CORRECT (6/22): Microsoft Security Tools Underscore Free Antivirus Trend
June 23 2009 - 1:48PM
Dow Jones News
Microsoft Corp. (MSFT) on Tuesday will release a preliminary
version of a free antivirus tool, shifting its strategy for
computer security protection, which underscores the growing
popularity of free security tools.
Microsoft Security Essentials, which is designed to identify and
destroy viruses and other malicious software, will replace
Microsoft's OneCare, a $50-per-year subscription security
service.
The move into free antivirus protection from the world's largest
software maker could pose a challenge to the large security
software makers, such as Symantec Corp. (SYMC) and McAfee Inc
(MFE).
Theresa Burch, a director of product marketing for Microsoft
Security Essentials, said the product is primarily designed for
emerging market customers who in many cases may not have credit
cards or other means of paying for tools via the Internet. The
tools are stored locally on the user's computer, but users don't
have to re-subscribe to get ongoing protection, Burch said.
Research shows that the proportion of people downloading free
antivirus software increased in 2009 over 2008.
"There's an increasingly technically savvy population who are
happy to cobble together their own security packages," said
Jonathan Penn, a security software analyst for Forrester Research.
"There's also a recognition that whether they use free or paid
software, consumers won't ever be completely safe."
Both Symantec and McAfee argue that they have more comprehensive
antivirus protection in their consumer antivirus tools, such as
Symantec's Norton 360 and McAfee's Total Protection. Mike Plante, a
product marketing specialist at Symantec, said in reviews,
Microsoft's product under-performs not only Symantec's products but
the existing free products.
While few analysts think consumers will abandon the use of paid
antivirus tools in droves, Symantec and McAfee "have the most to
lose," from free antivirus tools, Forrester's Penn said.
Symantec gets around one third of its $6.2 billion in annual
revenue from consumer antivirus tools, but these tools are among
the most profitable of the company's products, analysts say.
Symantec is the world's largest security software maker, with
around a third of a market worth $10 billion in 2007. McAfee, which
is expected to generate around $1.8 billion in 2009 sales, gets
about 40% of its sales from consumer antivirus products.
-By Jessica Hodgson, Dow Jones Newswires; 415-439-6455;
jessica.hodgson@dowjones.com