IDEAS home Printed from https://ideas.repec.org/p/net/wpaper/0719.html
   My bibliography  Save this paper

Assessing the Value of Network Security Technologies: The Impact of Configuration and Interaction on Value

Author

Abstract

Proper configuration of security technologies is critical to balance the access and protection requirements of information. The common practice of using a layered security architecture that has multiple technologies amplifies the need for proper configuration because the configuration decision about one security technology has ramifications for the configuration decisions about others. We study the impact of configuration on the value obtained from a firewall and an Intrusion Detection System (IDS). We also study how a firewall and an IDS interact with each other in terms of value contribution. We show that the firm may be worse off when it deploys a technology if the technology (either the firewall or the IDS) is improperly configured. A more serious consequence for the firm is that even if each of these (improperly configured) technologies offers a positive value when deployed alone, deploying both may be detrimental to the firm. Configuring the IDS and the firewall optimally eliminates the conflict between them, resulting in a non-negative value to the firm. When optimally configured, we find that these technologies may complement or substitute each other. Further, we find that while the optimal configuration of an IDS is the same whether it is deployed alone or together with a firewall, the optimal configuration of a firewall has a lower detection rate (i.e., allow more access) when it is deployed with an IDS than when deployed alone. Our results highlight the complex interactions between firewall and IDS technologies when they are used together in a security architecture, and, hence, the need for proper configuration in order to benefit from these technologies.

Suggested Citation

  • Huseyin Cavusoglu & Hasan Cavusoglu, 2007. "Assessing the Value of Network Security Technologies: The Impact of Configuration and Interaction on Value," Working Papers 07-19, NET Institute, revised Aug 2007.
  • Handle: RePEc:net:wpaper:0719
    as

    Download full text from publisher

    File URL: http://www.netinst.org/Cavusoglu_07-19.pdf
    Download Restriction: no

    References listed on IDEAS

    as
    1. Esther Gal-Or & Anindya Ghose, 2005. "The Economic Incentives for Sharing Security Information," Information Systems Research, INFORMS, vol. 16(2), pages 186-208, June.
    2. Gordon, Lawrence A. & Loeb, Martin P. & Lucyshyn, William, 2003. "Sharing information on computer systems security: An economic analysis," Journal of Accounting and Public Policy, Elsevier, vol. 22(6), pages 461-485.
    Full references (including those not matched with items on IDEAS)

    More about this item

    Keywords

    information security; software configuration; analytical modeling;

    JEL classification:

    • C72 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - Noncooperative Games
    • D81 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Criteria for Decision-Making under Risk and Uncertainty
    • L20 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - General
    • L86 - Industrial Organization - - Industry Studies: Services - - - Information and Internet Services; Computer Software

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:net:wpaper:0719. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Nicholas Economides). General contact details of provider: http://www.NETinst.org/ .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.