The 2026–2028 NSW Government Cyber Security Strategy is a big change in how the state takes care of its digital infrastructure. The policy mostly affects government agencies, but it also has immediate and huge effects on the private sector, especially on any tech company, startup, or vendor in the NSW supply chain.

The NSW Government is setting a higher standard for its partners by switching to a “Secure-by-Design” and “Zero Trust” framework. It is no longer just a technical need to understand these changes; it is also a business need.

The Core Pillars: Secure-by-Design & Zero Trust

The new strategy drops the old idea of perimeter-based security, choosing instead to treat every user and device like a potential threat; nothing gets a free pass.

  • Zero Trust Architecture: This model demands constant checks on everyone and everything, whether they’re inside or outside the network. If you’re a vendor, your software needs to handle advanced identity management and multi-factor authentication, no excuses.
  • Secure-by-Design: The government now expects security to be built right into products from the ground up, rather than added as an afterthought.

The Impact on Tech Vendors and Startups

The ripple effect of this strategy on the private sector cannot be overstated. If you do business with the NSW Government, or aim to in the future, your organization will likely face new requirements:

  1. Building on mandates established in 2025, vendors must now be prepared to report cyber incidents within 24 hours. This requires robust real-time monitoring and incident response protocols.
  2. The shift from annual to tri-annual (three times a year) threat assessments means that “security as a posture” is replacing “security as a project.” Vendors must be ready for more frequent audits and assessments.
  3. The strategy places a heavy focus on securing the supply chain. Agencies are now required to maintain detailed registers of third-party providers and assess their cyber risks continuously.
  4. The government is actively seeking to partner with local industry to co-develop security solutions. This presents an opportunity for NSW-based cybersecurity startups to commercialise their products and scale.

Action Steps for Your Business

To remain competitive and compliant in this new environment, organisations should:

  • Implement MFA and credential management tools.
  • Ensure you have full visibility into the SaaS applications and AI tools your team uses.
  • Ensure you can meet the 24-hour reporting window mandated by the government.

How Leo Lawyers Can Help

The legal and regulatory requirements for tech companies are becoming increasingly complex. Between new cybersecurity mandates and existing corporate regulations, businesses need expert guidance to navigate these shifts safely.

Need expert legal advice? Feel free to contact Damin Murdock at Leo Lawyers via our website, on (02) 8201 0051 or at office@leolawyers.com.au. Further, if you liked this article, please subscribe to our newsletter via our Website, and subscribe to our YouTube, LinkedIn, Facebook, and Instagram. If you liked this article or video, please also give us a favourable Google Review.

DISCLAIMER: This is not legal advice and is general information only. You should not rely upon the information contained in this article, and if you require specific legal advice, please contact us.

Damin Murdock (J.D | LL.M | BACS - Finance) has over 17 years of experience as a commercial lawyer. He helps businesses navigate construction and technology law. Damin has held several big leadership roles, including serving as a director of a national law firm and the Chief Legal Officer for Lawpath.

He has personally helped more than 2,000 startups and small businesses. With over 300 five-star reviews, his clients clearly value his practical advice and simple way of explaining things. Damin has also hosted over 100 webinars that thousands of people have watched to get reliable legal help.