic digital strategy. SMBs, once perceived as technologically behind, are actively embracing cloud solutions to meet their IT requirements. These technologies have become crucial to their digital transformation journey, enabling them to automate various operational aspects and gain a competitive advantage through essential business process automation tools, orchestration, and integration or advanced offerings like custom AI and analytics applications hosted on cloud platforms.