Let’s start by sorting out the vocabulary. A Threat Protection Service based on either hardware or software can in purely functional aspects be quite equal — but the difference being that a hardware solution requires on-prem equipment where you run your digital services whilst a software solution is protecting usually your services remotely from the cloud. This particular difference in turn leads to different circumstances when it comes to flexibility, scalability and perhaps most importantly: cost.
The cost of an on-prem hardware-based Threat Protection Service is usually divided between both CAPEX and OPEX costs, where costs relating to recruitment and equipment investments belong to the former and maintenance and operations costs to the latter. But in the long run OPEX costs might also vary in the event of hardware becoming outdated, maintenance being expensive and extra staffing required. The fixed costs might also reoccur when the protection needs to be scaled up, and the former setup is no longer sufficient. All and all, costs tend to run high when hardware is involved — and staff is required to manage that hardware.
A cloud based solution is however usually only OPEX based. No initial investments in hardware is required and the risk is also lower as no long term lock-in is applied. If you compare the cost of the SOC included when you buy a software solution — and the cost of staffing an equivalent team yourself — the cost is actually half off if buying your Threat Protection Solution in the cloud. You get an overall more agile and adaptable solution that continuously remains on a high level of precision even as the threat landscape evolves.
So if you’re looking for cost-efficiency in your cyber security bundle, a cloud-based Threat Protection Service is to be considered.