Report: Half of Companies Have Deployed Encryption Because Of Targeted Attacks

PRESS RELEASE

SAN JOSE, Calif. - Apr. 10, 2012 -Vormetric, Inc., the leader in enterprise encryption and key management, today announced that Jon Oltsik, Senior Principal Analyst with independent research firm Enterprise Strategy Group, Inc. (ESG) has published a paper entitled, "Enterprise Encryption and Key Management Strategy: The Time is Now." The report presents new research findings on the use of data encryption in enterprise networks. Among the findings, Oltsik warns that encryption technologies are being implemented in a disorganized, ad hoc manner that leads to increased security risks and costs, and provides a recommended framework to address these shortcomings.

The ESG report may be downloaded at: http://bit.ly/IbFk20.

According to Oltsik, "When it comes to information strategy, large organizations tend to focus on firefighting rather than long-term strategy. Unfortunately, this short-sighted approach has its limits. Ad hoc encryption leads to redundant processes, complex operations, and high costs while placing sensitive data at risk of accidental compromise or malicious insider attack."

Several factors are driving the increase in data encryption, including: regulatory compliance, an increase in publicly disclosed breaches, and the need to protect intellectual property from advanced persistent threats (APTs). According to ESG, 54% of organizations have deployed data encryption technologies in response to APTs.

Data Encryption Growing Pains

"Current point products do a good job of protecting private data in isolated areas, but they don't provide a comprehensive solution to data privacy issues across the enterprise," states Oltsik.

The report cites the four most common enterprise encryption and key management shortcomings as: