Kolkata, 29 September 2026: East India’s SMEs are demonstrating strong operational cybersecurity maturity, with businesses placing greater emphasis on continuous visibility and structured security practices, according to the latest SME Digital Insights 2026: Cybersecurity study 2026: Cybersecurity study by Tata Tele Business Services (TTBS) and CyberMedia Research (CMR). 41% of East Indian SMEs review their cybersecurity continuously, significantly higher than the 12% national figure while 35% of SMEs in the region plan to grow their IT spend this calendar year. Nationally, 84% of SMEs plan to increase cybersecurity investments over the next 12–24 months, reflecting a growing recognition that cybersecurity has evolved from an IT function into a strategic business priority.
East India’s progress stands out for its operational depth rather than investment scale alone. 38% of East Indian SMEs plan to further strengthen their monitoring capabilities over the coming year, while 28% already allocate 6-10% of their IT budget to cybersecurity. Together, these figures point to a region that has moved decisively from periodic reviews toward structured, sustained security operations.
Speaking on the findings, Aditya Kinra, Vice President, Tata Teleservices, said, “East India’s SMEs are demonstrating how cybersecurity can become an integral part of everyday business operations. What stands out in the findings is the strong emphasis on visibility, with 41% of SMEs reviewing their cybersecurity continuously. This reflects a growing understanding that as businesses become more digital, staying aware of what is happening across the technology environment is essential to building resilience. The fact that 38% of SMEs also plan to scale their security controls over the next one year shows that this momentum is set to continue.
At TTBS, we see a significant opportunity to build on this foundation by helping SMEs strengthen continuous monitoring, simplify security management and access the expertise they need as their digital environments evolve. Together with CyberMedia Research, these insights give us a clearer understanding of the region’s priorities and how we can support East India’s SMEs in their next phase of secure digital growth.”
According to Prabhu Ram, Vice President – Industry Research Group (IRG), CyberMedia Research (CMR), “Our study findings highlight a clear inflection point in the cybersecurity journey of Indian SMEs. While investment intent is rising sharply, cyber maturity remains uneven, with just 12% of SMEs continuously monitoring their cybersecurity environments. Many are still relying on fragmented security deployments, periodic reviews, and reactive remediation, even as the threat environment becomes more persistent and sophisticated. This gap between intent and preparedness is the defining challenge for Indian SMEs today. At CyberMedia Research (CMR), our analysis suggests that SME cyber resilience will increasingly depend on integrated, continuously managed approaches — a shift already visible among the more mature enterprises in our sample.”
The study also found that while 46% of SMEs overall allocate less than 5% of their IT budgets towards cybersecurity, the higher allocation among very-high-intent SMEs indicates a stronger correlation between investment intent and established cybersecurity foundations. This suggests that future cybersecurity investment is increasingly being driven by efforts to strengthen an existing security foundation, rather than responding only to immediate security gaps.
Against this backdrop, the study also highlights the emerging role of AI in strengthening cybersecurity, with 35% of SMEs recognising AI as a cybersecurity enabler that can accelerate threat detection, automate routine monitoring and strengthen cyber resilience. At the same time, 34% expect AI-powered cyber threats to materially impact their business over the next 12–24 month. These findings underscore the opportunity for SMEs to harness AI alongside continuously managed cybersecurity capabilities to strengthen resilience and stay ahead of evolving threats.
Key Findings from the SME Digital Insights Study
Cybersecurity Investment Signals Strong Growth Opportunity
• 84% of Indian SMEs plan to increase cybersecurity investments over the next 12–24 months, reflecting growing recognition that cybersecurity is now a strategic business priority.
• Medium-sized enterprises are leading this trend, with 89% planning to increase investments.
• However, 46% of SMEs continue to allocate less than 5% of their IT budgets towards cybersecurity, indicating significant headroom for strengthening cyber resilience.
SMEs are prioritising trusted, specialist cybersecurity partnerships
• 48% of SMEs value ease of integration and quality customer support when evaluating cybersecurity partners.
• 46% prioritise trust and long-term relationships.
• 45% value strong security and compliance capabilities.
Cybersecurity Preparedness evolves as SMEs strengthens their defences
• 40% of SMEs have experienced a cyber incident in the last 24 months.
• Only 28% implemented structural cybersecurity improvements following the incident.
• 60% responded by making tactical security tool upgrades rather than strengthening their overall security posture.
• 35% operate multiple cybersecurity tools with limited visibility into risks.
AI is Emerging as a Cybersecurity Enabler
• 35% of SMEs recognise AI’s potential to strengthen cyber resilience through intelligent threat detection, automated monitoring and faster incident response.
• 34% expect AI-powered cyber threats to materially impact their business over the next 12–24 months.
About the SME Digital Insights
The CMR SME Digital Insights Study 2026: Cybersecurity is based on a primary enterprise survey, conducted across eight cities of India, including Delhi, Mumbai, Kolkata, Bengaluru, Chennai, Hyderabad, Ahmedabad, Pune. The study is based on a sample consisting of 800 IT Heads / Decision Makers of organization spread over 150 Micro, 350 Small and 300 Medium enterprises.
