Hosted security market picking up pace in Australia

Set to top $843.1 million by 2012

A new report by analyst firm Frost and Sullivan claims the Australian market for managed security services will grow at a compound annual growth rate (CAGR) of 21.6 per cent between 2006 and 2012 reaching $843.1 million.

It estimates the market for hosted e-mail filtering in Australia will grow at a CAGR of 38.1 per cent between 2006 and 2011 and identifies MessageLabs as the market leader.

The report said MessageLabs had 63 per cent of the Australian market for hosted e-mail filtering services.

The market drivers for this service range from access to specialist skills to lower costs and ease of management.

According to Frost and Sullivan the current market penetration of managed security is a little less than half of Australian businesses but this rate will increase in the next three years.

Dubbed MSSPs (Managed Security Service Providers), the report said customers look to outsourcing for consistency with a company wide security policy and to remain continually abreast of the latest threats and trends.

Moreover, the service is backed by strong service-level agreements (SLAs).

One company that recently outsourced its e-mail filtering is property consultancy, Savills.

The company's Asia IT director, Eddie Overington, said Savills was previously using an appliance that had become ineffective and unable to handle increasingly sophisticated spam techniques.

Since outsourcing, Overington said these attacks have stopped.

"The return on investment has been substantial. There is no software to update and manage which allows my staff to focus on core business projects," he said.

MessageLabs A/NZ country manager, Andrew Antal, said the local market for managed security services is certainly maturing.

He pointed to an IDC report which supports Frost and Sullivan's latest report.

IDC forecasts hosted services to grow at a CAGR of 36.3 per cent between 2006 and 2011.

However, in Gartner's Executive Programs (EXP) survey, which covers 115 Australian IT managers, security wasn't identified as a top 10 priority in 2008.

The survey, which was released last week, found CIOs in Australia and New Zealand (A/NZ) expect their budget to increase by only 1.1 percent this year.

As a result there wasn't a lot of spending allocated to security.

Although security technologies did not make the top 10 in A/NZ it came in at number six worldwide and number two in Asia.

Join the PC World newsletter!

Error: Please check your email address.

Our Back to Business guide highlights the best products for you to boost your productivity at home, on the road, at the office, or in the classroom.

Keep up with the latest tech news, reviews and previews by subscribing to the Good Gear Guide newsletter.

Sandra Rossi

Show Comments

Most Popular Reviews

Latest News Articles


PCW Evaluation Team

Azadeh Williams

HP OfficeJet Pro 8730

A smarter way to print for busy small business owners, combining speedy printing with scanning and copying, making it easier to produce high quality documents and images at a touch of a button.

Andrew Grant

HP OfficeJet Pro 8730

I've had a multifunction printer in the office going on 10 years now. It was a neat bit of kit back in the day -- print, copy, scan, fax -- when printing over WiFi felt a bit like magic. It’s seen better days though and an upgrade’s well overdue. This HP OfficeJet Pro 8730 looks like it ticks all the same boxes: print, copy, scan, and fax. (Really? Does anyone fax anything any more? I guess it's good to know the facility’s there, just in case.) Printing over WiFi is more-or- less standard these days.

Ed Dawson

HP OfficeJet Pro 8730

As a freelance writer who is always on the go, I like my technology to be both efficient and effective so I can do my job well. The HP OfficeJet Pro 8730 Inkjet Printer ticks all the boxes in terms of form factor, performance and user interface.

Michael Hargreaves

Windows 10 for Business / Dell XPS 13

I’d happily recommend this touchscreen laptop and Windows 10 as a great way to get serious work done at a desk or on the road.

Aysha Strobbe

Windows 10 / HP Spectre x360

Ultimately, I think the Windows 10 environment is excellent for me as it caters for so many different uses. The inclusion of the Xbox app is also great for when you need some downtime too!

Mark Escubio

Windows 10 / Lenovo Yoga 910

For me, the Xbox Play Anywhere is a great new feature as it allows you to play your current Xbox games with higher resolutions and better graphics without forking out extra cash for another copy. Although available titles are still scarce, but I’m sure it will grow in time.

Featured Content

Latest Jobs

Don’t have an account? Sign up here

Don't have an account? Sign up now

Forgot password?