In a recent revelation by Daisy Corporate Services, their ‘State of Networking Report 2024’ showcases a worrying trend within the industry.
The research, which surveyed 250 IT decision makers in the UK, including 25 from the banking and financial services sectors, indicates a significant rise in network security threats. Over the past 18 months, 72% of financial organisations reported an increase in such threats, with 60% citing cybersecurity challenges as their primary concern.
The shift towards remote and hybrid working models is identified as a major factor contributing to these increased threats, with a staggering 89% of organisations acknowledging its impact.
This shift has exacerbated the complexity of network management, with a majority (68%) of organisations describing their networks as a patchwork of various technologies. Notably, 94% of these organisations are facing issues due to this diversity in their network systems.
Joel Cunningham, Head of Connect at Daisy Corporate Services, emphasized the critical nature of maintaining secure network boundaries in today’s digital and remote working era. He criticized the reliance on employees enabling VPNs as a standalone security measure and stressed the importance of a robust network security strategy.
The report also touches on the challenges posed by legacy networks, which are compounded by the increasing use of cloud applications. A significant 76% of respondents noted that cloud applications are placing additional pressure on networks, particularly in environments like hot desking and large meeting rooms. Furthermore, nearly half (48%) highlighted the management of cloud application performance as a pressing challenge.
Despite the evident need to modernize network infrastructures, financial constraints and the high costs associated with upgrading to technologies like WiFi 6 are major hurdles. Only 24% of those surveyed have extensively implemented WiFi 6 across their organisations, with 53% citing upgrade costs as a deterrent.
The report also explores the environmental impact of outdated network technologies. A substantial 38% of IT power consumption is attributed to legacy hardware, underscoring the sustainability challenges within the sector. However, there is a silver lining as 92% of the organisations believe that modernising their networks will help achieve their sustainability goals.
Cunningham also highlighted the potential of Software-Defined Wide Area Networking (SD-WAN) to address these challenges, describing it as a transformative solution that optimises network performance and enhances security.
Daisy Corporate Services Head of Connect Joel Cunningham said, “At a time when the network perimeter is becoming increasingly virtual and a growing number of business processes and applications are online, it has never been so important to be able to maintain and manage a secure boundary between your network and the outside world.” He further commented on the role of SD-WAN, “Legacy networking equipment remains a huge cost centre, preventing financial service providers from reaching their sustainability goals and causing significant overspend across maintenance and power consumption.
“However, Software-Defined Wide Area Networking (SD-WAN) has emerged and evolved into a transformative solution. This powerful technology not only solves the problem of optimising network performance but enhances security measures, giving organisations an edge in the ever-evolving threat landscape.”
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