On December 26, 2023, the Department of Defense (DoD) released a proposed rule, stirring up significant changes in the way small businesses have implemented Cybersecurity Maturity Model Certification (CMMC) requirements. The rule necessitates that businesses using cloud-based solutions use solutions that meet the moderate requirements of the Federal Risk and Authorization Management Program (FedRAMP) to remain in compliance with CMMC requirements. If implemented, the proposed rule would inevitably escalate the costs for both cloud service providers and the businesses leveraging their solutions.
Heightened Expectations from FedRAMP
The proposed rule introduces a significant alteration to the standards that cloud solutions utilized by businesses must meet. These cloud solutions must obtain authorization to operate at the FedRAMP moderate impact level or display a level of performance that is equivalent to the FedRAMP moderate requirements. The challenge lies in the fact that achieving such authorization or demonstrating this equivalency requires considerable financial investment on the part of the cloud service providers. Unavoidably, these added costs will filter down to the businesses relying on these cloud solutions, making it more expensive for them to utilize these vital services.
This shift in expectations represents a significant financial hurdle for businesses that rely heavily on these cloud solutions for their operations. Navigating this new landscape will require careful planning and potentially challenging adjustments from both the cloud service providers and the businesses that depend on their services.
The Reclassification of Managed Service Providers
Moreover, the proposed rule impacts how Managed Service Providers (MSPs) fit into the CMMC landscape. MSPs are commonly employed by small businesses to implement CMMC requirements and manage day-to-day IT operations. If the proposed rule comes into effect, MSPs would be classified as External Service Providers (ESPs).
As ESPs, MSPs would need to attain an equivalent CMMC certification level as their clients. This reclassification and the subsequent certification requirement would result in additional costs for both the small business and the MSP, adding to the financial burden of complying with the newly proposed CMMC requirements.
The Impact on Small Businesses
This proposed rule throws small businesses into a cost-intensive landscape, wherein they have to bear the brunt of not just increased costs from cloud service providers but also from their MSPs. For small businesses operating on tight margins, these increased costs could pose an enormous challenge.
In a nutshell, while the intention behind the proposed rule may be to tighten cybersecurity measures, it brings with it additional costs that directly and significantly impact small businesses. The added expenses these organizations incur to comply with CMMC requirements could indeed strain their resources, forcing them to rethink their strategies around compliance and cybersecurity.
Small businesses and MSPs alike will now need to closely monitor these developments, understand the financial implications, and plan their future moves with care. The hope is that a balance can be struck where cybersecurity can be robustly maintained without putting undue financial stress on small businesses, which form a critical part of our economy.
Jun Cyber’s Support for Small Businesses Amid Changes
Despite these potential challenges, Jun Cyber is committed to ensuring that small businesses can meet these new CMMC requirements without undue financial stress or operational disruption. As a compliance-focused MSP, we are ready to help small businesses navigate the evolving cybersecurity landscape while working closely with cloud service providers to ensure compliance with FedRAMP’s moderate requirements.
Our team of experts is equipped to guide your small business through these changes, ensuring not only your compliance with the updated CMMC requirements but also the robustness of your cybersecurity measures. We understand that every penny counts for small businesses, and we are geared to offer effective, efficient services that align with your budget and needs.
In conclusion, while the newly proposed DoD rule may seem daunting, with Jun Cyber by your side, you can confidently face these changes. We are committed to helping your small business navigate this evolving landscape, ensuring robust cybersecurity measures and alignment with the updated CMMC requirements. Your cybersecurity is our priority, and together, we can turn these regulatory challenges into opportunities for growth.
