NEW YORK, Jan. 18 /PRNewswire/ -- Deloitte's Technology, Media and
Telecommunications (TMT) industry group today announced its predictions for
the global technology industry in 2005, forecasting a number of advances in
technology, along with some serious challenges.

Eric Openshaw, a Principal with Deloitte Consulting LLP and Americas Group
Leader, TMT industry group, commented, "In 2005 Internet use will continue to
proliferate, with the web browser playing an increasingly important part in
our lives. Nanotechnology will become increasingly mainstream, enabling a wide
range of new and improved products. And ethanol-based fuel cells will hit the
market, providing portable power that lasts for days, weeks or even months.

"Robots will move into our homes to help us with household chores and
other mundane tasks. Space exploration will shift toward the private sector.
Wireless 'mesh' networks will appear, helping authorities in major cities
track the status of equipment and assets over a wide area. And quantum
computers, which will be exponentially faster than today's fastest
supercomputers, will take a few important steps closer to reality.

"Yet there will also be significant challenges. Electronic forms of
personal identification will proliferate as a way to improve security, yet
identify theft and other digital crimes will continue to run rampant.
Meanwhile, viruses, worms and other malware will multiply and spread to
connected mobile devices, frustrating the public and costing companies
billions in lost data and downtime."

Three key trends identified in the report are:

1. Nanotechnology becomes mainstream
Nanotechnology -- one of the most talked about, yet least-understood
technologies of the 21st century -- will become increasingly
mainstream in 2005. Nanotechnology is already quietly revolutionizing
a wide range of products -- from computer hard drives and sunblock
cream to car tires -- and will soon become a cornerstone of every
manufacturing industry. Advances will increasingly be driven by the
world's largest companies and nanotech companies will generate
substantial revenue for the very first time. Potential uses will
include using nano-spheres to deliver a drug directly to its intended
target; employing nano-scale manufacturing processes to make smaller
and faster processors and storage devices; and using nano-scale
properties to make stain resistant, crease-free fabrics, and garments
that resist bacteria.

2. Electronic viruses run rampant
Massive growth in connected technologies -- from PCs and mobile phones to PDAs and gaming consoles -- will cause a corresponding leap in electronic viruses and other malicious attacks. Nuisances such as
unsolicited e-mail (SPAM) and unsolicited instant messages (SPIM) will
continue to proliferate. More harmful intrusions, such as viruses,
worms and malware (malicious software), blue-jacking (attacks on
Bluetooth-enabled devices) and VoIP SPAM will become common, and
increased use of mobile phones, remote working and WiFi will give
hackers more access to private, corporate and government networks.

The trend will cost businesses worldwide billions of dollars in lost data
and downtime; at the same time, it will reveal vast opportunities for
companies that sell IT security, and new lines of business will spring
up from mobile operators, handset makers, service providers, and
systems integrators.

3. Electronic identification vs. Digital crime
Governments around the world will move to replace paper-based IDs with
digital products. These new forms of electronic identification will be
used in passports, ID cards, bank cards and credit cards, and will
include information such as the individual's name, address,
nationality, digital photo and even biometric data. Electronic
identification will be principally designed to curb fraud and identity
theft, but will also speed up the process of identification and
authentication. In spite of these measures, identity theft will
continue to rise dramatically -- particularly for people and
organizations that do business online. It will be imperative for all
companies doing business online to spend the money to create more
secure methodologies to protect themselves and their customers.

As used in this press release, the term "Deloitte" includes Deloitte &
Touche USA LLP and its subsidiaries Deloitte & Touche LLP, Deloitte Consulting
LLP and Deloitte Tax LLP.

Notes

Predictions Methodology
These predictions have been compiled by Deloitte Research (a part of
Deloitte Services LP) on behalf of Deloitte's Technology, Media and
Telecommunications (TMT) Group. The major inputs used in writing the
predictions were: input from the 5,000 strong TMT team around the world;
discussions with leading industry and financial analysts; interaction and
conversations with clients from the telecommunications and related sectors.
These predictions do not claim to be fully comprehensive, but rather provide a
commentary on major industry trends and developments.

About Deloitte's Technology, Media & Telecommunications (TMT) Group
The TMT Group is composed of service professionals who have a wealth of
experience serving technology, media and telecommunications companies
throughout the world in areas including cable, communications providers,
computers and peripherals, entertainment, media and publishing, networking,
semiconductors, software, wireless, and related industries. These specialists
understand the challenges that these companies face throughout all stages of
their business growth cycle and are committed to helping them succeed.
Deloitte is a leader in providing strategic, financial and operational
assistance to its technology, media and telecommunications clients

About Deloitte
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SOURCE Deloitte
Web Site: http://www.deloitte.com/us
http://www.deloitte.com/research/tmt