Security Operations Center (SOC) capability — the ability to monitor for threats, investigate alerts, and respond to incidents — is increasingly non-optional. The question is no longer whether to have it but how to get it in a way that makes sense for your organization.
The build-vs-buy decision for SOC is one of the most significant in security program design.
Option 1: Build an Internal SOC
Building a full internal SOC means: hiring analysts (typically Tier 1, Tier 2, and Tier 3 with different skill levels and responsibilities), building or procuring the technology stack (SIEM, SOAR, EDR, threat intelligence), developing playbooks and processes, and operating 24/7 coverage.
The cost is significant. A basic 24/7 internal SOC for a mid-market organization requires at minimum 5–7 analysts to cover all shifts with appropriate overlap and leave coverage, plus infrastructure, tooling, and management. All-in costs typically run $1.5–3M annually for a basic capability.
When it makes sense: Large organizations with mature security programs, specific regulatory requirements for internal security operations, or operational environments where an external SOC can't meet access and security requirements.
The hiring challenge: Security analyst talent is consistently cited as the most challenging security hiring market. Building a SOC requires finding, hiring, training, and retaining people in a market where experienced analysts have many options.
Option 2: Managed Detection and Response (MDR)
MDR is the fastest-growing SOC model for mid-market organizations. An MDR provider deploys and manages detection technology (typically their own EDR and SIEM), monitors your environment 24/7, and responds to incidents — either with guidance or with direct response actions.
The economics change significantly. MDR services typically run $100,000–$400,000 annually depending on environment size and service scope — a fraction of internal SOC cost.
Quality varies considerably. The MDR market has many providers. Key differences: detection capability (do they actually catch things?), response action authority (can they contain threats without waiting for you to approve each action?), analyst quality, and the experience of your environment during an actual incident. Reference checks and detailed SOC capability assessment during vendor selection matter enormously.
Good MDR providers: CrowdStrike Falcon Complete, SentinelOne Vigilance, Huntress, Arctic Wolf, and Rapid7 MDR are well-regarded options. This list changes — evaluate current market standings.
Option 3: Managed Security Service Provider (MSSP)
Traditional MSSPs predated the modern MDR model and typically offered managed perimeter security (firewall management, IDS monitoring) rather than active threat hunting and response.
The category has evolved, and many MSSPs now offer capabilities overlapping with MDR. The key distinction: MDR providers typically own and operate their detection technology as part of the service; MSSPs often manage your existing technology.
Best fit: Organizations with existing security technology investments they want managed, or those needing managed services across a broader set of security functions beyond detection and response.
Option 4: Hybrid
Many organizations land on a hybrid: an MDR provider for 24/7 detection and response, supplemented by internal security staff focused on vulnerability management, compliance, and security program management.
This gives you professional-grade detection and response capability while maintaining internal security expertise for the program work that benefits from organizational context and continuity.
What to Evaluate
Whatever model you choose, the questions that matter:
- What does your detection actually cover? Endpoint? Network? Cloud? Identity?
- What is your alert triage and escalation process? What do tier 1 analysts do vs. escalate?
- What response actions can you take on my behalf? What requires my approval?
- What are your SLAs for detection and response?
- What does an active incident engagement look like, and what do I need to provide?
- What does onboarding look like, and how long until you have full visibility?
Ask these questions and evaluate answers critically — vendor sales process is an imperfect guide to operational reality.