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06/19/2006

Compliance Infrastructure Market to Pass the $21 Billion Mark in 2010, IDC Predicts

FRAMINGHAM, MA – JULY 19, 2006 – The compliance infrastructure market is expected to pass the $21 billion mark in 2010, increasing at a compound annual growth rate of 18.4% from 2005 to 2010, a new IDC study reveals. Revenue contribution from services will continue to account for the largest portion of spending in 2006, as organizations continue to focus on the IT processes, configuration, and design of their IT infrastructure. This trend however, will change in 2007 with software accounting for the largest product segment. Revenue from software is expected to post the fastest growth through 2010.

"The compliance infrastructure market looks at the convergence of technologies that enables organizations to demonstrate controls over four primary areas: information integrity, process integrity, controlled access, and information retention," said Vivian Tero, IDC's senior research analyst for Compliance Infrastructure. "Organizations typically view regulatory requirements as part of enterprise risk management. These organizations understand that demonstrating good corporate governance is critical to their brand and positively impacts their cost of doing business."

The following developments will continue to underpin spending:

— End users learning from their experiences in the first two years of Sarbanes-Oxley (SOX) compliance are increasingly aware of the opportunity to automate key business processes and leverage common data sets and components across multiple regulatory compliance and legal requirements.

— The upcoming amendments to the Federal Rules on Civil Procedure for Electronic Discovery underscore the need for organizations to get their records and information house in order.

IDC's study, Worldwide Compliance Infrastructure 2006-2010 Forecast: SOX 404 Requirements and the Emergence of the Records and Information Infrastructure Platform Define the Market (IDC #201961) reviews the state of the compliance infrastructure market in 2005 and forecasts how developments in the regulatory and legal environment will impact growth and market dynamics in this area from 2006 to 2010.

To purchase this document, call IDC's Sales hotline at 508-988-7988 or email sales@idc.com.

About IDC

IDC is the premier global provider of market intelligence, advisory services, and events for the information technology, telecommunications, and consumer technology markets. IDC helps IT professionals, business executives, and the investment community make fact-based decisions on technology purchases and business strategy. Over 850 IDC analysts in 50 countries provide global, regional, and local expertise on technology and industry opportunities and trends. For more than 42 years, IDC has provided strategic insights to help our clients achieve their key business objectives. IDC is a subsidiary of IDG, the world's leading technology media, research, and events company. You can learn more about IDC by visiting www.idc.com .

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