by Kunjal Trivedi, Cisco Systems and Damien Holloway, Juniper Networks
As transport becomes a commodity, service providers are seeking new revenue sources and new ways to differentiate themselves. Managed security services address a growing market because business customers are struggling to comply with regulatory requirements such as the Payment Card Industry-Data Storage Standards (PCI-DSS), the Sarbanes-Oxley Act, the Gramm-Leach Bliley Act, Health Insurance Portability and Accountability Act (HIPAA), Directive 2002/58/EC, and the Asia-Pacific Economic Cooperation-Organization for Economic Cooperation and Development (APEC-OECD) initiative on regulatory reform. Increasingly, business customers recognize that outsourcing network security is less costly than staffing with highly specialized security personnel who can provide 24-hour incident detection and response. Another incentive for outsourcing is to free existing IT resources to focus on the core business.