Blackfriars' Marketing

Thursday, June 01, 2006

Still a good idea: make vendors pay for bugs

My favorite security guru, Bruce Schneier, today penned an article at Wired.com arguing that vendors could significantly enhance computer security if they were liable for their security bugs and lapses. I came to the same conclusion three years ago and encouraged software vendors to warranty their products. Sadly nothing has changed in those three years; if anything, the problem is worse now than it was then.

This is a HUGE opportunity for high-tech marketers. Why? Because with most high-tech vendors selling their products "as-is", a company that actually guaranteed the quality of its products would immediately have huge differentiation in the marketplace. Ten-year, 100,000-mile warranties have worked well for companies like Kia and Hyundai to break into the US automobile market; they would work just as well for high-tech companies. Yes, any company offering such warranties would have to examine its product quality and make sure that it wouldn't be bankrupted by warranty repairs, just as every car company has to. But for those companies who did the right risk/reward engineering, such guarantees would set them apart from their competitors and force everyone else to catch up. The only question is who will have the guts to make such an offer first.


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