SMBs are embracing developments in expertise to realize extra with a leaner workers, allow distant work, automate guide processes, and scale back errors. When applied thoughtfully, expertise may also help smaller companies higher compete with their enterprise counterparts, save on rising labor prices, and generate a strong ROI.
IDC’s information clearly illustrates this pattern. In keeping with IDC’s Worldwide Small and Medium Enterprise Survey (February 2025), 81.8% of all SMBs will enhance their tech budgets over the subsequent 12 months. Moreover, a smaller share of SMBs plan to chop expertise spending this 12 months (1.7%, in comparison with 4% in 2024 and eight% in 2023), reflecting SMBs’ rising confidence in applied sciences like AI/automation as extra use instances emerge. It additionally highlights the efforts of distributors providing extra SMB-specific applied sciences and bundles which might be inexpensive and straightforward to deploy and handle. Straightforward set up, upkeep, and use are paramount for small and medium companies, as 36% of SMBs shouldn’t have any full-time, in-house IT staff. A big 85.5% of small companies (these with 1-99 staff) with a full-time IT worker solely have one, in comparison with 40.9% final 12 months.
A prime expertise space experiencing vital funding development amongst SMBs is AI. Certainly, 47.5% of all SMBs say that conventional AI is a prime funding precedence for them within the subsequent 12 months-a greater than 12 share level enhance from 35.1% a 12 months earlier. Moreover, 45% checklist GenAI as a prime precedence, in comparison with 32.8% a 12 months earlier. SMBs are additionally investing steadily in cellular employee help, a pattern that has continued for the reason that pandemic-era transformation of workplace tradition. In 2025, 52.8% of small companies report prioritizing investments in communications by means of video collaboration or video conferencing, versus 43.7% final 12 months. Small companies are in search of to improve to the newest video and collaboration instruments that increase safety and incorporate new applied sciences, resembling AI, to boost effectivity. Many SMBs wish to enable their staff to work remotely, as they usually can’t afford to pay as a lot as bigger organizations. Consequently, they’re growing artistic methods to retain prime staff by providing versatile working hours and the flexibility to work remotely or in a hybrid method.
Nevertheless, IDC’s information strongly illustrates that SMBs are taking a security-first strategy to expertise investments. Earlier than investing in a brand new system or resolution, they guarantee it’s safe. As SMBs have few, if any, IT staff to handle cybersecurity threats, they rely upon expertise suppliers to implement strong safety measures. Growing safety is each a prime funding precedence and a prime problem for SMBs; 51.3% of SMBs mentioned that rising safety is a prime funding precedence for them within the coming 12 months. Concurrently, 46.4% checklist implementing new expertise securely as a prime problem to reaching their enterprise priorities-the primary response from an inventory of ten totally different choices.
There are a number of contributors to this intense give attention to safety. One is the shift to the cloud from on-premises options. Whereas the cloud provides nice advantages, resembling accessibility from anyplace, pay-as-you-go pricing, and limitless storage capability, it additionally signifies that SMBs’ distant or hybrid employees are accessing business-critical networks from private units utilizing public Wi-Fi-think eating places, espresso retailers, airports, and extra. One other shift is the rise in AI investments. AI depends on a steady stream of knowledge to perform. SMBs are demanding readability on the supply of the information used to coach massive language fashions. Is it the seller’s information, the SMB’s information, or artificial information? How is that information getting used, and what protocols are in place to make sure safety? Many SMBs are simply starting to construct model consciousness, client belief, and income. A knowledge breach that tarnishes their picture may very well be catastrophic.
With nice technological developments come nice tasks. Whereas expertise is quickly evolving to assist SMBs sustain with their swift tempo of development, automate processes, allow distant work, and extra, its main position is to be safe.
Message from the Sponsor
SMBs want larger safety within the AI period. By embedding safety into our complete portfolio, Cisco helps SMB clients give attention to operating and rising their enterprise as a substitute of accelerating the scale of their IT workforce. Accomplice with Cisco to grab the chance within the SMB section and shield clients with safety and networking merchandise.
Leverage Cisco’s SMB safety content material at this time to drive larger buyer demand
We’d love to listen to what you assume. Ask a Query, Remark Under, and Keep Related with #CiscoPartners on social!
Cisco Companions Fb | @CiscoPartners X/Twitter | Cisco Companions LinkedIn
Share:
