SMART GRID SECURITY IS BIG BUSINESS

Smart Grid Cyber Security; Risk Management, Equipment Protection, Monitoring and Incidence Response, Policy/Planning, and Access/Audit
February 4, 2010 (Pike Research)

"As utilities around the world have initiated major smart grid infrastructure upgrades over the past several years, cyber security has become a critical priority. Security measures are designed to protect the electrical grid from attacks by terrorists and hackers, as well as strengthening its resilience against natural disasters and inadvertent threats such as equipment failures and user errors…

"…[C]yber security [concerns have] increased in recent months, spurred in large part by the U.S. Department of Energy’s smart grid stimulus programs, the standards initiatives of the National Institute of Standards and Technology (NIST), and key priorities promoted by the Federal Energy Regulatory Commission (FERC)."

This is Silicon Valley inventing and selling IT solutions to protect itself. (click to enlarge

"…[D]espite the increased emphasis, the lack of interoperable cyber security standards continues to be a major issue. Pike Research’s analysis indicates that many utilities are highly focused on finding end-to-end cyber security solutions across a variety of smart grid application areas and geographies, as cyber security is viewed as a cross-cutting feature of smart grid deployments…

"[The] need for end-to-end solutions has opened new market opportunities for systems integrators and framework developers to collaborate with traditional utility industry players, including metering and transmission and distribution (T&D) infrastructure vendors. This intense focus is stimulating the development of a robust new smart grid cyber security sector, which Pike Research forecasts will increase from $1.2 billion in 2009 to $3.7 billion by 2015. Over the next five years, we anticipate that approximately $21 billion will be invested in global smart grid cyber security deployments…"