Merrill, however, paints a relatively rosy security picture, with execs predicting growth of 4.8 percent in their security spending this year. American CIOs, on the other hand, seem more willing to open their wallets than European execs, envisaging a 5 percent spending hike, compared to just 4.1 percent on the other side of the Atlantic.
But even with healthy security spending levels, there is a shift underway in what users are buying, according to Richard Stiennon, chief research analyst at IT-Harvest. “Probably the biggest shift has been toward compliance technologies for things like reporting, storing, and archiving,” explains Stiennon, with users still feeling the strain of legislation such as the Sarbanes-Oxley Act, and the Health Insurance Portability and Accountability Act (HIPAA).
Yesterday, analyst firm Infonetics also reported that many users are looking deeper into network access and content security solutions, which is delaying some core security purchasing until later in 2006.
Users and analysts have identified uncertainty in the U.S. economic climate as a key factor in the overall spending slowdown. “The end of 2005 was slow, then it picked up in the spring, but now it has slowed down again,” explains Dan Tanner, a member of the Storage Networking User Group of New England (SNUGNE) and founder of consulting firm ProgresSmart.
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