TekPlus - Mobile Security Seen as Critical to Stimulate Truly Successful Mobile Telecoms & M-Commerce Markets

The mobile security market has a great deal to learn from network security developed specifically for the PC and fixed Internet market and migrate knowledge and solutions, solutions should mirror those already developed without the need for reinvention. Even if this approach is adopted this is not the only thing we can learn, Gareth adds, 'all companies and organisations involved in the development of mobile device, wireless markets and markets that depend on their success need to ratify and agree to global security standards. Mobile operators and banks will need to work in parallel as trusted parties, for example, to ensure end-to-end security is experienced by their end-users and customers.'

Potential mobile software security customers are looking for ROI on deployment and this is difficult for vendors to quantify and demonstrate to customers, Gareth adds, 'security vendors will need to look to price solutions differently from traditional licensing models, they will need to look to share the risk with customers particularly where mobile operators are concerned.'

The winners in the mobile security market are those vendors that are able to deliver best of breed solutions to customers, develop software using open standards; that are transparent to customers, work with successful SIs and VARs and have heritage in delivering security solutions in the fixed Internet world. It will be difficult for vendors to develop end-to-end security solutions on their own, so a form of co-opertition will be a feature of the market. Gareth elaborates, 'the mobile security vendors of today need to either become the hub of eco-system partnerships and drive the value being delivered to customers by adding network and security management, or develop point software solutions that are a “must have” by enterprises and service providers.' The mobile security market is highly fragmented and there will be a great deal of shake-out in the market. Many of the security solutions for the mobile world will be based around those developed for fixed networks, in the banking and finance and healthcare world in particular, where legislation has driven security solution deployment.

Figure 1.3 Percentage Breakdown of MobileDevice Embedded Security Market, 2004

TekPlus believes that the fission centres that will drive growth in the mobile security market include:

Enterprises mobilising employees
Information stored on mobile devices becoming more valuable than the device itself
New internal and external threats to enterprise and service provider security as mobile devices are used differently, open to new attack themselves and more difficult to keep track of and manage
The number of type of mobile devices will continue to expand
Development of true mobile Internet and always on access

The deployment of firewall, access, encryption and content security software by service providers will begin to slow down once infrastructure, particularly for 3G, is deployed and investment moves to the up-date and maintenance of security solutions. Enterprise spend on back-end and front-end mobile security solutions will continue at pace throughout the forecast period as ROI in mobilising employees drives this trend. As mobile devices become more varied and complex, so will front end security. The adoption of more powerful encryption, content security and biometric solutions will ensure that mobile devices will no longer remain the weak link in end-to-end security.

Gareth Williams, Director of Research at TekPlus, states that, 'the mobile security market is more complex for the enterprises and service providers to manage and they will require a great deal of support and integration expertise from software vendors and system integrators.' Moreover, mobile operators will experience a sudden move to managing security across huge, highly distributed networks. Mobile operators have not had to contend with many security issues in the world of GSM and the development of true mobile Internet, with the introduction of 3G, will create many challenges.

Gareth continues, 'the ability to solve mobile security solutions, end-to-end, for enterprises is far easier than in the mobile operator world, lack of experienced skill personnel and the size of networks merely add to the problem.'

Figure 1.2 End-to-End Mobile Security

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About TekPlus:

TekPlus is a strategy consultancy and analyst firm focused on providing solutions for business intelligence and strategic direction. TekPlus aims to provide vendors and end-user clients with innovative concepts, training, strategic consultancy, market intelligence and regular visionary guidance. Our focus is in the areas of Enterprise IT, Telecoms, IT Services, SME, Channels, etc and its application to the vertical industries. We focus in particular on the verticals of Healthcare, Finance, Utilities, Automation and Communications.

TekPlus website – http://www.tekplus.com

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PRESS RELEASE

Mobile Security Seen as Critical to Stimulate Truly Successful Mobile Telecoms & M-Commerce Markets

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8th October 2001

High growth in the European Mobile Security market is identified by TekPlus, a leading industry consultancy, which expects the European market to grow by a compound annual growth rate (CAGR) of 18 percent, from $2.3 billion in 2001 to $3.8 billion in 2004. This impressive growth is a result of service providers and enterprises deploying front and back-end security solutions to provide end-to-end security and management against old and new, internal and external threats. They see this as key to their gaining customer and consumer confidence in the mobile market.

Figure 1.1 Market Forecast of the European Mobile Security Market, 1999-2004