Deployment of next-generation services over wireless local area networks (Lans) will drive a 97 per cent increase in worldwide end-user spending on wireless Lan products to $2.94bn by 2007.
But despite a predicted boom in technologies such as mobile telephony and video over IP, security remains the most significant barrier to adoption.
A report by Infonetics Research warned that the industry still needs to work on addressing enterprises' lingering perception of wireless Lans as insecure.
The analyst found that security completely dominates feature wish-lists for wireless Lan access points, switches and routers among end users, and that enterprises are relying on the same techniques to protect both wired and wireless Lans.
Over three-quarters of respondents currently use firewalls to secure their wireless Lan, with over half expecting to use intrusion detection, IPSec virtual private networks and Secure Socket Layer by 2005.
Richard Webb, lead analyst for wireless Lans at Infonetics, said: "Our study shows that organisations do not lack imagination in terms of the future uses for wireless Lans, nor underestimate the potential to deliver advanced applications such as voice or video over IP."
According to the report, the 802.11 market is migrating to multi-mode systems (supporting 802.11b, g and a), with dual 802.11a/g products likely to show strong growth in 2004.
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