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Security software sales soar

Fuelled by the rising need to secure ebusiness systems, the worldwide security software market will grow by 22 per cent a year, according to a survey published this week.

John Leyden, vnunet.com 04 Oct 2000

Fuelled by the rising need to secure ebusiness systems, the worldwide security software market will grow by 22 per cent a year, according to a survey published this week.

Gartner's Dataquest division predicts that this growth means the market will reach $3.2bn this year and will sustain the growth until at least 2004, by which time the market will be worth $6.7bn.

Carolyn DiCenzo, a chief analyst at Dataquest, said the internet is creating fresh opportunities for those who would want to break into corporate systems or distribute malevolent code, in response to which vendors are looking to strengthen and expand their security portfolio.

Conal Mannion, research director at Gartner, said that as companies increase their connectivity, they increase their exposure to hackers and costly viruses. But with the right approach, these risks can be transformed into rewards for those who get their security right.

"There is a change from security being viewed as a nuisance to being viewed as an enabler. Those companies that do security well will be the organisations people choose to do business with," said Mannion.

Dataquest identifies several trends in the market, such as an increasing focus by management framework vendors, such as Computer Associates, Tivoli and Hewlett Packard, on security.

"As internet and ecommerce applications mature, security will gain increased focus, creating more opportunity for vendors," DiCenzo said.

"Vendors of point solutions that are not best-of-breed need to widen their portfolios to address the limited market for suite-type solutions or look for merger or acquisition partners."

"Services will become more important in support of security products, but also as a way to deliver solutions to customers," she added.

Douglas Hurd, business development manager at Network Associates, said: "Fear is driving the growth in the market. The implications of security breaches are now common knowledge. Websites being hacked and defaced are no longer just the stuff of movies."

"In the same way that travel insurance grows with tourism, the security market is growing as people use more web technologies and services," he added.

Antivirus products still claim the lion's share of the market, recording 31 per cent of the security software market in 1999, according to Dataquest. Network Associates had 43.8 per cent of the antivirus market, with Symantec second at 33.8 per cent and Trend Micro third with an 11.9 per cent share.

Excluding antivirus software, IBM and Computer Associates vyed for top slot in the market with 22.6 per cent and 22.3 per cent market share respectively.

Gartner predicts that in the future broadband access will stimulate consumer spending in security, and that in the enterprise space managed security will grow in importance.

See also:

Everyone's talking about how important it is to embrace ebusiness in some shape or form. But what are the important issues, and how do you go about making money from it? vnunet.com investigates.  17 Jan 2001
McAfee users have been urged to upgrade their antivirus software after recent virus updates caused older versions of the company's software to trigger system crashes.  07 Nov 2000
Ebusiness has changed the dynamics of doing business with IT suppliers, and resellers must adapt their approach when dealing with more senior members of management.  31 Oct 2000
Details of thousands of credit cards were left temporarily exposed on the internet by a UK video retailer after it upgraded its website 10 days ago.  23 Oct 2000
Tivoli has admitted plans to scrap IT Director, the small business version of its enterprise management software, in January 2001.  13 Oct 2000
Half of all small to medium-sized businesses that manage their own security will have been hit by an internet-based attack by 2003, industry analyst Gartner has warned.  13 Oct 2000
A leading security warning body will next week take the controversial step of alerting the world to security vulnerabilities in products whether or not vendors have corrected the problems.  06 Oct 2000
bugwatchThis week fresh concerns were raised over the 'inconsistency' of the world's leading antivirus companies when naming viruses.  06 Oct 2000
Red Hat has launched an internet-based service to help administrators deploy and manage distribution of the Linux operating system.  26 Sep 2000
HerblessHSBC's UK internet site and three of its international sites have been hacked as part of an ongoing campaign in support of the fuel protest.  20 Sep 2000
One in three supposedly secure ebusiness servers are using software with known security weaknesses, and European sites are the worst offenders, according to a survey.  07 Sep 2000
Barclays has reopened its online banking service after an embarrassing security breach forced it offline yesterday afternoon.  01 Aug 2000
Security has finally become an item on the corporate agenda but many companies are taking the wrong approach to addressing the issue, according to research by IDC.  21 Jul 2000
While security has always been an issue, the ability of organisations and individuals to keep their confidential data safe not only from prying eyes but also from attack is becoming an ever greater concern. The problem is becoming particularly marked as the world becomes more networked and companies conduct increasing amounts of business over the internet. Here we look at a range of issues that are starting to affect every one of us.  29 Jun 2000
Companies developing ebusiness applications should spend more time and money on installing better security measures or risk facing high financial losses, according to analysts at Gartner, speaking at the company's Ebusiness and Internet Conference in Paris this week.  24 May 2000
An influential study sponsored by the Department of Trade and Industry has painted a widespread picture of complacency and lack of security awareness among UK businesses.  06 Apr 2000
The Internet Security Task Force (ISTF) last week released E-business security recommendations, a report that identifies the 12 most important security areas which e-businesses should focus.  22 Mar 2000

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