Hardware authentication devices are secure

By IT-Observer Staff
Friday, 30 September 2005 15:38 EST

New analysis reveals that security breaches, identity theft and phishing attacks have made businesses worried of the danger posed by insecure authentication. Consequently, companies are willing to invest in reliable hardware authentication devices that offer enhanced network security.

“Hardware authentication devices enhance network security by providing two-factor authentication. They serve as users’ digital identity organizer, managing their varied credentials whether they are encryption keys or passwords, on one device. This eliminates the need to remember several different passwords to access different resources in the network,” says Frost & Sullivan Research Analyst Zubin Baben. “End users will embrace security solutions that are easy to use.”

Hardware devices usually have challenges in integrating the technologies with the existing IT infrastructure of the enterprise. More over, large-scale deployment requires backend software support and suitable infrastructure that may shrink the IT budget.

In addition, the market must convince the enterprises that hardware authentication drivers are worthwhile investment and also must meet businesses’ requirements for cost-effective products and wider application support.

“The enterprises are hoping for a comprehensive solution that will seamlessly integrate physical and logical authentication processes in a user-friendly manner while simultaneously performing a variety of operations such as payment and employee benefits,” notes Baben. “Delivering such a solution could boost acceptance of hardware authentication devices in the market.”

The analysis, sponsored by Frost & Sullivan, is part of the World Hardware Authentication Devices Markets, has shown this industry totaled $248 million in 2004 and can reach $1171 million in 2011.

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