Techaisle Blog

The cybersecurity landscape is undergoing a significant shift, driven by a surge in spending across all business segments. According to Techaisle SMB and Midmarket Security Adoption Trends research, the combined IT security spending (excluding managed security services) for global SMBs and Midmarket companies is projected to reach a staggering US$90 billion in 2024, reflecting a healthy 9.4% increase from 2023. This data paints a clear picture: businesses of all sizes are prioritizing cybersecurity and investing heavily in defense mechanisms.

Interestingly, the growth in spending is not uniform across the board. The most significant increases are anticipated from high-growth, highly innovative companies. A striking 21% of high-growth SMBs and 26% of high-growth midmarket firms are expected to bolster their IT security budgets by at least 15% in 2024. These figures underscore these companies' unique challenges and the need for tailored cybersecurity strategies. Very innovative businesses are also demonstrating a strong commitment to security, with 18% of SMBs and 21% of midmarket companies in this category planning to increase their spending by 12% compared to the previous year.

At the core of an SMB's resilience lies cyber resilience, the nexus that links cybersecurity, business continuity, and overall preparedness. It's not just about defense; it's about bouncing back from any crisis, whether a cyberattack, natural disaster, or economic downturn. Cyber resilience ensures operations continue smoothly even in turbulent times by encompassing prevention, response, and recovery. This comprehensive approach not only ensures business continuity and protects sensitive data but also plays a pivotal role in fostering customer trust. Techaisle survey data reveals that 35% of SMBs and 46% of upper midmarket firms view the shift from cybersecurity to cyber resiliency as not just important but crucial.

Security matters to SMBs and midmarket firms - a LOT. Technology is essential to productivity, growth, and profitability – but it exposes SMBs to potentially devastating security breaches. But cybersecurity is a daunting challenge. Technology is so complex, and the threat sources are so menacing that many SMBs practice “security through obscurity:” They hope that attacks will be pointed at larger targets and that they can find safety by keeping a low profile.

The world of cybersecurity is a constantly evolving battleground. Gone are the days of lone hackers targeting specific networks. Today, criminal organizations cast wide nets, hoping to exploit vulnerabilities in increasingly connected devices, from printers to smart TVs. Unfortunately, there are enough hackers, scammers, and cybercriminals to go around – and every conscientious SMB needs to address security threats as they take action to safeguard their businesses against other threats (loss of customer trust, compliance with applicable laws and regulations, loss of financial solvency) to their businesses.  

This complex landscape demands a security strategy that goes beyond just protecting networks. As digital technologies continue to advance, businesses of all sizes, especially small and medium-sized businesses (SMBs), face a constant threat of cyber-attacks.

Xerox understands this vulnerability and offers a comprehensive, personalized approach to workplace security that goes beyond a one-size-fits-all solution. This commitment to risk management stems from Xerox's long history in highly regulated industries. Its secure printing solutions, developed for environments like Navy ships, translate into robust security features for businesses of all sizes.

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.