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SaaS customers leaving security vendors in the lurch

Organisations using software-as-a-service [SaaS] solutions are increasingly relying on cloud providers for security controls with traditional security vendors being hit hard as a result.

A study carried out by Technology Business Research [TBR] shows that 53 per cent of SaaS-using organisations expect security controls to be selected and then integrated by a cloud service provider. Further to this, over half of the same group have no intention of purchasing or deploying their own security products or service in order to protect products or services moved to the cloud.

“As cloud adoption increases, security vendors will not be directly involved in as many organizations’ security purchasing decisions. Security vendors will be challenged to replace these lost sales opportunities through other initiatives, such as technology partnerships and marketplace alliances with cloud service providers,” said Jane Wright, a TBR senior analyst focusing on information security.

Different research from the same group found that private cloud related revenues will increase to $69 billion [£42 billion] over the next five years and security vendors not embracing the cloud will lose out on a cut of this money. Analysts from the same company state that there will be an increase of 29 per cent in the amount of workloads run on the private cloud from an average of four in 2013 to an average of 10 in 2014.

“Private cloud has truly come into its own as a delivery mechanism that customers understand and are using to achieve the benefits of cloud where public options are either not available or viable,” said lead cloud practice analyst Allan Krans. “It’s an interesting space because the vendor landscape is so diverse and should evolve tremendously as offerings, regulations and open standards play out over the coming years.”