The market outlook for information security services continues to outshine other areas of the IT services industry, according to IDC.

The research firm said yesterday that worldwide information security services spending will increase to more than $23.5bn (£14.72bn) by 2007, representing a compound annual growth rate of 20.9 per cent.

But IDC warned that security service providers must work harder to demonstrate that their offerings can deliver rapid return on investment in order to gain passage into the enterprise.

"Although numerous IT markets declined from 2001 to 2002, security spending remains a top priority in many organisations," said Allan Carey, programme manager for information security services at IDC.

"Enterprises will increasingly look for a trusted partner that can help them understand their business risks and develop an enterprise-wide programme to achieve a higher level of security."

The IDC study, Worldwide and US Information Security Forecast 2003-2007, found services that focus on improving return on investment and making security more manageable remain popular.

The report also highlighted increasing demand for wireless and application security products, including assessments, architecture design and implementation.

In addition, IDC found strong interest in the outsourcing of security strategy planning, application security testing, managed security services and business continuity.