AI has reshaped the cybersecurity landscape — and not always for the better. Tools once reserved for elite attackers are now packaged in easy-to-use kits, powered by artificial intelligence and sold to the highest bidder. From low-skill opportunists to seasoned cybercriminals, virtually anyone can launch complex, coordinated attacks with minimal effort.

At the same time, enterprise IT environments have become sprawling and fragmented. Cloud platforms, SaaS applications, hybrid workforces, and decentralised data access have all contributed to a dramatic uptick in both the size of the attack surface and the complexity of securing it.

The upshot? Businesses can no longer rely on prevention alone. There’s a growing shift from cyber protection to cyber resilience — a mindset that prioritises business continuity and rapid recovery just as much as defence. When a data breach occurs — and today, it’s a matter of when, not if — companies need to be prepared to limit damage, recover quickly, and continue operating.

The Real Cost of Going It Alone

For many mid-sized businesses, building an in-house Security Operations Centre (SOC) seems like the logical choice — a dedicated command centre for all things cyber services. But the reality is far more sobering.

A functioning SOC requires significant investment across multiple layers. There’s the infrastructure itself: security information and event management (SIEM) tools, centralised logging, cyber threat intelligence feeds, and continuous tuning to your environment. Then there’s the human capital — hiring, training, and retaining skilled analysts to monitor, investigate, and respond to alerts around the clock.

Estimates suggest it can cost upwards of $2 million annually to run even a modest SOC¹. And that figure can easily climb higher once you factor in turnover, recruitment, upskilling, and ongoing platform licensing. Even with this significant investment, many in-house teams struggle to achieve full visibility or maintain 24/7 coverage. Staff burnout is a common issue, as is the overwhelming flood of false positives generated by poorly configured detection tools.

In fact, IBM reports that up to 63% of an SOC analyst’s time is spent chasing false positives or low priority threats², which is an alarming drain on time, productivity, and morale. The fatigue caused by constant low-value alerts also increases the risk of a genuine breach slipping through undetected.

For most businesses operating outside the enterprise tier, the cost-benefit equation of an in-house SOC simply doesn’t make sense, especially when there are more efficient alternatives available.

External Pressure Is Building

Cost isn’t the only concern. The pressure to implement effective cybersecurity controls is no longer coming solely from within the IT department. Increasingly, organisations are facing scrutiny from regulators, insurers, and customers alike.

In Australia, regulatory frameworks like APRA CPS 234 and associated guidance require businesses in the financial sector to demonstrate maturity in their threat detection and response capabilities, including active monitoring and incident response readiness.

Meanwhile, the Australian Cyber Security Centre’s Essential Eight framework lays out foundational recommendations for system hardening and breach mitigation. Centralised log collection, endpoint protection, and timely response are no longer optional — they’re core components of a compliant cybersecurity posture.

Cyber insurance providers are also becoming more stringent. Coverage limits, premiums, and claim approvals are now tied directly to an organisation’s ability to detect and respond to cyber threats in real time. Insurers are increasingly asking about tools like Endpoint Detection and Response (EDR), Extended Detection and Response (XDR), and Zero Trust security frameworks.

If your business can’t demonstrate operational maturity, your exposure isn’t just technical — it’s financial and reputational too.

Can AI Fill the Gap?

The rise of AI-powered threat detection has transformed the cybersecurity conversation. Tools now offer automated alert triage, behaviour-based analytics, and smart correlation across networks and endpoints. These technologies are at the core of what’s being called the Agentic SOC — a next-gen security model that integrates AI-driven agents into core detection and response functions.

But while these innovations are powerful, they don’t eliminate the need for human expertise. AI can help identify suspicious patterns, but it can’t make sense of organisational context or weigh the risks of various response actions. It doesn’t replace threat hunting, and it won’t deliver nuanced remediation strategies during a breach.

Even with the latest tech stack, businesses still need skilled professionals to interpret alerts, conduct investigations, and coordinate response actions. That means internal resourcing remains a limiting factor, and AI, while helpful, can’t do the heavy lifting alone.

Why MDR Is a Better Path Forward

This is where Managed Detection and Response (MDR) services offer a smarter, more sustainable path. MDR blends technology, people, and process into a comprehensive, always-on security solution. It provides 24/7 security monitoring, real-time threat detection, incident response support, and access to experienced cybersecurity analysts — all without the capital overhead of running an internal SOC.

Unlike some managed cybersecurity services that simply generate alerts, a high-quality MDR provider will correlate sensitive data from across your infrastructure, apply cyber threat intelligence from multiple sources, and alert you only when there’s a verified threat. In many cases, they’ll also take immediate action to contain the threat before it causes disruption. Gartner estimates that MDR services have an average response time of 3 hours, compared to 36 hours for in-house security teams³.

That means your internal IT or security team can stay focused on high-value business initiatives, while still maintaining a strong security posture aligned with compliance and insurance expectations. With a partner like Vocus Managed Detection and Response, you gain more than a service — you gain a cyber risk management partner committed to resilience, speed, and transparency.

Not All MDR Services Are Built the Same

It’s worth emphasising that not all MDR services are created equal. Some are limited to automated alerting or log monitoring, while others provide a more hands-on, proactive cybersecurity approach, including active response, in-depth investigations, and tailored security analytics.

Typically, organisations will choose between:

• Fully outsourced MDR, where the provider assumes complete responsibility for cyber threat monitoring and response. This is ideal for organisations without internal resources to maintain a managed SOC or handle high-severity incidents.
• Augmented MDR, where internal teams work alongside the MDR partner. This model suits companies that already have some in-house capabilities but want to enhance their coverage with expert input or after-hours monitoring.

Whichever path you choose, the most important factors are alignment, clarity, and flexibility. Your MDR provider should offer scalable engagement models, local support where needed, and a deep understanding of your sector’s risk profile.

MDR Success Depends on Preparation

Even the best MDR services won’t succeed without internal buy-in and structure. That’s why preparation is critical.

Before engaging with an MDR provider, your business should have a cyber incident response plan that clearly outlines roles, responsibilities, escalation procedures, and communication flows. It’s also important to understand how evidence will be captured, reported, and shared — especially in the event of a regulatory investigation or insurance claim.

By formalising these elements and integrating your provider into them, MDR becomes a strategic advantage. It empowers you to maintain operational continuity, respond quickly to incidents, and recover with confidence — even in the face of advanced persistent threats.

Stay Resilient, Not Reactive

The threat landscape is evolving. Attackers are faster, smarter, and more automated than ever — and they’re targeting businesses of every size and industry.

Trying to keep pace with internal resources alone is no longer practical. The cost of an in-house SOC, combined with talent shortages and increasing compliance demands, makes it harder than ever to defend effectively on your own.

Managed Detection and Response provides a more efficient and reliable alternative. It shifts your security from reactive to resilient, while freeing up your internal teams to focus on what they do best.