Cybersecurity Is Now the #1 Business Priority for Majority of SMBs
Cybersecurity is the top business priority for SMBs, especially in the Defense Industrial Base, amid rising threats and regulatory changes. Learn how to navigate this shift effectively.
Summary:
A recent study found that cybersecurity is now the #1 business priority for the majority of SMBs. For defense contractors, that shift hits even harder. With the new 48 CFR update that will introduce the DFARS 7021 contractual clause that enforces CMMC on the horizon, cybersecurity is front of mind for everyone right now, and securing resources is more important than ever. Here’s what the findings mean for leaders in the Defense Industrial Base.
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The latest State of SMB Cybersecurity in 2025 report from ConnectWise and Vanson Bourne surveyed 700 SMB IT and business leaders across North America, the UK, Benelux, Australia, and New Zealand.
The results confirm what many in the Defense Industrial Base (DIB) has already been feeling: cybersecurity is now the top business priority.
The market is shifting.
The study found that 57% of SMB leaders now view cybersecurity as their number one business priority above growth, customer acquisition, and efficiency. It’s now not just for protecting intellectual property but required to enable DoD revenue moving forward.
That’s a dramatic shift from even a few years ago, when many companies treated security as a back-office IT function. The rise in ransomware, supply chain attacks, and regulatory pressure is forcing executives to put security at the center of business strategy.
For defense contractors, this trend validates what DoD has already been signaling. If the broader SMB community is reshaping priorities around security, it underscores just how essential it is for the DIB, where data and systems directly impact national security.
Budgets are already moving.
The study also found that 58% of SMBs exceeded their planned cybersecurity budgets in 2024. That means companies are having to allocate serious resources to cybersecurity. This overrun shows how many organizations underestimated the threat landscape, then adjust to catch up as new risks appeared.
Defense contractors often face tighter margins and stricter oversight. But this budget trend is a reminder that waiting to invest in security almost costs more in the long run.
Trust in providers is low.
Perhaps the most sobering statistic is that 73% of SMBs are not fully confident in their current MSP’s ability to defend them against an attack.
That’s a striking lack of trust in the very partners businesses rely on for security.
It also signals a major gap in the market and a risk for any organization that outsources security without vetting their provider’s capabilities.
While many DIB companies already partner with MSPs or MSSPs, this shows the importance of choosing providers who can demonstrate compliance and credibility.
In the defense supply chain, the cost of misplaced trust could be a lost contract or a compromised mission. Summit 7 is the trusted partner for DoD contractors for cybersecurity, compliance, and managed services, with the largest team of certified experts in the Defense Industrial Base (DIB).
AI is the next frontier and the next weak spot.
The report shows that 83% of SMBs believe AI has increased their exposure to cyber threats. Whether it’s deepfake-driven phishing, automated vulnerability scanning, or data manipulation, SMB leaders recognize that AI is a double-edged sword.
Yet only 51% of companies have policies in place to address AI risks. That leaves nearly half operating without clear guidance on how to protect themselves in a new threat environment.
Defense contractors are no strangers to adversaries using advanced tactics. The gap between recognizing AI risks and having policies to address them is a warning sign. In environments where Controlled Unclassified Information (CUI) is at stake, policy and governance can’t afford to lag behind the technology curve.
Making the case for more resources
For IT leaders in the DIB, this report is a powerful tool to bring to the executive table. It proves that cybersecurity investment is the direction the entire SMB market is headed.
When combined with 48 CFR updates and CMMC enforcement, the case is clear:
- Cybersecurity is now a business priority.
- Investment must match the level of risk.
- Contractors who act now will be ahead of the curve, not scrambling when requirements become enforced.
The value of this study is in using the data to strengthen your conversations with leadership. For many IT leaders, the biggest hurdle is getting executives to fully commit.
That’s why we put together this article: How to Get Leadership Buy-In for CMMC Today.
The next logical question leadership will ask is “How quickly can we actually get this done?” That’s where you can point them to Get CMMC Compliant ASAP. It explains how organizations can accelerate compliance timelines without cutting corners.
Then they’ll likely want to know how much CMMC will cost. That’s when you can communicate this information to them:
If you’re ready to speak with one of our team members, fill out the form below and we’ll get with you ASAP.
