SMBs are embracing developments in know-how to realize extra with a leaner workers, allow distant work, automate handbook processes, and cut back errors. When carried out thoughtfully, know-how will help smaller companies higher compete with their enterprise counterparts, save on growing labor prices, and generate a sturdy ROI.
IDC’s information clearly illustrates this development. In accordance 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 know-how 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 circumstances emerge. It additionally highlights the efforts of distributors providing extra SMB-specific applied sciences and bundles which might be reasonably priced and simple to deploy and handle. Straightforward set up, upkeep, and use are paramount for small and medium companies, as 36% of SMBs wouldn’t have any full-time, in-house IT staff. A major 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 know-how space experiencing important 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% record GenAI as a prime precedence, in comparison with 32.8% a 12 months earlier. SMBs are additionally investing steadily in cell employee help, a development 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 via 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 enhance safety and incorporate new applied sciences, comparable to 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 power to work remotely or in a hybrid method.
Nonetheless, IDC’s information strongly illustrates that SMBs are taking a security-first strategy to know-how 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 on know-how 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 growing safety is a prime funding precedence for them within the coming 12 months. Concurrently, 46.4% record implementing new know-how securely as a prime problem to reaching their enterprise priorities – the primary response from an inventory of ten completely 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 affords nice advantages, comparable to accessibility from wherever, pay-as-you-go pricing, and limitless storage capability, it additionally implies that SMBs’ distant or hybrid employees are accessing business-critical networks from private gadgets utilizing public Wi-Fi – assume eating places, espresso retailers, airports, and extra. One other shift is the rise in AI investments. AI depends on a steady circulate of knowledge to operate. 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, shopper belief, and income. An information breach that tarnishes their picture may very well be catastrophic.
With nice technological developments come nice obligations. Whereas know-how is quickly evolving to assist SMBs sustain with their swift tempo of development, automate processes, allow distant work, and extra, its major position is to be safe.
Message from the Sponsor
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