Software as Service or Cloud Based Solutions?

What are the "real" differences between software as service and cloud based security solutions? Which will predominate going forward? Larry Ellison recently commented that cloud computing will be a failed idea, yet most AV and malware security companies such as Symantec, Trend Micro and McAfee are moving in this direction.

Marketing & Sales Roundtable: Tough Times Sales Strategies

I will be representing ESET on a panel of experts at the AeA Marketing & Sales Roundtable meeting on November 13th. The panel of technology sales executives will discuss how they are combating the effects of tough economic times with innovative direct and indirect sales strategies, campaigns and programs. Investing time in designing and implementing targeted, high-payoff sales approaches is key to both protecting sales and gaining market share at the competitors' expense.discuss ways to keep sales performance within expectations during uncertain economic times. Industry leaders from Websense, Indyme Solutions and The Sales Alliance will also participate on the panel which will be hosted at UCSD.

Champions Rise to the Occassion

We have arrived this year to ESET’s North American Partner’s Conference at a time of global financial and political uncertainty. Likely, some of us are wondering what impact these factors will have on our businesses in the coming months. Historically, a slowing economy has dictated decreased IT spending. In the past, when IT budgets shrink, security budgets usually have taken an even larger percentage hit than IT overall.

Despite our historical experience, I’d like to present several current trends which indicate that spending on IT security may remain constant or even increase during the downturn. Factors driving this change include the growing global threat of cybercrime, greater global awareness about the importance of IT security and the growing regulatory environment. ESET is particularly well positioned in this environment due to the strength of its proactive technology, our strong VAR network and our growing global brand awareness, marketing and customer support.

One likely impact of worsening economic times will be a rise in cybercrime. Several studies show that that during the last three global economic downturns (early 1980s, 1990s, and 2000s) theft and robbery crimes were at their highest rates.(1) Among these statistics were crimes committed against businesses such as data and IP theft on a worldwide basis. These crimes are increasingly perpetrated with the use of computers making intrusion and data protection and data loss prevention top IT priorities. There is a growing awareness by IT professionals and business leaders that cyber threats (including a 10 fold increase in malware objects in 2008) are rapidly expanding in both scale and scope.

Many IT Managers and C-level executives see security and especially malware protection as an insurance policy which protects critical personal and corporate information against the risk of loss or corruption. Companies, like individuals, have been highly resistant to cancelling insurance coverage of any sort during economic downturns. They tend instead to “tighten the belt” by delaying new projects or forgoing luxury purchases. An additional factor to consider is the proliferation of compliance/regulations (SOX, PCI, HIPAA, etc.). These regulations compel organizations to focus significant time, energy and budget on IT security.

Given current trends and taking ESET’s strong product and global presence into account, it is likely that ESET Partners will experience a less severe impact than other players in the market. In a worst case scenario, companies will pull back into “maintenance mode” and some new projects may be delayed. Still we may expect that renewal rates from existing customers will remain steady. Customers are unlikely to forgo protection of their data assets given the current threat and regulatory environment as described. ESET’s commitment to product quality, new feature enhancements coupled with strong customer support will keep us ahead of the market.

1.Montez, Brown, “How to Recession Proof Cyber-Espionage”, September 3, 2008, http://www.webupon.com/writers/Montez%20Brown.68641

Uncertain Times Means Opportunity for ESET

While many continue to debate whether the global economy is in recession now or will be soon, most key economic indicators point to tougher times ahead. Historically, a slowing economy has dictated decreased IT spending. When IT budgets shrink, security budgets usually take an even larger percentage hit than IT overall. In many cases security gets lost or put on hold.

Despite our historical experience, several current trends indicate that spending on IT security may remain constant or even increase during the downturn. Factors driving this change include the growing global threat of cybercrime, greater global awareness about the importance of IT security and the growing regulatory environment. ESET is particularly well positioned in this environment due to the strength of its proactive technology, our strong partner network and our growing global brand awareness, marketing and customer support.

One likely impact of worsening economic times will be a rise in cybercrime. Several studies show that that during the last three global economic downturns (early 1980s, 1990s, and 2000s) theft and robbery crimes were at their highest rates1. This included crimes committed against businesses such as data and IP theft. Since such crimes are increasingly perpetrated with the use of computers, intrusion prevention and data protection are more critical than ever to security managers. This has been especially true in many rapidly developing economies including Eastern Europe, Asia Pacific and Latin American.

One additional factor to consider is the proliferation of compliance/regulations (SOX, PCI, HIPAA, etc.) which are being mirrored by many countries around the world. These regulations compel organizations to focus significant time, energy and budget on IT security. Also, many public and larger companies have stringent reporting requirements; a trend which is likely to continue.

Given current trends and taking ESET’s strong product and global presence into account, it is likely that we will experience a less severe impact than other players in the market. In a worst case scenario, companies will pull back into “maintenance mode” and some new projects may be delayed. Still we may expect that renewal rates from existing customers will remain steady. Customers are unlikely to forgo protection of their data assets given the current threat and regulatory environment as described. ESET’s commitment to product quality, new feature enhancements coupled with strong customer support will keep us competitive in the current market.

The opinions and information presented here are my personal views and not those of ESET.

1.Montez, Brown, “How to Recession Proof Cyber-Espionage”, September 3, 2008. On the web at http://www.webupon.com/writers/Montez%20Brown.68641