Industry News and Trends
The Information Security Industry has moved to the forefront of the Information Technology Industry due to many recent events that include the coming and going of Y2K, increased financial commitments to Electronic Commerce, and the recent headline-grabbing denial of service attacks that effected a majority of internet users. As a result, corporations are starting to examine their Information Security budgets more closely.
The growing concerns have created great demand for the Information Security Technical and Sales Specialists. The major area of growth is in the field of outsourced service providers. These include Information Security consulting firms and application service providers (ASPs) that focus on providing an Information Security service.
Due to the shortage of qualified individuals, corporations are turning to both their traditional consulting firms and the emerging Information Security consulting companies to provide the necessary expertise to address the issues. In addition, the idea of managed Information Security solutions such as managed firewall services and managed intrusion detection has caught the attention of most corporate information technology executives, as they explore the value of Application Service Providers.
This trend has inspired an increase in hiring by pre-IPO Information Security Service Providers that sell Information Security Consulting Services, Managed Information Security Products, or combinations of these products and services. These companies are offering creative compensation packages for technically astute Information Security Professionals that have good interpersonal skills. These compensation packages typically consist of base salary, creative bonus plans (10-25%), and generous stock options. Some firms are even offering an incentive bonus to give their employees salary increases as they acquire new information security skills that can be resold to clients.
As these emerging security companies begin to acquire technical talent, they are forced to expand and grow their sales force so that they may educate their customer base on who they are, what they do, and why they are different. The pre-IPO companies do not have the marketing resources and developed sales channels that the more established companies have. This has put a premium on Information Security Sales Professionals who understand the industry, have a well-developed regional client base, and have a proven track record of success.
The lure of pre-IPO stock, the increased opportunity, and the expected growth of the industry have placed a strain on some of the more established Information Security consulting and product companies. Most of the smaller companies are offering packages with comparable base-salaries but with increased financial opportunity. Many talented Security Consultants and Sales Professionals are viewing this shortage as an opportunity to explore options that are potentially more lucrative.
Recent history shows that Security Professionals, with proven skills and a track record for success, are assuming minimal risks in aligning themselves with these pre-IPO companies. The heated market for technical stocks has created instantaneous rewards for these individuals in the range of six and even seven figure gains resulting from generous stock option packages. Two or three years of onešs career are a small price to pay for the chance of such a lucrative payday. On the other hand, one cannot underplay the allure of job security and longevity associated with the more established firms. Whatever the decision, established Old Economy company or emerging new one, each opportunity should be carefully investigated. It is important that all of the facts are understood before accepting a new opportunity.
