Logpoint has revealed the findings from its European Cybersecurity Sector 2024 report which shows a major swing towards outsourcing cybersecurity operations over the next two years due to a growing skills shortage.
The research was conducted by B2B International of 1,762 senior decision makers and influencers in leadership, technology and security roles across Europe in 2024.
It found that while 48 percent manage their security operations inhouse versus 52 percent who use a third party, more than a quarter of UK businesses intend to outsource over the course of the next two years.
Many European markets are experiencing a swing in favour of outsourcing that will see the practice become equal to or outstrip inhouse provision.
Key reasons given for the switch include the ability to benefit from external skills and knowledge, cost efficiencies linked to clear and predictable pricing, and effective security management which is likely to see a spur in demand for MSSPs (Managed Security Service Providers).
While outsourcing is becoming popular, keeping security inhouse is also increasing as companies can use internal skills and knowledge to reduce costs.
This, however, could well change as organisations struggle to recruit the necessary expertise due to the skills shortage, particularly in the UK which has the widest workforce gap in Europe: its workforce has shrunk 4.9 percent due to layoffs and economic stagnancy.
Organisations are increasingly relying upon an MSSP to prove compliance or to satisfy the requirements of a cyber insurance provider.
Interestingly, almost a third said they outsource security management to a third party to shift accountability.
“The burden of regulatory compliance coupled with the onus being placed on individual members of the board and senior management is driving demand for MSSP services,” said Innes Muir, Regional Manager, MSSPs, UK, EIRE and RoW, at Logpoint.
“Using a third party can provide the organisation with access to the latest technology and skilled experts but also enables them to prove compliance through tailored solutions that can meet the requirements of specific regulations such as GDPR and NIS2.”
