Small and medium enterprises (SMEs) in West India are increasing their spending on cybersecurity, with businesses in the region placing greater emphasis on security monitoring, compliance and specialist technology support, according to the SME Digital Insights 2026: Cybersecurity study by Tata Tele Business Services (TTBS) and CyberMedia Research (CMR). The study found that 56% of West Indian SMEs invest between 6% and 10% of their annual revenue in IT. Among these businesses, 45% allocate between 6% and 10% of their IT budget specifically to cybersecurity.
The research also found that 55% of West Indian SMEs prefer specialist technology providers to manage their cybersecurity requirements. In the next year, 51% plan to strengthen security monitoring, while 45% intend to improve compliance. The findings indicate that businesses are increasing their focus on cybersecurity as their use of digital technologies grows. At the same time, expertise remains a major challenge. Across the study, 45% of SMEs identified lack of expertise as a key barrier to effective cybersecurity implementation.
Mannu Singh, Vice President, Tata Teleservices, said, “West India’s SMEs are demonstrating a strong commitment to building secure, digitally enabled businesses. The findings from our study are particularly encouraging because they show that this commitment is extending beyond technology investment to a growing focus on operational discipline.”
Prabhu Ram, Vice President – Industry Research Group, CyberMedia Research, said the cybersecurity maturity of Indian SMEs remains uneven despite rising investment plans. According to the study, only 12% of SMEs continuously monitor their cybersecurity environments. Many businesses continue to rely on separate security tools, periodic reviews and reactive measures.
The study found that 84% of Indian SMEs plan to increase cybersecurity investments over the next 12–24 months. Among medium-sized enterprises, 89% plan to increase spending. However, 46% of SMEs currently allocate less than 5% of their IT budgets to cybersecurity. The research also found that 40% of SMEs had experienced a cyber incident during the previous 24 months.
Following such incidents, 28% of SMEs made structural cybersecurity improvements, while 60% responded mainly through tactical upgrades to security tools. In addition, 35% of SMEs use multiple cybersecurity tools but have limited visibility into their overall security risks.
The study also examined the role of artificial intelligence in cybersecurity. About 35% of SMEs see AI as a tool that can support threat detection, automated monitoring and incident response. At the same time, 34% expect AI-powered cyber threats to have a significant impact on their businesses over the next 12–24 months. When selecting cybersecurity partners, 48% of SMEs consider ease of integration and customer support important factors. Trust and long-term relationships were prioritised by 46%, while 45% considered security and compliance capabilities important.
The CMR SME Digital Insights Study 2026: Cybersecurity is based on a survey of 800 IT heads and decision-makers across eight Indian cities: Delhi, Mumbai, Kolkata, Bengaluru, Chennai, Hyderabad, Ahmedabad and Pune. The sample included 150 micro, 350 small and 300 medium enterprises.
Tata Teleservices Limited, along with its subsidiaries including Tata Teleservices (Maharashtra) Limited (NSE: TTML, BSE: 532371), is an enterprise-focused telecommunications company. Through its brand Tata Tele Business Services (TTBS), the company offers businesses a range of solutions covering connectivity, collaboration, cloud and SaaS, security and marketing services.
Tata Teleservices operates an extensive wireline network and provides its products and services across more than 60 cities in India. The company has an enterprise-focused team with expertise in technology, sales and customer service, supporting businesses with integrated solutions and dedicated engagement. Tata Teleservices (Maharashtra) Limited is listed on the BSE and NSE in India.
CyberMedia Research (CMR) is a technology research and advisory firm in India, providing market intelligence, strategic consulting and go-to-market support to enterprises, industry organisations and government bodies. With more than three decades of research experience, CMR provides insights across the technology sector through primary research and market analysis. Its services help organisations assess market developments, understand emerging technology trends and make informed business decisions.
