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3/26/2019
04:45 PM
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Small Businesses Turn to Managed Service Providers for Security

The average cost of a cyberattack at an SMB is $54,650, a new study shows.

Nearly 90% of small- to midsized businesses (SMBs) would consider hiring a new managed services provider (MSP) if they offered the right cybersecurity solution, and nearly half would pay at least 20% more for the right security solution from a new MSP. 

"We found that SMBs understand that they are not well protected," says Brian Downey, senior director of security product management for Continuum, which collected data from 850 SMBs in the United States, United Kingdom, France, Germany, and Belgium, for its new SMB security report. "And ... they are willing to pay more for the right service and would even trade out an existing MSP."

Nearly 25% of SMBs have already changed MSPs in the aftermath of a cyberattack, he says.

Some 77% of SMBs anticipate that at least half of their cybersecurity needs will be outsourced in five years – and 78% are planning to invest more in cybersecurity in the next 12 months. Downey says SMBs understand what a breach can do to their businesses, and that the average total cost of cybersecurity attacks experienced in the past two years can vary by company size.

For example, the average cost of an attack for a company with 10- to 24 employees runs $38,437. That number increases to $70,357 for companies with 500- to 1,000 employees. The average cost across all the SMBs surveyed was $54,650.  

"There's a growing recognition among SMBs that a security event can impact customer loyalty," Downey says. "In fact, we found that 89% of SMBs surveyed saw security as one of their top five business priorities. As consumer awareness of security has increased following the 2016 election, SMB owners realized they need to focus on security so they can protect their companies."

Martha Vazquez, senior research analyst for infrastructure services at IDC, says there's no question SMBs are becoming more security-aware. "SMBs are still looking at price, but they wouldn't go with a Secureworks or IBM" because they are out of their price range, she says. "However, they will pay for providers that offer more advanced threat detection and analytics. They're looking at the security talent the providers have, plus the 24x7 support." 

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Steve Zurier has more than 30 years of journalism and publishing experience, most of the last 24 of which were spent covering networking and security technology. Steve is based in Columbia, Md. View Full Bio

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tdsan
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tdsan,
User Rank: Ninja
7/27/2019 | 4:18:33 PM
Solutions that are inexpensive
There are four solutions that I think every Windows user should have that is free to the end-user.
  • Comodo - Antivirus, Firewall, IPS, File Mgmt and Executable mgmt
  • AVG - Antivirus, Browser protection
  • Firefox with Ghostery, NoScript installed
  • IOBit - Advanced System Care - downloads patches, configure services and improves performance

With Comodo, it comes with an IPS, Firewall system that blocks the use of applications that starts up, it is a warning system that informs the user that there is something that could be considered problematic or intrusive.  AVG provides another level of protection at the browser level and filesystem. Firefox with Ghostery stops tracking, NoScript (the one that looks like the snake) does not give outside users the ability to download files with scripting capability unless you tell it is ok.

All of the programs are free to use, of course, there are Pro/Prem editions but this is a good start for a small business.

Try it out, it works pretty well.

T
SanDiegoManagedIT
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SanDiegoManagedIT,
User Rank: Apprentice
7/25/2019 | 3:45:44 PM
Re: Take action now
I agress 100% I wish they realized ransomware is the biggest threat to small and mid-sized businesses. Cisco even states this. https://hyphenet.com/ransomware-is-the-biggest-cyber-threat-to-small-and-mid-sized-businesses/
REISEN1955
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0%
REISEN1955,
User Rank: Ninja
4/24/2019 | 8:41:16 AM
Re: Take action now
True - it is  no longer a question of IF you get hacked but WHEN HAVE YOU been hacked (past-tense) and what ARE you doing about it today?
MarkSindone
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MarkSindone,
User Rank: Moderator
4/24/2019 | 2:11:14 AM
Take action now
Today, every single business needs security assurance. Of late, data breaches are almost becoming a worrying norm. This situation has asserted business owners to take action before they get hit badly.
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John McClurg, Sr. VP & CISO, BlackBerry,  11/18/2019
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