Despite sluggishness elsewhere in the information technology sector, the market for security-related hardware, software, and services will continue to experience healthy growth, swelling to more than $US45 billion in revenue by 2006 from just $US7 billion in 2001, according to a study by IDC.
The study, which examined spending on security-related information technology worldwide, predicted that security hardware would represent the biggest growth opportunity.
A compound annual growth rate of 25 per cent was projected for the period from 2001 to 2006.
Security appliances would continue to be a popular method of delivering software, providing a flexible and centralised platform that allowed companies to address a number of different enterprise security needs with a single device, IDC said.
The market for security services was projected to grow by 24 per cent, compounded annually, for the 2001-2006 period. The security software market would grow by abouty 16 per cent, compounded annually, over the same time, the company said.
Increased spending on security related technology will come as organisations begin the process of tying together disparate security components into a comprehensive system that provides protection across their entire network.
The need to limit exposure to legal liability resulting from insecure information would be one motivation for increased spending on security technology, IDC said.
In addition, the continued spread of identity management and Web-based services will drive demand for software that provides secure user administration, authorisation, and authentication.