SINGAPORE–(BUSINESS WIRE)–Datto Holding Corp. (“Datto”) (NYSE: MSP), the leading global provider of security and cloud-based software solutions purpose-built for managed service providers (MSPs), today announced the findings of a special commissioned report by Datto and titled ASEAN MSPs are key to protecting customer data. Conducted by global technology analyst firm Canalys, the study highlights that MSPs in the ASEAN region are playing an increasingly crucial role in protecting their small and medium-sized business (SME) customers from cyberattacks.
ASEAN is a hotspot for cyberattacks and MSPs
According to the report, nearly 400 million personal data records were compromised in 63 publicly known breaches in the ASEAN region between 2018 and 2020. Indonesia and Singapore had their largest data breaches in 2021 , with 279 million and 5.9 million records leaked due to hackers, respectively. .
With the increase in cloud adoption and digital transformation of SMBs, the demand for MSP continues to accelerate. The number of IT vendors with managed services revenue is growing, with approximately 14,400 partners in Indonesia, Singapore, Malaysia and the Philippines. MSP revenue growth increased 9% in 2021, reported at US$4.21 billion.
The report identified five key trends that MSPs need to understand to continue this growth, all of which require continuous improvement in cybersecurity standards and resilience by both MSPs and their customers.
- A growing number of cyberattacks are targeting MSPs due to their often disparate platforms and tools, as well as a wide range of customers. A growing cause for concern, when asked what internal measures they are taking in response to recent supply chain attacks, 55% of ASEAN MSPs are implementing and investing more in cybersecurity.
- The legal and financial consequences of failing to uphold cybersecurity, privacy and data sovereignty are intensifying. The report found that SMBs expect their MSPs to be compliant, and investing in backup and disaster recovery solutions can help with that. MSPs must actively educate customers on these developments while adopting the right cybersecurity solutions and ensuring that legal needs are met and standards are improved.
- Amid supply chain attacks, customers are pushing suppliers and partners for greater cybersecurity compliance. With increasing cybersecurity threats in the ASEAN region, customers are increasingly relying on trusted vendors, and some of their requirements are automatically met when vendors or business partners hold recognized certifications. by industry, such as ISO/IEC 27001 for information security management.
- Cybersecurity insurance better protects businesses that are cybersecurity prepared. Underwriters typically require customers to demonstrate a high level of cybersecurity posture, ensuring minimal losses for MSPs and their customers.
- Lack of internal cybersecurity skills. Not only is there a lack of personnel with the appropriate cybersecurity skills, but human error continues to be a major cause of cybersecurity breaches and incidents. Organizations should reinforce the importance of cybersecurity hygiene and educate employees on the telltale signs of suspicious scams. Governments are doing their part to raise awareness and develop good cyber hygiene habits among their population. Thanks to the strong cybersecurity initiatives of the Singapore government, the county has been ranked 4and in global security through United Nations ITU 2020 Global Cybersecurity Index.
The way forward for MSPs
The report suggests that ASEAN MSPs can continue to show their value and relevance to customers by further developing their cybersecurity and data management skills. These include proactively providing cybersecurity training for employees and customers, investing in the skills of cybersecurity partners to showcase an MSP’s commitment to cybersecurity practices, focus on client-to-client communication and ensure clients are aware of the lines of communication they have access to, audit remote administration tools to uncover potential flaws or weaknesses and develop solutions and end-to-end services in the customer’s region or even country.
“ASEAN offers growth opportunities for MSPs who can differentiate through their service and solution offerings,” said Mark Clayton, vice president, APAC at Datto. “As cyberattacks become more sophisticated, MSPs that build cyber resilience and equip their customers with the best security solutions to protect their data and minimize the cost of downtime will become essential trusted partners for their customers.”
Access the full report here: ASEAN MSPs are key to protecting customer data.
As the world’s leading provider of security and cloud-based software solutions specifically designed for Managed Service Providers (MSPs), Datto believes there is no limit to what small and medium-sized enterprises (SMEs) ) can achieve with the right technology. Datto’s proven unified continuity, networking, and enterprise management solutions drive MSP cyber resilience, efficiency, and growth. Delivered through an integrated platform, Datto’s solutions help its global ecosystem of MSP partners serve more than one million businesses worldwide. From proactive dynamic detection and prevention to fast and flexible recovery from cyber incidents, Datto’s solutions protect against costly downtime and data loss in servers, virtual machines, cloud applications or anywhere resident data. Since its inception in 2007, Datto has won numerous awards for product excellence, superior technical support, rapid growth, and fostering an exceptional workplace. Headquartered in Norwalk, Connecticut, Datto has global offices in Australia, Canada, China, Denmark, Germany, Israel, Netherlands, Singapore and the United Kingdom.