October 30, 2001 -- Seeking to capitalize on growing interest in Internet security, a growing number of managed hosting providers are rolling out offerings designed to protect web servers and corporate networks from "cyberattacks."
Inflow Inc. became the latest provider to target this sector this week, unveiling a suite of managed firewall solutions. IBM, Hewlett Packard, Exodus and Cervalis have also announced security-related managed hosting products in recent weeks.
Internet security has long been an active market for outsourced services due to its importance, complexity and the need for network managers to stay current on the constantly evolving universe of attacks and strategies.
But the Sept. 11 terrorist atrocities have heightened concerns about electronic attacks against network infrastructure, along with increasing sophistication of Internet viruses and "worms" such as Code Red and Nimda.
"This country is at a time and place where security has become an increased concern and a major priority,'' said Art Zeile, the chief executive officer of Inflow.
"Businesses are actively pursuing ways to improve the overall security of their IT and communications infrastructure,'' said Melanie Posey, research analyst at International Data Corporation (IDC). "The latest incidents of viruses and hacker attacks are undoubtedly contributing to the concern."
Research by The Computer Security Institute found that 90 percent of companies detected security breaches in the last 12 months and 74 percent of those companies suffered financial losses due to the invasions.
Some of these intrusions have the potential to disrupt critical infrastructure.
In May, Chinese hackers were able to gain access to the network of the California Independent System Operator (Cal-ISO), which oversees the state's power grid. The North American Electric Reliability Council (NERC) recently reported that there were 230,000 unauthorized attempts to access electric utilities' critical networks in a single month, including 86,000 from China alone.
Providers who've recently spotlighted security offerings include:

• Denver-based Inflow, which operates 18 data centers in second-tier markets, this week began marketing a suite of managed firewall offerings.
• Cervalis, a Stamford, Ct. managed hosting provider, offered a free assessment of companies' networks for potential vulnerabilities.
• IBM introduced its Intrusion Manager product, which will enable mid-sized corporations to monitor their networks for intrusions and threats
• Santa Clara, Calif-based hosting giant Exodus sought to emphasize its in-house expertise with an announcement that its "Cyber Attack Tiger Team" had been accepted into an industry security