As companies worldwide move from a model of web-presence to one of web-business, more and more direct business (transactions) is being conducted on the Internet. According to certain estimates, in 1999 alone, the total value of e-business was to the order of $130 billion. A large part of that obviously happens in a few countries, like the United States. The true potential of Internet as a platform for commerce will be unleashed once its global character is exploited. Many countries today have limited Internet reach but are fast getting online. Once the Internet becomes a truly global medium, the value of business on the net will rise dramatically.

It is no more a matter of debate whether companies that shy away from the reality of e-business will survive. Most companies understand they will not. There is a mad rush among companies, big and small, to embrace e-business.

While all this—smart moves, enhanced operating efficiencies and faster penetration of new markets through the Internet sounds too impressive, there is a concern that still looms large. That of a not so secure environment to conduct e-business.

There are two sides to the security problem. One is the security problem itself. The other is the concern about a possible security problem. Both act as barriers to the growth of e-business. According to Computer Emergency Response Team (CERT), the number of reported cyber-vandalisms in 1999 was 8268. There must be many more that go unreported. Similarly, without a proper legal validation of an Internet transaction, there is a lot of concern among businesses.

However, this concern among businesses is not the only concern that comes in the way of e-business growth. A bigger barrier is the concern of the buyer - whether the environment in which he buys something is secure or not. "In fact, 12.5 percent of e-commerce transactions are abandoned by customers because of security concerns," says Simon Perry, vice president, security, Computer Associates (CA).