There is no doubt that security is one of the greatest challenges – and barriers – facing the mobile marketplace today. But mobile security also represents a massive opportunity, particularly for telecom operators and technology providers.
The reality is that – as consumers and enterprises become increasingly reliant on mobile technology – the demand for mobile security solutions has spiked. Consumers are worried that all of their personal data that now resides on their smartphones – contacts, bank account numbers, emails and so on – will fall prey to identity thieves and crooks. The risk for corporations is higher still as mobile devices become integrated into the office environment and start to be used to access sensitive company information, customer records and valuable intellectual property.
As a result, 'trust' has become the byword of the mobile era. Consumers need to trust that their data and information is being kept securely when using mobile devices and services, while corporations need to trust that their service providers, technology environments and employees are adhering to their security protocols.
Herein lies the opportunity for telecom operators and technology providers. Working in partnership with Forrester Research, KPMG International examined the current mobile security market and looked at some of the key indicators for future success in this area.
We found that there are significant opportunities for telecom and technology organizations to achieve growth from mobile security. Indeed, there are already a number of telecom and technology companies making strong businesses out of mobile security solutions and creating new and sustainable revenue streams.
In the resulting report, Mobile Security: from risk to revenue, some of KPMG’s telecom and technology leaders from around the world took a look at these new opportunities and offer some of their own perspectives based on their experiences in the market.
Given the trend towards more commoditized data volume businesses, it seems inevitable that – regardless of how much volume mobile creates – telecom operators and carriers will need to differentiate themselves and renew their businesses to survive in longer-term.
We believe that those operators and carriers that can build and deploy smart security services built on top of their data traffic will not only deliver a superior and secure experience to their customers; they will also generate new and sustainable growth opportunities and revenue streams. Some of these opportunities include:
Mobile is a veritable hothouse for technology innovation. What’s more, it’s still a fairly level playing field which means that small and nimble boutique firms with an interesting technology alternative to offer can compete head-to-head with more established players.
While the mobile security field is still somewhat nascent (it has, after all, only been 6 years since the commercial introduction of the first smartphone), the report found that there are a number of innovative security technologies and services rapidly emerging on the stage, creating new opportunities for small tech players and traditional stalwarts alike.
True; mobile security business models are only just emerging and the field will undoubtedly open up a host of new opportunities for telecom and technology companies in the future.
But given the speed of the technology’s adoption and the increased sensitivity of the traffic, we believe that industry leaders would be wise to start considering how they might transform their organizations to serve this new and growing market.
By Alfred Koch, KPMG in Germany