LAKE BUENA VISTA, Fla., October 7, 2002 - If approved, the fiscal year 2003 federal budget will not have a significant effect on improving the security of vulnerable government systems for at least three years, according to Gartner, Inc. (NYSE: IT and ITB).
These findings were presented today during Gartner Symposium/ITxpo 2002, which is taking place October 6-11 in Lake Buena Vista, Florida.
"Although the proposed budget includes a 64 percent increase in IT security spending by government agencies, most of the spending is remedial," said John Pescatore, vice president for Gartner. "The money will go towards fixing known deficiencies, not toward acquiring new and improved security capabilities."
According to Gartner, even though there has been a lot of discussion among U.S. citizens regarding the need for increased security, the issue of privacy also plays a major role in how the government is able to implement safeguards.
"By the end of 2004, 30 percent of anti-terrorism regulations will be rolled back due to increased citizen concern over privacy violations," Pescatore said. "We are experiencing a temporary willingness to forego privacy for safety, but it won't last at the price of decreased privacy."
Another factor in diluting the effectiveness of the monetary increase on homeland security is the time it takes for government processes to take effect.
"Due to the prolonged government programming and budgeting process, products to address resiliency, reliability and intelligence-sharing in a post-Sept. 11 environment cannot be implemented on a large scale for another three or more years," Pescatore said.
The new Homeland Security Department needs to emphasize some "quick wins for more efficient, more secure information sharing among homeland security agencies." In previous research, Gartner has challenged the new department to enable secure e-mail for every Homeland Security Department employee within six months of establishment of the new department.
According to Gartner, if terrorism levels remain at pre-September 2001 levels, as they have through September 2002, security consciousness and security spending will diminish as well.
"Spending on homeland security is a zero-sum gain. For private industry, the reduction in EBITDA usually has to be made up by reducing spending in some other area," Pescatore said. "The most potent stimulus to security spending is economic growth."
Gartner Symposium/ITxpo is the IT industry's largest and most strategic conference, providing business leaders with an insightful look at the future of IT. For more than 10,000 IT professionals from the world's leading enterprises, Gartner's annual Symposium/ITxpo events are key components of their annual planning efforts. Attendees are responsible for more than $35 billion in IT spending for their respective companies. For more information about Gartner Symposium/ITxpo 2002, please visit
www.gartner.com/symposium or call 1-800-778-1997.
About Gartner
Gartner, Inc. is a research and advisory firm that helps more than 10,500 clients understand technology and drive business growth. Gartner's businesses consist of Gartner Research, Gartner Consulting, Gartner Measurement and Gartner Events. Founded in 1979, Gartner is headquartered in Stamford, Connecticut, and has 4,000 associates, including 1,200 research analysts and consultants, in more than 90 locations worldwide. Fiscal 2001 revenue totaled $963 million. For more information, visit www.gartner.com.
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