Spending on security
20th January 2003 (Computimes)
By SHARIFAH KASIM AND ROZANA SANI

LOCAL enterprises are expected to spend more on information and communications technology (ICT) security solutions this year as a result of an overall increase in their usage of ICT.

Industry observers said the rise in the usage of ICT, in turn, is spurring the need to protect mission-critical applications and systems as well as information. According to the Association of the Computer and Multimedia Industry Malaysia (Pikom), end users and management of enterprises are now more aware, have better understanding and are better equipped to address security issues.

Chairperson of its special interest group on info-security Xavier Tan said with lessons learnt from the Sept 11 attacks, organisations all over the world, including Malaysia, are more aware of the importance of ICT security.

"While spending trends are highly sensitive to each organisation, it is suffice to say that enterprise security as opposed to standalone security takes the lead this year," Tan told Computimes last week.

According to him, the financial sector will take the lead in ICT security solutions spending, and followed by the telecommunications sector and the Government.

"Banks, for example, are actively encouraging home users to log on to the Internet for banking transactions and therefore there is the need to beef up the online security," he said.

ICT security systems that will be prioritised by enterprises are gateway security, remote monitoring, managed security services, and outsourcing, he added.

A typical organisation, according to Tan, will opt for gateway security, which is the first point of entry for an Internet transaction. "For enterprises that already have this, they will go for the second level that is remote monitoring of security systems to reduce their workload or logistics in security systems, followed by managed security services," he said. These systems, he added, relieve organisations of scarce ICT security personnel that are much sought after at present.

Sharing Tan's view on increasing threats to security is consulting partner of KPMG Consulting Sdn Bhd Woon Tai Hai who said the Government, corporations and individual citizens understand that the need to protect and prevent loss of property and life also extends to data and information.

He said there exists catalysts for the demand for ICT security technologies like an increase in threat of global terrorism, pushing the Government and corporations to increase their budgets for enhancing security.

Another catalyst typically faced by the Government is the need to authenticate and identify a large number of individuals to screen among visitors and citizens, Woon said. On the other hand, he said with citizens demanding for unobtrusive security measures, electronic surveillance technology will replace physical presence of security forces.

Meanwhile, executive director of PwC Malaysia's operational and systems risk management Ong Ai Lin said organisations and companies in the Government, the financial and healthcare sectors are among key users of ICT security solutions.

Security, which has been an important area in ICT spending, will continue to be a priority due to increasing threats of cyber terrorism. "Such threats are becoming more real to companies and organisations, thus leading them to pay more attention and resources to protect their applications and information," she said.