Fragmented software systems are exposing small and medium-sized enterprises across sub-Saharan Africa to escalating cyber risks, costing businesses millions of dollars, according to industry experts.
Software fragmentation causes cyber risks when a business uses many disconnected applications, each with different security settings, logins, and data policies, creating blind spots where hackers can exploit gaps. This makes it harder to monitor, control, and protect sensitive information.
The Country Head of Zoho Nigeria, Kehinde Ogundare, warned that while African SMEs are increasingly adopting artificial intelligence tools for operations such as customer service, inventory forecasting and transaction monitoring, many remain vulnerable due to disjointed digital infrastructures.
“For years, SME security meant metal grilles and alarm systems.
Today, the most significant threats are invisible, embedded within the very tools that make businesses efficient,” Ogundare wrote in an email to The PUNCH.
Cybersecurity incidents in the region are rising sharply. Nigeria faces an average of 3,759 cyberattacks on businesses per week; Kenya recorded 2.54 billion cyber threat incidents in the first quarter of 2025 alone, while South African SMEs report that more than 70 per cent have experienced at least one attempted cyberattack. Collectively, Africa loses approximately 10 per cent of its GDP annually to cybercrime.
A critical factor behind these risks is digital fragmentation. SMEs often adopt affordable, agile software solutions as they grow. Over time, however, these systems accumulate into a patchwork of disconnected applications, each with separate logins, privacy policies and security standards.
Ogundare explained the consequences: “What begins as operational flexibility can evolve into complexity. Fragmented systems create blind spots; each additional data transfer increases exposure, and inconsistent protocols make governance harder to enforce. The result is higher vulnerability to breaches and increased operational costs.”
The financial impact is significant. According to IBM Security’s Cost of a Data Breach Report, companies with highly fragmented security environments experienced average breach costs of $4.88m in 2024.
Experts say the solution lies in unifying digital platforms while embedding privacy-first AI. “Responsible AI design means collecting only necessary information, storing it securely, being transparent about decision-making, and ensuring algorithms do not compromise customer privacy,” Ogundare said. “SMEs that adopt unified platforms gain efficiency while demonstrating that customer data is protected, not exploited.”
Unified cloud-based systems allow core functions such as inventory management, order processing and financial reporting to operate within a single security framework. This reduces the attack surface, streamlines operations and helps businesses maintain customer trust.
“The digital world requires active stewardship. Security, privacy and responsible AI are essential characteristics of any technology infrastructure worth building upon,” Ogundare added. “In a market where trust is currency, that advantage is everything.”
