A substantial portion of companies with revenues less RDI (Cont.) than $1 billion appear to be less prepared to handle cyberattacks than their larger counterparts. This is espe- For example, respondents were asked to cially problematic, since the consequences of an attack position, on a scale of 1 to 10, where their are typically more pronounced in this segment. Small security infrastructure fell at the end of 2018, businesses often don’t have the resources needed to with “1” being 100% in-house resources, recover from such a setback and go out of business as a and “10” being 100% cloud based. We then result. Furthermore, as shown in the table below, a sub- asked respondents to again position and stantial percentage of respondents fear that a success- the same scale where their security infra- ful cyberattack against their companies will likely cost structure is expected to fall at the end of them their jobs. 2019. Somewhat prepared to handle a cyberattack In a scenario in which the average of all Afraid that a cyberattack will cost them their job respondents was “7” on the first ques- tion, followed by an average of “8” on the 81% 82% second question, we measured the rate of 79% 76% disruption, accordingly: 66% 69% 61% (8-7)/7 = 0.1429 28% This computes to an RDI of approximately 14 percent, representing the rate at which business leaders expect to transition to a Source: AVANT State of Disruption Report 2019 cloud-based model, and thereby displacing, or disrupting, the on-premises approach to security. To view this a different way, if the According to AVANT’s research, preparedness for attacks two models were tectonic plates pushing varies somewhat by vertical market with the highest against each other, the RDI represents the levels of risk perceived by respondents in the Business earthquake, and its shift in plate tectonics. Services and Medical sectors. “Somewhat Prepared” or “Unprepared” for Cyberattack Business Services 80% Medical 68% E-commerce 66% Manufacturing 53% Financial Services 43% Copyright © 2020 AVANT Communications, Inc. 10