Future Opportunities in IT Security: Vendor strategies, enterprise investment and market outlook

• Security is an issue that remains a number one IT priority for most organizations.
• New security areas such as security information management and vulnerability and patch management will grow rapidly up to 2010.
• As the enterprise IT security market has grown, the financial services and communications sectors have grown faster than other sectors. Previous years have shown retail and manufacturing sectors have accepted the need for greater security investment more slowly, and will consequently grow at a faster rate than the market going forward.
• Many vendors view the SMB sector as the fastest growth market in the security market; the SMB space will also provide an important growth opportunity for hosted and managed security services.
• Security and privacy (S&P) managed services represent the fastest growing infrastructure services market.

• Understand enterprises’ approach to buying IT security.
• Develop go-to-market strategies that target organization’s weak spots and provide the support they are looking for, thereby improving sales.
• Target emerging, fast-growing security markets more effectively.
• Identify market opportunities by region, vertical and size band.
• Discover and understand the product roadmaps of the leading vendors.
• Design channel strategies to win a share of the SMB IT security market.

• What are organization’s main security concerns and requirements?
• Who is the buying decision maker for IT security within different sized organizations?
• Where are the market opportunities by region and vertical?
• Who is the market leader in the security market?
• Which other vendors dominate the security market?
• How can I target IT security decision makers more effectively?
• What are the fastest growing areas within the security market?
• How popular is security outsourcing now - and in coming years?

• Worms targeting applications rather than operating systems are on the increase - how malware writers no longer go for large Blaster-style damaging attacks.
• Aligning products and solutions along vertical lines - and how this will help vendors.
• Large enterprises - their deployment of security solutions compared to medium or smaller sized organizations.
• SMB sector as the fastest growth sector in the security market - and how vendors must move fast to secure channel partners.
• Security and privacy (S&P) managed services - and how enterprises are looking to simplify the management of their increasingly complex IT security systems.

• Worms targeting applications rather than operating systems are on the increase - how malware writers no longer go for large Blaster-style damaging attacks.
• Aligning products and solutions along vertical lines - and how this will help vendors.
• Large enterprises - their deployment of security solutions compared to medium or smaller sized organizations.
• SMB sector as the fastest growth sector in the security market - and how vendors must move fast to secure channel partners.
• Security and privacy (S&P) managed services - and how enterprises are looking to simplify the management of their increasingly complex IT security systems.

• Explanation of how enterprises approach IT security buying decisions and what factors influence their choice of vendor.
• Outline of vendor strategies for improving sales.
• Competitive vendor analysis.
• Explanation of trends occurring in the marketplace.
• Breakdown of spending on IT security by product type up to 2010.
• Identification of emerging and fast-growing security markets.

Future Opportunities in IT Security

Executive Summary

Market outlook

Emerging security threats

IT security opportunities by region and vertical

Enterprise adoption of IT security

SMB adoption of IT security

The enterprise view of security outsourcing

Vendor overview

Chapter 1 Introduction

What is this report about?

Who is this report for?

Chapter 2 Market outlook

Summary

The market opportunity

Vendor strategies

Changes in enterprises’ security needs

Industry issues

Ease of integration

Ease of management

Return on investment

Business issues

Innovation largely continues to come from smaller vendors

Acquisitions still provide the best route to filling portfolio gaps

The Microsoft effect

Technology issues

The shift towards appliances

The emergence of multi-function security appliances

Embedding security within existing solutions

IT spending on security

Chapter 3 Emerging security threats

Summary

A new breed of security threats

Viruses

Spam

Directory harvest attacks (DHAs)

Phishing

Spyware

IM and P2P security

Web services security

WLAN security

Focus on education

Encourage granular WLAN security policies

Promote greater use of more advanced security solutions

VoIP security

Work closely with end-user focus groups

Develop solutions with in-built security functionality

Consistent security policies

Mobile security

Ease of integration and installation

‘In the cloud’ security solutions

Promote phones as authentication devices in their own right

Chapter 4 IT security opportunities by

region and vertical

Summary

Regional investment in IT security

Vertical investment in IT security

Chapter 5 Enterprise adoption of IT security

Summary

Large enterprise approach to IT security

Medium-sized enterprise approach to IT security

Chapter 6 SMB adoption of IT security

Summary

SMB approach to IT security

On-site deployment vs. hosted services

Chapter 7 The enterprise view of security

outsourcing

Summary

The case for infrastructure outsourcing

Security and privacy managed services

Banking is the largest target market for security services providers

German and UK enterprises’ stricter security approaches provide good
opportunities

Chapter 8 Vendor overview

Summary

Choosing an IT solutions provider

Geographical and size differences

Symantec leads the security market

Vendor dynamics

Symantec

Check Point

McAfee

Microsoft

Index

List of Figures

Figure 2.1: The security market is relatively saturated, with firewall and VPN technologies leading
the way

Figure 2.2: Enterprise applications and security are set to receive the most investment despite their
high market penetration

Figure 3.3: Email-based threats and their relative importance

Figure 3.4: Have security fears held back the deployment of WLAN in your organization?

Figure 3.5: Have security fears held back the deployment of VoIP in your organization?

Figure 3.6: Elements of the network where mobile security solutions can be placed

Figure 5.7: Most influential positions within large enterprises when making investment decisions
regarding security solutions

Figure 5.8: Large enterprises’ preferred approach to buying security solutions

Figure 5.9: Most influential positions within medium-sized enterprises when making investment
decisions regarding security solutions

Figure 5.10: Medium-sized enterprises’ preferred approach to buying security solutions

Figure 6.11: Extent to which small enterprises currently have or use security solutions

Figure 6.12: Most influential positions within small enterprises when making investment decisions
regarding security solutions

Figure 6.13: Small enterprises’ preferred approach to buying security solutions

Figure 7.14: Enterprise outsourcing and managed services market conceptualization

Figure 7.15: Solid, if unspectacular, growth is forecast in infrastructure outsourcing and managed
services

Figure 7.16: Strong revenue growth is forecast in the S&P managed services market

Figure 7.17: Likely to outsource security and privacy in the next two years

Figure 8.18: Vendors that large enterprises believe to be leaders in the field of security solutions

Figure 8.19: Vendors that medium-sized enterprises believe to be leaders in the field of security
solutions

Figure 8.20: Vendors that small enterprises believe to be leaders in the field of security solutions

List of Tables

Table 2.1: Global enterprise security market forecast 2006-2010 ($m)

Table 4.2: Global enterprise security market forecast, 2006 to 2010, by geographic region ($m)

Table 4.3: Global enterprise security market forecast for financial services 2006-2010 ($m)

Table 4.4: Global enterprise security market forecast for manufacturing 2006-2010 ($m)

Table 5.5: Extent to which large enterprises currently have or use security solutions

Table 5.6: Extent to which medium-sized enterprises currently have or use security solutions

Table 7.7: Do you outsource security now or are you considering outsourcing in the next 6
months? 2 years?