Microsoft Joins Free Security Software Push
Jan 05,2009 00:00 by admin
Two years ago, Microsoft rankled computer-security software vendors by jumping into their market (BusinessWeek.com, 6/1/06). Now the company is again creating waves by pulling out of it.

It's not that Microsoft (MSFT) will stop providing security products. But starting next year, the software giant plans to stop selling its OneCare security program, a $50-per-year virus-cleaning service that failed to generate much consumer interest. In its place, Microsoft plans to release a free antivirus program (BusinessWeek.com, 11/19/08) code-named Morro, aimed at squelching more of the malicious software that infects Windows PCs and tarnishes Microsoft's brand. "We're trying to get [protection to] the 60-odd percent of the people who don't have anti-malware," says Amy Barzdukas, a senior product management director at Microsoft.
Free Programs Gain Popularity

For a growing number of consumers, "free" has become the new watchword in PC security�"just as it has in other software categories, from e-mail to word processing. AVG Technologies , a Dutch company that's expanding in North America, claims 80 million users of its software, and on Dec. 3 launched the Spanish-language version of its program. Comodo, a New Jersey maker of data encryption software, is stepping up marketing of its free desktop security suite, which it says 15 million users have downloaded. Vendors including Avira and Clam AntiVirus also give away programs. Now it's Microsoft's turn. "Everybody is concerned about anti-malware, and practically no one wants to pay for it," says Roger Kay, founder and president of industry consultant Endpoint Technologies Associates, which consulted for Microsoft on its security strategy.

Free security software offers the opportunity for technologically advanced PC users to save money by cobbling together the programs needed to protect their machines, rather than paying $40, $50, or more each year to Symantec (SYMC), McAfee (MFE), Trend Micro (TMICY), or other makers of Internet security software. "AVG is the product of choice for technically savvy people," says Richard Stiennon, chief research analyst at consultant IT-Harvest.

The free programs' popularity is also a response to what many users see as feature-bloated programs from larger vendors that slow computer performance. They're already starting to take share in emerging markets like China, Brazil, and parts of Europe, and could push down prices in the U.S., say vendors and analysts. That's a concern to vendors in the market for consumer PC security software, which researcher Gartner (IT) predicts will grow 15% in 2008, to $2.9 billion. "We can not fight the war against malware with security products being a luxury," says Comodo CEO Melih Abdulhayoglu.
Threats on social networks, too

The big security software publishers argue that free antivirus and antispyware programs don't represent the state of the art in PC protection because they largely focus on e-mail-borne viruses while neglecting threats that emanate from the Web.



 http://www.businessweek.com/technology/content/nov2008/tc20081121