Today, as cyber threats become ever more advanced, organizations are rethinking the way they want to operate in security. The old model for Security Operations Centers (SOCs) required a massive CapEx commitment and significant staff to run. To get around-the-clock coverage, that often meant at least three analyst shifts per day and a minimum of seven personnel. This configuration was usually out of the reach of smaller firms and firms with fewer dollars to spend. The residential real estate landscape is changing fast and furiously. In this regard, a recent report from SACR forecasts that in just five years, by 2028, artificial intelligence (AI) will be doing about 60% of what a SOC does.
Our businesses can’t keep paying exorbitant costs of cybersecurity. In reality, 88% of those organizations that don’t yet have an AI-driven Security Operations Center (SOC) are already planning to implement one in the next 12 months. AI-driven SOCs offer high potential for cost savings. They create improvement in the state’s use of operations, overcoming the tide of alerts and false positives.
The Financial Burden of Traditional SOCs
In the past, creating a SOC took millions in technology investments by default, with ongoing operational expenses costing $500,000-$700,000 annually. Labor costs compounded these expenses, averaging about $1 million annually. That number is calculated on the basis of U.S. salaries, with each analyst costing us close to $120,000. This financial burden has largely rendered SOCs a privilege of large enterprises and organizations with an established high-risk profile.
Security leaders have lamented the trade-offs tied up in cumbersome legacy SOC models. These systems are constantly being targeted which frequently interrupts business continuity causing days of downtime and lost revenue. Those organizations that need reliable security solutions are forced into difficult choices due to the expensive ongoing cost associated with MSSPs and MDR services. These costs are typically between $250,000-$1 million annually.
“You’re handing over the keys to the guard towers to someone who doesn’t carry the risk if those fail.” – a CISO
Even though MSSPs provide great coverage, they manage dozens or even hundreds of clients simultaneously. This frequently results in one-size-fits-all security strategies that don’t address the specific requirements of any one organization.
The Transition Towards AI-Driven Solutions
As a starting point, the SACR’s report on the 2025 AI SOC Market Landscape offers an important window into the evolving landscape of cybersecurity operations. One of its most important findings is that up to 40% of alerts created by legacy systems go unheeded. What’s more, a shocking 90% of the alerts that officers go out to investigate are false positives. This inefficiency underscores the clear need for new smart solutions to sort through alerts and find real dangers.
Now, organizations everywhere are eager to use the latest AI technologies to supercharge their SOCs. By adopting AI-driven technologies, firms can automate countless repetitive tasks, greatly lightening the load on analysts. This transition significantly reduces operating expenses. It not only increases the productivity of those activities, it liberates human resources to address more strategic work that requires complex judgment calls.
This move to AI will likely transform the SOC picture into something new and different. Indeed, by 2028, security leaders expect AI to perform the majority of tasks in the SOC. This change will only further underscore the need to turn our efforts against the threats of today.
The Need for Continuous Monitoring
Seemingly all industries are more dependent on technology than ever. This increasing reliance renders the need for ongoing monitoring essential, especially for interconnected, critical infrastructure sectors, such as energy and transportation. Most of the environments in these mission-driven sectors can’t afford the downtime, and therefore having a specialized SOC is critical for operational resilience.
The need for real-time monitoring has only sped up that transition to AI-powered solutions. Organizations can now implement advanced technologies that monitor systems around the clock without incurring prohibitive costs associated with traditional SOC setups. This transformation allows smaller entities to build strong security programs that historically were too costly or complicated.
As cyber threats become more frequent and sophisticated, organizations understand that it’s not an option to cut corners on security. Thus, investing in an AI-driven SOC is not just an attractive option anymore.