Build or Buy? The True Cost of Cyber Security for Modern Firms
A CFO's Perspective
Tom Davies, CFO at CyberLab, explores the big question: Should you build an in-house security team or outsource to an MSSP?
In today’s threat landscape, cyber security is not optional – it’s essential.
But when businesses face the challenge of securing their digital assets, a fundamental question arises: should they build an in-house security function or buy external cyber security services from a Managed Security Services Provider (MSSP)?
This was the focus of our recent webinar, “Build or Buy? The True Cost of Cyber Security,” where our experts broke down the real-world implications of each approach. Featuring CyberLab experts: Tom Davies (CFO), Ben Davison (Managed Services Team Leader) and Ryan Bradbury (CTO).
The Rising Cost of Cyber Security
Cyber threats are evolving, and so are the costs associated with defending against them. Ransomware attacks, data breaches, and compliance fines are just a few of the financial risks businesses face today. However, cyber security investment goes beyond just risk mitigation – it plays a critical role in brand reputation, customer trust, and operational resilience.
There’s No One-Size-Fits-All Approach to Cyber Security
When it comes to cyber security, there’s no universal solution suitable for every organisation. Factors such as company size, budget constraints, and specific security requirements play pivotal roles in determining the most appropriate approach.
While some organisations may benefit from building robust in-house security teams, others might find that partnering with external providers aligns better with their operational needs and resources.
The Case for Building an In-House Cyber Security Team
For larger enterprises with complex, bespoke security needs, establishing an in-house cyber security team can offer greater control and customisation. These organisations often have the resources to invest in specialised personnel and infrastructure, enabling them to tailor security measures closely aligned with their unique operational frameworks and compliance obligations.
However, there are challenges:
- High upfront costs
Recruiting, training, and retaining skilled cyber security professionals can be expensive, especially given the ongoing talent shortage. - Technology investment
An in-house team requires significant spending on security tools, infrastructure, and continuous upgrades. - Scalability issues
As cyber threats evolve, so do security requirements. Scaling an in-house team requires constant investment in both personnel and technology.
The Case for Outsourcing a Managed Security Service Provider
For organisations that do not have highly specialised security requirements or the budget to build and maintain an extensive in-house team, partnering with a Managed Security Service Provider (MSSP) can be a practical and efficient solution.
MSSPs offer access to expert security services and technologies on a scalable basis, allowing organisations to maintain robust security postures without the overhead of developing these capabilities internally.
Benefits include…
- Expertise on demand
External providers have dedicated security experts who stay ahead of emerging threats and compliance changes. - Cost efficiency
Rather than investing heavily in building an in-house team, businesses can leverage established security frameworks and technologies. - 24/7 monitoring
Cyber security threats don’t adhere to office hours. External services offer round-the-clock threat detection and incident response. - Regulatory compliance
Many industries have strict security regulations. Outsourced security providers ensure compliance without burdening internal teams.
“CyberLab’s managed services have been a game-changer for us. They’ve allowed me to focus on the bigger picture while knowing our operations are secure around the clock. Their proactive approach and tailored solutions have provided us with the peace of mind to continue delivering excellence to our customers.”
– Matt Cooper, IT Manager, Futaba Manufacturing UK
Cost Breakdown: In-House vs. MSSP
Understanding the financial implications of each approach is key to making an informed decision. Here’s a general cost comparison:
In-House Security Team Costs
- Salaries
Cyber security professionals command high salaries, with CISOs often exceeding six figures. - Training & Certifications
Ongoing education is required to stay ahead of evolving threats. - Technology Investment
Businesses need to purchase and maintain SIEM solutions, firewalls, endpoint protection, and more. - Incident Response & Recovery
A breach could mean expensive forensic investigations and legal fees.
In-House Security Team Costs
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- Subscription-Based Pricing
Typically a fixed monthly or annual cost, reducing unpredictable expenses. - Access to Experts
Avoids the overhead of hiring and training an internal team. - Scalability
Easily scales with business needs, without requiring major new investments.
While building an in-house team may seem attractive for control and customisation, the costs can add up quickly. An MSSP offers predictable pricing and access to a broad range of expertise without the financial burden of hiring and retaining staff.
- Subscription-Based Pricing
Key Considerations Before Making a Decision
Before deciding whether to build or buy cyber security, businesses should consider the following factors:
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- Company Size & Resources
Large enterprises may have the budget for an in-house team, while SMEs may benefit more from outsourcing. - Industry Regulations
Some sectors, like finance and healthcare, have strict compliance requirements that may influence the decision. - Risk Tolerance
Businesses that handle sensitive data may require more hands-on security measures. - Existing IT Capabilities
If a company already has a strong IT team, augmenting with external services might be the best hybrid approach. - Response Speed
In-house teams may provide faster internal responses, while MSSPs offer 24/7 monitoring and incident response.
- Company Size & Resources
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The Hybrid Approach: A Strategic Middle Ground
For many organisations, the best solution isn’t a binary choice – it’s a hybrid approach.
Businesses can maintain internal oversight of critical security operations while leveraging external expertise for specialised tasks such as threat intelligence, incident response, and compliance audits. This model balances control, cost, and effectiveness.
Making the Right Decision for Your Business
Ultimately, the decision to build or buy cyber security depends on various factors, including budget, industry regulations, and internal expertise. However, as cyber threats continue to escalate, businesses must act decisively to ensure they are adequately protected.
At CyberLab, we help businesses navigate this decision by offering tailored security solutions that align with their unique risk profiles. If you’re considering your next steps in cyber security investment, get in touch with our team to explore the best approach for your organisation.
Free Posture Assessment
Understand your security risks and how to fix them.
Take the first step to improving your cyber security posture, looking at ten key areas you and your organisation should focus on, backed by NCSC guidance.
Claim your free 30-minute guided posture assessment with a CyberLab expert.
Five Significant Savings with Synchronised Security for All Teams
How Sophos Central Cuts Costs While Strengthening Cyber Defence
With Sophos continuing to phase out legacy on-premise platforms in favour of next-generation cloud-managed solutions, now is the perfect time to revisit the benefits of Synchronised Security – and how it can deliver measurable savings across your organisation.
What is Synchronised Security?
Synchronised Security is Sophos’ integrated cyber security ecosystem. It connects endpoint, firewall, mobile, email, Wi-Fi, and encryption products through Sophos Central, a cloud-native platform that enables real-time data sharing and automated incident response. [sophos.com]
This system:
- Automatically isolates compromised endpoints
- Shares telemetry across products to detect lateral movement
- Restricts access for non-compliant devices
- Provides unified visibility and control from a single dashboard
Top 5 Savings in 2025
1. Reduced IT Security Headcount
Sophos Central’s automation and AI-native threat response mean that 95% of incidents are resolved without human intervention. This allows teams to focus on strategic remediation, reducing the need for large security teams.
2. Time Saved on Admin Tasks
Sophos Central consolidates data across all security products, reducing the time spent on manual updates and investigations. Sophos reports a 50% reduction in time and effort spent by IT teams on day-to-day security operations.
3. Faster Incident Identification
Thanks to synchronised telemetry and automated scanning, the time to identify threats has dropped by 90%, enabling faster containment and reduced exposure.
4. Fewer Security Incidents
Sophos customers report an 85% reduction in the number of incidents requiring investigation, thanks to proactive threat detection and cross-product intelligence.
5. Minimised Downtime
Devices under investigation remain online and protected, thanks to endpoint isolation and continuous updates – even during containment. This avoids the productivity loss associated with manual quarantining.
2025 Enhancements Worth Noting
- Sophos MDR Bundles for MSPs now include extended data retention, network detection, and Microsoft 365 response actions.
- Firewall + Endpoint Integration Offers provide free trials and discounts for new customers.
- Command-line controls allow fine-tuning of synchronised security behaviour for advanced users.
Don’t Compromise on Security
Whether you’re migrating from legacy Sophos products or looking to reduce IT costs without sacrificing protection, Synchronised Security offers a future-proof solution. Flexible licensing options – including monthly billing – help preserve cash flow while scaling your defences.
Free Posture Assessment
Understand your security risks and how to fix them.
Take the first step to improving your cyber security posture, looking at ten key areas you and your organisation should focus on, backed by NCSC guidance.
Claim your free 30-minute guided posture assessment with a CyberLab expert.
The Cost of Cyber Security: The CFO's Handbook to Cyber Security Costs
The CFO's Handbook
Tom Davies, CFO at CyberLab, explains why investing in cyber security should be a key priority for CFOs and Finance Directors.
He covers:
- Investing in cyber security to protect your business
- Optimising cyber security budgets
- Cyber security support
Failing to Invest in Cyber Security: A Key Risk to Your Business Survival
Cyber criminals are constantly scanning the internet for vulnerable targets and businesses are often lucrative targets for cyber criminals.
The UK Gov Cyber Breaches Survey for 2024 found that half of businesses (50%) have experienced some form of cyber security breach or attack in the last 12 months. This is much higher for medium sized businesses (70%) and large businesses (74%).
75% of domains identified breaches with Dark Web Monitor
Source: HackRisk, 2025
Failing to invest adequately in cyber security can lead to a breach that jeopardises the survival of your business.
The Cost of Downtime
The average downtime caused by ransomware attacks has risen dramatically, indicates the number of UK victims appearing on ransomware data leak sites doubling since 2022.
Organisations face on average 26 days of downtime following a ransomware attack. Could your organisation afford such a significant disruption?
Optimising Cyber Security Budgets: Balancing Flexibility and Long-Term Savings
Multiyear Licensing vs. Monthly Subscriptions
When planning your cyber security investment, choosing the right funding model is essential, especially when considering your organisation’s cash flow dynamics.
For enterprise-level organisations, multiyear licensing agreements often present a cost-saving opportunity. These agreements typically come with significant discounts, offering a more budget-friendly option over the long term. However, they require an upfront payment, which may strain cash flows depending on your financial situation.
Alternatively, organisations aiming to maintain greater flexibility and preserve cash flow can explore monthly subscription models. While these plans provide a more manageable month-to-month payment structure, they generally come at a higher total cost over the full duration of the agreement.
In-House vs. Outsourced Cyber Security
For enterprise-level organisations, building and maintaining an in-house cyber security team can be a cost-viable option. However, many organisations are struggling to attract and retain the specialised talent required to support such teams effectively. The ongoing global skills shortage in cyber security makes it increasingly difficult to recruit qualified professionals, often leading to overstretched teams and heightened vulnerabilities.
Retaining high-quality talent is critical. Without a well-staffed and adequately trained team, the risk of missing red flags grows significantly.
Outsourced Cyber Security: A Scalable Solution
Ultimately, the choice between in-house and outsourced cyber security comes down to organisational needs, size, and resources. Enterprise-level businesses with larger budgets and established IT infrastructures may benefit from in-house teams, provided they can recruit and retain the necessary talent.
For other organisations, outsourcing provides a cost-effective, scalable, and reliable way to ensure comprehensive cyber protection.
Outsourcing allows organisations to:
- Access top-tier cyber security expertise without the challenges of recruitment and retention.
- Ensure round-the-clock coverage that would otherwise require significant investment in staff and resources.
- Scale protection to meet evolving threats, leveraging advanced tools and technologies provided by managed service providers.
CyberLab Control Services
Simple, secure, reliable managed security services designed to protect your organisation. Get help when you need it most and improve your cyber security posture.
We provide that extra layer to supplement your existing operation and complement vendor support, an easy way to outsource and address the complex, specialised issues. Select the level of service to suit your needs and budget. Our experts, contactable by both phone and email, can detect the problem, protect your organisation, and support your team.
7.3% average compromise rate with Phishing Simulator
Source: HackRisk, 2025
The Financial Cost
As of 2024, the average cost for each data breach in the United Kingdom was £4.4 million, with the annual predicted cost of overall cyber crime in the UK for 2025 soaring to £524 billion.
Data breaches can result in hefty fines from regulatory bodies such as the Information Commissioner’s Office (ICO) and these fines can reach up to £17.5 million or 4% of your annual turnover, whichever is higher.
Beyond fines, organisations face escalating costs for investigation, remediation, and rebuilding their IT infrastructure. Add to this the growing expense of cyber insurance premiums, and it becomes clear how financially draining an incident can be.
The Reputational Cost
The costs of a cyber incident extend beyond immediate financial losses. Long-term brand damage is another critical consideration. According to the Cisco 2022 Consumer Privacy Survey, 76% of consumers stated they would not purchase from a company they do not trust with their data.
The erosion of trust not only results in lost customers but can also damage relationships with business partners and stakeholders. Rebuilding this trust and regaining market confidence can take years, costing your organisation not just money but growth opportunities.
Cyber Insurance Explained
Cyber risk is an evolving threat that requires proactive management, and this episode explores the complexities of cyber insurance, how it protects organisations, and the costs associated with cyber incidents.
Free Posture Assessment
Understand your security risks and how to fix them.
Take the first step to improving your cyber security posture, looking at ten key areas you and your organisation should focus on, backed by NCSC guidance.
Claim your free 30-minute guided posture assessment with a CyberLab expert.
Important Contracting Company Update: Legal Entity Name Change
Changes to your Contracting Company
We’re making changes to your contracting company.
This transition is part of our ongoing commitment to making life easier for our customers and our people, and reflects our values of simplicity, quality, and passion.
What is changing?
From 2 January 2026, if your contracting company is currently Armadillo Sec Limited or Cyberlab Consulting Limited, this will change. From this date, all quotes will be issued from Chess Cybersecurity Limited (company number 02962709).
On the 1 July 2026, Chess Cybersecurity Limited will change its name to CyberLab Security Limited.
These changes will not affect our standard terms and conditions, pricing, or the level of service you receive.
What do you need to do?
You will need to onboard Chess Cybersecurity as a supplier, with the bank details listed above. If you already have Chess Cybersecurity onboarded as a supplier, no further action is required.
Our team is here to support you with any questions or additional fraud checks you may require.
You can contact your Sales Account Manager, or reach our Finance Team on 0333 050 8120 (Option 3) or at [email protected].