Survey Reveals Economic Downturn will not Affect IT Security Spending
London, UK – June 25, 2008 – A survey released today found that UK IT security professionals do not envisage budgets being cut in the economic downturn but do feel more pressured to demonstrate value and efficiency to the business. The findings of the survey, conducted by VeriSign, Inc. (NASDAQ: VRSN), the trusted provider of Internet Infrastructure services for the networked world, make interesting reading for UK businesses wanting to retain the loyalty and business of their online customers.
Eighty-two percent of respondents said that a reduction in IT security spending in the downturn will hurt businesses in the long run. In fact, 63 percent believe that there will be no cutbacks in the next year. The respondents that do think budgets will be cut are still reasonably positive, with 77 percent thinking that the cut will be less than 20 percent, and only 20 percent expecting budgets to decrease by 20-40 percent.
Mike Davies, director of Identification and Authentication Services, VeriSign EMEA, said, "As consumer confidence erodes in the economic downturn, it's important that businesses encourage trust in online services. Security and trust need to be top of mind for businesses wishing to maintain the recent boom years of online transactions in today's economic climate."
When asked where budget cuts were most likely to happen in the downturn, 75 percent expected a reduction in staff and overhead costs, with only 17 percent expecting cuts to IT security spending. Most respondents indicated that they were under pressure to demonstrate the value of IT investments and are looking for ways to increase efficiency.
Davies continued, "In uncertain economic times it is critical to put consumers' minds at ease by assuring them of safety when they make transactions online. Companies must deliver a safe online experience for their customers, yet do so in a cost-effective manner."
In offering a solution for businesses, Davies suggests, "There is an increasing trend for consumers to identify themselves to businesses, and this is being intensified by compliance and new regulations. It's important for businesses looking for consumers to authenticate themselves to use a simple and cost effective model like a networked authentication model that verifies users' identities while cutting infrastructure and maintenance costs. In addition, online businesses need to be more accountable to consumers by verifying that they are who they say they are. Online security is a two-way street and everyone needs to play their part to ensure a productive and safe virtual world."
The survey was carried out by VeriSign in London, UK between April 22-24th among 179 IT security professionals.
VeriSign, Inc. (NASDAQ: VRSN) is the trusted provider of Internet infrastructure services for the networked world. Billions of times each day, VeriSign helps companies and consumers all over the world engage in communications and commerce with confidence. Additional news and information about the company is available at www.verisign.com.
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