New Service Model Aims to End CMMC Sticker Shock for Defense Firms

ROCKVILLE, MD – April 29, 2026 – As the Department of Defense (DoD) continues its mandatory rollout of the Cybersecurity Maturity Model Certification (CMMC), a new service model is emerging to tackle the program's most significant hurdle: cost. Managed IT and cybersecurity provider OSIbeyond has launched a Compliance as a Service (CaaS) solution, aiming to replace the six-figure upfront investments that have put CMMC compliance out of reach for many defense contractors.

The subscription-based service consolidates the complex web of IT management, cybersecurity operations, and continuous compliance into a single monthly fee, a direct challenge to the traditional, project-based approach that has defined the market. For thousands of small and medium-sized businesses in the Defense Industrial Base (DIB), this shift could mean the difference between winning federal contracts and being forced out of the market.

The Crushing Cost of Compliance

Achieving CMMC Level 2 certification—the standard required for any organization handling Controlled Unclassified Information (CUI)—is a formidable and expensive undertaking. Industry analysis consistently shows that the initial journey to compliance can cost between $50,000 and $100,000, with many estimates placing the total for readiness, remediation, and assessment well over $200,000. These figures include expenses for external consulting, new security software and hardware, extensive documentation, and the final third-party audit.

This financial barrier has created significant anxiety within the DIB, where many innovative but smaller firms lack the capital for such a massive one-time outlay. OSIbeyond’s CaaS model directly addresses this pain point by eliminating the initial capital investment. “Most organizations are trying to solve it like a project, when it really needs to be managed like an ongoing system,” said Payam Pourkhomami, CEO of OSIbeyond. “We built CaaS to remove the complexity and financial barriers that prevent contractors from moving forward.”

By converting a large, unpredictable capital expense into a predictable operating expense, the service allows companies to budget for compliance just as they would for any other essential business utility. This approach is designed to democratize access to DoD contracts, ensuring that cybersecurity readiness is not limited to the largest, most well-funded corporations.

From One-Time Project to Continuous Operation

A core tenet of the CaaS model is a fundamental shift in mindset. As Pourkhomami noted, “CMMC isn’t just a one-time project—it’s an ongoing operational requirement.” The project-based approach often leads to a frantic scramble to pass an audit, after which security practices can lapse, creating a dangerous cycle of compliance and non-compliance. A leading cause of failed CMMC assessments is not the absence of security controls, but the lack of documented evidence and proof that those controls are being consistently operated and maintained.

This is where vendor fragmentation often complicates matters. Many contractors hire one firm for IT support, another for cybersecurity monitoring, and a third for CMMC consulting. This disjointed approach creates communication gaps, conflicting advice, and a lack of clear accountability. “A key requirement was working with a single provider for both IT operations and CMMC support,” explained Fania Carter, Chief Executive Officer of SSC, a client of the new service. “I didn’t want to separate the two.”

By integrating these functions, a managed compliance service creates a single point of accountability. The provider is responsible not only for implementing the necessary controls but also for running the security environment day-to-day, performing continuous monitoring, and maintaining the mountain of documentation required for an audit. This ensures that compliance is not a periodic event but a sustained, operational discipline, helping contractors remain ready for assessments at all times.

The Technical Backbone of CMMC Readiness

At the heart of CMMC is the protection of CUI, sensitive government data that is not classified but requires safeguarding. A critical component of achieving this is operating within a secure, compliant IT environment. For most defense contractors, this means leveraging platforms like Microsoft’s Government Community Cloud (GCC) and, for more stringent requirements, GCC High.

GCC High is a physically isolated, sovereign cloud environment built specifically for the DoD and its contractors. It is managed exclusively by background-screened U.S. personnel and provides the controls necessary to handle export-controlled data and other highly sensitive CUI. While not strictly mandatory for all CMMC Level 2 scenarios, it is the recommended and often necessary foundation for a defensible compliance posture.

OSIbeyond, which is itself CMMC Level 2 certified, highlights its expertise in these complex Microsoft environments as a core component of its CaaS offering. The service includes deploying secure enclave architectures within GCC or GCC High, ensuring that all CUI is isolated and protected according to DoD standards. This technical specialization is crucial, as misconfiguring these powerful platforms or failing to understand their shared responsibility model can easily lead to compliance failures.

Bolstering the Nation's Digital Defenses

The launch of services like CaaS comes at a critical time for U.S. national security. The DoD has made it clear that the cybersecurity of its vast, multi-tiered supply chain is a top priority. Foreign adversaries increasingly target smaller, less-secure contractors as a gateway into the networks of prime contractors and the DoD itself. CMMC was created to fortify this distributed and often vulnerable attack surface.

However, if the cost and complexity of the program prevent innovative small businesses from participating in the DIB, it could inadvertently weaken the supply chain by concentrating contracts among a smaller number of large players. By making compliance more financially and operationally attainable, subscription-based models help ensure a broader, more diverse, and ultimately more resilient industrial base.

As the DoD continues its phased rollout, with CMMC requirements appearing in more contracts, the urgency for contractors to find a sustainable compliance path is intensifying. The market is responding with solutions designed not just to meet a regulatory requirement, but to transform it into a managed, ongoing, and affordable business process. This evolution reflects a growing understanding that in the modern defense landscape, robust cybersecurity is not just a feature, but the fundamental price of entry.