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.

A global research study of 6,240 SMBs and midmarket firms found that IT security is a top priority for these organizations. 85% of SMBs and 100% of midmarket firms ranked IT security as a top priority, and 61% of these firms are increasing their IT security spending by more than 8%, a higher percentage than overall IT spending. The study also revealed that 56% of SMBs and 88% of upper midmarket firms experienced at least one cyberattack in the past year. As a result, preventing cyberattacks is a priority for 64% of firms.

According to the Techaisle survey, cybersecurity breaches can be costly for SMBs (1-999 employees), with an average loss of US$1.2 million in data, productivity, compliance and regulatory expenses, and staffing costs. Upper-midmarket firms (1000-4999 employees) suffer even more significant losses, with an average cost of US$28.6 million per breach.

According to a survey of 2035 businesses conducted by Techaisle, cybersecurity breaches cost SMBs (1-999 employees) an average of US$1.2 million in data, productivity, compliance and regulatory expenses, and staffing costs. In contrast, upper-midmarket firms (1000-4999 employees) suffered an average loss of US$28.6 million. The research also revealed that 56% of SMBs and 88% of upper midmarket firms experienced at least one cyberattack in the past year.

SMBs and midmarket firms recognize that a security breach can have significant business implications. When asked about the potential impact of a breach, 54% of firms stated that it would damage their customers’ privacy, 49% believed it would erode customer trust in their business, and 44% saw it as damaging to their company’s reputation. Nearly one-quarter reported that a breach would have a substantial negative impact on their bottom line. Security is not just an issue but also a critical factor in defending against threats to trust, compliance, and financial viability.

Security is a critical concern for SMBs and midmarket firms. While technology is essential for productivity, growth, and profitability, it also exposes businesses to potentially devastating security breaches. Many SMB firms practice “security through obscurity,” hoping that attacks will target larger organizations while they keep a low profile. However, with enough hackers, scammers, and cybercriminals to go around, every conscientious SMB executive must address security threats and take action to safeguard their business against other threats, such as loss of customer trust, compliance with laws and regulations, and loss of financial solvency.

Techaisle survey indicates that SMBs have IT security on their agendas, with 85% of SMBs and 100% of upper midmarket firms considering it a critical concern. A closer look at the findings shows that other important issues for SMBs, such as cloud and hybrid work, cannot be implemented without an effective security approach.

OpenText's transformation from a Canadian document management company to one of the world's leading software providers is nothing short of remarkable. The driving force behind its growth has been a focus on cloud-based solutions, which led the company to go on an acquisition spree, bringing several specialized companies/brands under its umbrella. Cybersecurity is one arena where OpenText has taken a deliberate approach over the last decade with multi-billion dollars of capital investment to bring together critical purpose-built solutions to provide holistic coverage to its customers.

The company’s acquisition of data protection provider Carbonite (ninth cloud-specific acquisition overall) and endpoint/threat intelligence software provider Webroot marked a significant milestone in its quest to create a single, unified, and robust security portfolio.

With the Carbonite and Webroot acquisitions, OpenText became a go-to option for managed service providers (MSPs) and small and medium businesses (SMBs) seeking a one-stop shop for security and data protection, filling a void in the market with its broad portfolio. Experts have opined on OpenText’s offerings: “It's one vendor, one brand, one program, one partner strategy, one go-to-market, so small customers and partners don't need to work with multiple vendors. OpenText Cybersecurity can provide all of it."

However, this was just the beginning. OpenText's subsequent acquisitions of email encryption software provider Zix, security software provider AppRiver, Network Detection and Response provider Bricata, and enterprise software provider Micro Focus further strengthened its position in cybersecurity. The approach to consolidate all security and data protection services in a single platform – serving as the foundation to deploy the right capabilities and manage and administer their environment has made things easier for customers of all sizes. In addition, OpenText's comprehensive portfolio provides a robust and reliable option for businesses seeking to enhance their cyber resiliency. In the following sections, we will explore OpenText's trajectory to becoming one of the leaders in the cybersecurity domain.