XDR vs SIEM - what’s the difference?

With roughly 1 in every 2 businesses being hit by a ransomware attack this year, organizations face a rocky landscape of cybersecurity threats. Having the right systems and tools in place to manage and mitigate these risks is no longer optional, but a critical piece of your business.

Two of the more commonly used cybersecurity solutions today are XDR (Extended Detection and Response) and SIEM (Security Information and Event Management). Although they each serve to improve threat detection and response, they each contain their own unique strengths, limitations, and use cases.

So to help you make the right decision for your organization’s cybersecurity setup, let’s explore the main differences between XDR vs SIEM and how to know which is the right option for you.

What is XDR?

While SIEM focuses on monitoring your network via log management and rule-based triggers, XDR, which stands for Extended Detection and Response, takes a more holistic approach to threat detection. XDR gathers and uses data from a variety of sources like endpoints, networks, servers, and cloud environments, to create automated response protocol for when potential issues arise.

XDR goes beyond SIEM’s log aggregation by giving IT staff a centralized view of security events within the network and automating cybersecurity efforts.

What is SIEM?

SIEM is a cybersecurity solution that stands for Security Information and Event Management.  SIEM integrates both Security Information Management (SIM) and Security Event Management (SEM). SIEM allows organizations to handle both log management, which is the main function of SIM, and real-time monitoring/alerts, which is the main function of SEM, in one unified place. 

By collecting and monitoring this data across your IT infrastructure—like application usage, network devices and usage, and endpoints—SIEM gives organizations the ability to detect anomalies, generate security alerts, and streamline compliance reporting, which results in a more secure network.

XDR vs SIEM at a glance

Scope of detection

SIEM focuses more on log aggregation and a rule-based alert system (using predefined rules, generally set by the IT professionals). While XDR works by analyzing data across multiple layers like endpoints, servers, and networks.

Data sources

SIEM works via traditional IT logs, while XDR uses data telemetry, such as real-time data from endpoints, the cloud, and networks.

Ease of management

SIEM requires constant rule updates and manual tuning, i.e. a dedicated IT professional managing the system, while XDR simplifies manual input via automation and reduces alert fatigue.

Response capabilities

SIEM requires a manual response process, while XDR uses automated responses to mitigate threats quickly.

Implementation and cost

SIEM is more cost-effective initially but requires constant employee input, whereas XDR has a higher upfront cost but less necessary oversight.

Key features of SIEM

Data collection and correlation

Because SIEM uses a centralized log management, it allows for the correlation of disparate data points, allowing IT professionals to determine patterns and anomalies that could be an indication of possible network threats. 

Even though the events leading up to a network vulnerability can appear totally unrelated to each other, SIEM helps IT professionals determine combinations of events that could indicate a problem.

Compliance support

SIEM systems are also great for companies that need to worry about strict regulatory standards like PCI DSS, HIPAA, and GDPR. SIEM automates the collection of logs and gives you access to comprehensive reporting, in the event of an audit. 

This allows organizations to meet legal and industry-specific compliance requirements while reducing the need for manual labor in the compliance process.

Custom alerts and dashboards

Using an SIEM platform also gives you access to highly customizable alerts and report dashboards. IT departments can create hyper-specific detection rules to align with the needs of the organization and network specifically. These dashboards offer a real-time look into important security metrics, giving IT teams the opportunity to quickly identify and respond to issues before they do too much damage.

Incident response support

But SIEM isn’t just for threat detection—it also deals with incident response within an IT department. A SIEM system allows IT security teams to organize and prioritize alerts based on severity, allowing your team to deal with what really needs to be dealt with. 

And incident management features that are common to SIEM solutions help IT pros streamline workflows in response to an incident, allowing them to handle any possible problems efficiently and effectively.

But while an SIEM solution has many benefits, they depend heavily on the alert rules that your team sets, which means that the solution will only work as well as your team allows it to. You should consider using an SIEM solution if you have a team of IT veterans who know how to secure a network. If not, your security solution may end up falling short, and you may be better off with an XDR solution.

Key features of XDR

Unified data collection

XDR relies on telemetry from many different sources like endpoints, network traffic, and cloud environments. This data approach allows for improved visibility across the entire network, simplifying the process of detecting potential threats, that may otherwise go unnoticed in siloed systems.

Advanced analytics

Many XDR systems offer highly advanced analytics, including the use of AI, machine learning, and/or behavioral analysis to identify potential threats that may be affecting your network. While SIEM systems also may offer these analytics, the XDR analytics may be more “out-of-the-box”, requiring no setup.

Cross-layer detection and response

XDR systems can coordinate both the detection and response to a potential threat across multiple security domains, such as different endpoints and/or network traffic.

Automated response

An XDR system can perform defensive IT functions automatically, such as isolating potentially compromised endpoints or blocking potentially malicious traffic. This reduces the need for manual intervention​, thus eliminating room for manual error and speeding up your cybersecurity efforts.

While an XDR security solution has many strengths over an SIEM solution, it can be much more complex to deploy and integrate an XDR system with pre-existing cybersecurity systems. XDR is also generally more expensive to implement than SIEM.

How to make the decision between XDR vs SIEM

So, if you find yourself at the point where you need to decide between using an XDR or SIEM solution, you might be feeling a little confused with all of the information we’ve given you. Luckily, with an all-in-one RMM solution that integrates with both XDR and SIEM software, you don’t have to pick and choose. Consider RMM software that offers a free trial to see if it satisfies your organization’s cybersecurity needs. 

And in the meantime, we’ll try to clear up any confusion you might have on SIEM or XDR cybersecurity solutions. The right choice for you boils down to a few key factors:

• Resource availability – if your organization, (namely the IT team), has the in-house expertise necessary to manage a complex SIEM solution, then an SIEM solution may be your best bet. But if you have a smaller (or less experienced) IT team, then the automation and more “hands-off approach” of an XDR solution may be the better fit.
• Threat landscape – if your organization is under threat of multi-vector threats, XDR’s cross-layer detection capabilities may be the smarter choice. That’s because the rule-based monitoring system of an SIEM solution likely won’t catch multi-vector threats.
• Allotted budget – while XDR generally offers more robust protection for your organization, it usually also comes at a higher cost. SIEM is generally the more budget-friendly choice, especially for organizations with a competent IT team in place.

If all 3 of these main determining factors point you in one direction or the other (either to use an XDR or SIEM solution), that’s likely your best bet. And if you’d need to hire someone new to manage the SIEM system, you may want to just consider using an XDR system, unless you were planning on expanding the IT team anyway. 

Let’s secure your organization from threats

While both XDR and SIEM cybersecurity solutions can be strong methods used to secure your network, the best option for you will depend on your organization’s needs/setup. 

SIEM may be the better choice for organizations that already have a cybersecurity operation system in place (including an IT department) that looking for centralized log management and compliance reporting. While XDR may be the better choice for those seeking a unified, automated approach to advanced threat detection and response.

But ultimately, the best choice will depend on your organization’s specific needs, resources, and threat environment. If you’re looking for an all-in-one remote monitoring and management platform that you can use to make your IT department more efficient, while protecting your IT network via top-tier security integrations, look no further than Atera. We even offer a 30-day free trial, with no credit card required. Give us a try for free, today!