Trends That Are Driving Network Security Market

ByByByBy Sonal DesaiSonal DesaiSonal DesaiSonal Desai, , Aug 12, 2013, , Aug 12, 2013, , Aug 12, 2013, , Aug 12, 2013

Targeted attacks, APTs, Web application and server protection, IPv6, cloud security and mobility are driving the demand

for network security

The network security market in India stood at Rs 1,406 crore in FY2012The network security market in India stood at Rs 1,406 crore in FY2012The network security market in India stood at Rs 1,406 crore in FY2012The network security market in India stood at Rs 1,406 crore in FY2012----13, and is expected to be Rs 1,638 crore in 13, and is expected to be Rs 1,638 crore in 13, and is expected to be Rs 1,638 crore in 13, and is expected to be Rs 1,638 crore in

FY2013FY2013FY2013FY2013----14. According to RS Market Research Solutions, large enterprises contributed 44.3 percent of last fiscal’s total, 14. According to RS Market Research Solutions, large enterprises contributed 44.3 percent of last fiscal’s total, 14. According to RS Market Research Solutions, large enterprises contributed 44.3 percent of last fiscal’s total, 14. According to RS Market Research Solutions, large enterprises contributed 44.3 percent of last fiscal’s total,

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“While the IT-ITeS segment has to comply with Sarbanes-Oxley, India-specific regulatory mandates are also an

increasing concern. The Information Technology Act of India, and RBI, in 2012, introduced several compliance

measures. Over the next two years Indian FSIs will need to comply with these mandates,” observes Pinakin Dave,

National Manager, Channels & Alliances, McAfee India.

According to Manatosh Das, Senior Analyst, Forrester Research, targeted attacks, APTs, Web application protection, Web

server protection, cloud security, mobility and encryption are the major trends driving the demand.

Targeted attacks and APTsTargeted attacks and APTsTargeted attacks and APTsTargeted attacks and APTs

According to CERT-In, an estimated 14,392 websites were hacked in 2012 till October. “2012 saw an increase in

targeted attacks, and the trend will continue. Such attacks make it difficult to ensure effective incident response

because hackers attack any hardware on the way out,” Dave cautions.

Ashok Prabhu, CEO, ValuePoint TechSol, Bengaluru, agrees. “Many of our large enterprise customers have allowed

employees to use social media, but they are unable to track the origin and persistence of zero-day attacks. We are

deploying context-aware intelligent network security solutions for these customers.”

“The exhaustion of IPv4 addresses, evolution of IPv6, and the emergence of the Internet of Things will boost network security in a big way” Diwakar Dayal, Lead, Security, Borderless Networks Sales, Cisco India & Saarc

Web application and server protectionWeb application and server protectionWeb application and server protectionWeb application and server protection

Money and spying are the two main motivators for cyber attacks targeting Web servers.

“Consider a scenario of high performance networking. How many data centers have the capability to mitigate advanced

targeted attacks, zero-day vulnerabilities and malwares, and provide CXOs visibility and control over their DCs?” asks

Vishak Raman, Senior Regional Director, Fortinet, India & Saarc.

Hyderabad-based Locuz Enterprise Solutions has set up PoCs with select customers for identity and access

management (IAM). “So far we have deployed five projects, each worth $50,000. The lead-time for these projects is 3-5

months, but once deployed IAM acts as a gateway between the user and the applications,” says Durganadh Venkata,

Senior VP, Business Development & Operations, Locuz.

In a project worth $100,000, Gurgaon-based ACPL Systems consolidated the firewall of a large BFSI customer which was

scattered over 60-70 different locations. “The RoI was clear. We conducted a network audit and showed the company

not only the source of attacks but also the kind of attacks that were entering their network. Once the solution was

deployed, the malicious attacks stopped,” informs Vishal Bindra, CEO, ACPL, Delhi.

IPv6IPv6IPv6IPv6

The Indian government recently updated its IPv6 roadmap which details some pilot projects and a new set of

deliverables to make a complete transition to IPv6 by 2017.

Since IPv6 requires a major upgradation of the network infrastructure, security is a major concern. “The exhaustion of

IPv4 addresses, the evolution of IPv6-oriented technologies, government initiatives to push the transition to IPv6, year-

on-year explosive growth of mobile devices, and the emergence of the Internet of Things will boost network security in

a big way,” forecasts Diwakar Dayal, Lead, Security, Borderless Networks Sales, Cisco India & Saarc.

In addition, organizations with multiple location presence are looking at GRC, SIEM and database security to comply

with multiple regulations. Remarks Prabhu, “They have invested in tools, but don’t have the means to implement a

solution. For instance, I know many large enterprise customers who maintain compliance data in Microsoft Excel sheets.

They are now scouting for GRC solutions but want a cost-effective mechanism.”

Venkata adds, “Many enterprises which are up for upgrade are evaluating IPv6, and that is a huge opportunity.

Migration to IPv6 requires a customer to revisit his security infrastructure and may even require an overhaul if the

networking is too old.”

Cloud securityCloud securityCloud securityCloud security

According to Ashish Dhawan, MD, Asia, Juniper Networks, strict IT budgets, an increasing number of SMBs, broadband

penetration and enterprise mobility are prompting cloud service providers to look at cloud security in a holistic

manner.

“Many CIOs are not conversant with network security. They have to work with constrained budgets, and therefore, do not provide for network security in their budgets” Vishal Bindra, CEO, ACPL

Bindra explains that data privacy and the need to adhere to regulations, especially by customers in the pharma and

manufacturing segments, or multi-group companies which have adopted SaaS, are forcing cloud service providers to

invest in network security.

Locuz, which has a cloud services portfolio, helps customers in security assessments before they move to the cloud.

“We are running PoCs with six customers whereby we are helping them to assess their network security. Once they

come on board, detailed network security assessment projects starting at $10,000 add to our services revenue pie,”

reveals Venkata.

MobilityMobilityMobilityMobility

Ambarish Deshpande, MD, India Sales, BlueCoat, quotes from a recent survey which the company undertook. “We

learned that organizations wanted to enable a BYOD policy but were hindered by the fear of data leakage.”

Adds Dhawan, “Mobile devices are an attractive target for cyber-criminals, but organizations cannot restrict customers

or internal stakeholders from accessing mobile devices. Instead, organizations need to improve security by exerting

greater control over their mobile exposure.”

The need of the hour is context-aware intelligent security solutions that recognize the user’s behavior based on the

device and the role of the user. Raman notes that many large enterprises are testing the waters with sand-boxing as a

built-in feature.

ChallengesChallengesChallengesChallenges

Even as vendors launch new products to satisfy their customers’ need to protect their network from newer and

persistent attacks, they admit that partners need to adopt a solutions-based approach to bag large-ticket deals. They

also believe that partners will have to up their ante, train their executives, and develop adequate skill-sets to participate

in bigger projects.

Says Raman, “Many partners do not invest in skill-sets because of the fear of losing the resource to a rival or vendor.

But network security is a complicated process, and partners have to invest significantly to participate in larger projects.

They need to develop a reputation.”

According to Sunil Sharma, VP, Sales & Operations, Cyberoam, “Educating customers is vital. A partner will be able to do

that only if he is clear about the concepts. Once he can convince customers about the importance of network security

he can up-sell and cross-sell solutions. This would help him to form long-lasting relationships.”

Partners however complain that they do not get adequate support from vendors, who prefer to work with tier-1 systems

integrators in large-ticket deals. They also accuse vendors of leveraging the ignorance of CIOs to push their products to

meet targets.

Comments Bindra, “A majority of CIOs are not conversant with the concept of network security. Many have to work with

constrained budgets, and do not even provide for network security in their IT budgets. If anything goes amiss, they

change the product—without going into the reason behind the problem.”

“Network security requires consistent monitoring, and only a security administrator can do the job, especially because it

involves frequent changes in policies,” counsels Moin Shaikh, Director, Innovative Telecom & Softwares, Surat.

Prabhu feels that although CISOs have a holistic understanding of network security, a majority of them buckle under the

pressure of limited budgets and focus only on adhering to compliance and regulations. “The lament is that many CISOs

compromise on network security and are happy to buy UTMs,” says Bindra.

ConclusionConclusionConclusionConclusion

Network security is a vast open field which offers innumerable opportunities to partners. It is now upto partners how

they leverage on the opportunities, and develop profitable business models from them.

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