The cybersecurity landscape is constantly evolving, presenting significant challenges and driving changes in security adoption trends across Small and Medium-sized Businesses (SMBs) and midmarket firms. Insights from the Techaisle SMB and Midmarket Security Adoption Trends Report reveal a complex picture of preparedness, perceived risks, emerging priorities, and strategic shifts in security spending and solution adoption. This analysis will delve into these trends, highlighting the distinct realities faced by small businesses (1-99 employees), Core Midmarket (100-999 employees), and Upper Midmarket (1000-4999 employees) firms.
Current State of Cyberattack Readiness: A Landscape of Vulnerability
The report underscores a concerning level of unpreparedness among SMBs and midmarket firms, despite the rising threat landscape. A significant portion of SMBs lack fundamental security measures: 46% have no security protocol in case of an incident, 51% lack formal risk frameworks, and a striking 83% have no formal security awareness training for their employees. This translates into a feeling of being under-prepared, with 68% of SMBs believing they are less prepared than their peers. Furthermore, 61% of SMBs feel that native cloud security is insufficient, and 43% have experienced a security incident, with most small business attacks going undetected. The average financial loss for SMBs due to security incidents is reported to be $1.6 million, and 62% are not very confident in their ability to recover from such an incident.
Midmarket firms, while slightly better equipped, still face significant gaps. 34% of midmarket firms have no security protocol, 35% lack formal risk frameworks, and 72% have no formal security awareness training. 49% feel under-prepared compared to peers, and 60% believe native cloud security is insufficient. Midmarket firms experienced security incidents at a higher rate of 57%, and the average financial loss due to these incidents was substantially higher at $11 million. Only 36% are not very confident of recovering from a security incident, indicating a slightly higher, yet still concerning, level of confidence compared to SMBs.