Spam Could Cost Businesses Worldwide $50 Billion - InformationWeek

InformationWeek is part of the Informa Tech Division of Informa PLC

This site is operated by a business or businesses owned by Informa PLC and all copyright resides with them.Informa PLC's registered office is 5 Howick Place, London SW1P 1WG. Registered in England and Wales. Number 8860726.

IoT
IoT
News

Spam Could Cost Businesses Worldwide $50 Billion

Spam will cost the world $50 billion in lost productivity and other expenses this year, according to a new report issued by Ferris Research. More than a third of that, or $17 billion, will be wasted by U.S. companies.

But the damage could be a lot worse, says Richi Jennings, one of the Ferris analysts who authored the report. "We haven't seen as much of a spike in costs as in spam volume because more organizations are putting in better anti-spam technology," he says. Since 2003, spam volume hitting U.S. companies has jumped fivefold, but costs haven't even doubled, Jennings says. Still, revenue for anti-spam software and hosted services will reach $1.7 billion by 2008, research firm IDC predicted last week.

With so much money at stake, it's easy for companies to make a business case for anti-spam technology, particularly in places where labor costs are higher and spam volumes larger. "For developed countries, deploying competent spam-filtering software makes good business sense," Jennings says. In the United States, spam's annual per-mailbox cost to businesses is $170. In Germany, it jumps to $241 based on Germany's higher labor costs, fewer workdays, and high health-care and pension costs borne by companies.

Not every filtering method is economically equal, Jennings says. Server-based filtering is considerably cheaper than desktop-based anti-spam systems; the former typically costs $132 per year per user, while the latter runs $217. "There are very few scenarios where we would recommend desktop filtering," he says. "Any time an IT department has to roll out software to everyone's desktop, you're talking serious money."

We welcome your comments on this topic on our social media channels, or [contact us directly] with questions about the site.
Comment  | 
Print  | 
More Insights
2021 State of ITOps and SecOps Report
2021 State of ITOps and SecOps Report
This new report from InformationWeek explores what we've learned over the past year, critical trends around ITOps and SecOps, and where leaders are focusing their time and efforts to support a growing digital economy. Download it today!
InformationWeek Is Getting an Upgrade!

Find out more about our plans to improve the look, functionality, and performance of the InformationWeek site in the coming months.

News
Remote Work Tops SF, NYC for Most High-Paying Job Openings
Jessica Davis, Senior Editor, Enterprise Apps,  7/20/2021
Slideshows
Blockchain Gets Real Across Industries
Lisa Morgan, Freelance Writer,  7/22/2021
Commentary
Seeking a Competitive Edge vs. Chasing Savings in the Cloud
Joao-Pierre S. Ruth, Senior Writer,  7/19/2021
Register for InformationWeek Newsletters
Video
Current Issue
Monitoring Critical Cloud Workloads Report
In this report, our experts will discuss how to advance your ability to monitor critical workloads as they move about the various cloud platforms in your company.
White Papers
Slideshows
Twitter Feed
Sponsored Live Streaming Video
Everything You've Been Told About Mobility Is Wrong
Attend this video symposium with Sean Wisdom, Global Director of Mobility Solutions, and learn about how you can harness powerful new products to mobilize your business potential.
Sponsored Video
Flash Poll