Risk concerns are stalling the take up of Web 2.0 technology by firms.
A survey of almost 500 firms worldwide by consultant KPMG says corporates recognise the benefits of Web 2.0 tools, but that security and governance concerns are thwarting their adoption.
In the survey, 70% believed Web 2.0 tools - such as Wikis, blogs and social networks - could help employees work more efficiently. In addition, 75% felt that Web 2.0 technologies could foster innovation within their businesses, and 86% saw them as improving knowledge sharing.
However, more than half of respondents felt that protecting and securing critical data is the chief barrier to adoption.
In addition, 45% cited a fundamental lack of understanding about how Web 2.0 related to their business.
Crispin O'Brien, chairman of technology at KPMG, said, "Web 2.0 is not just about novel consumer technology. There are real business benefits to be derived from enabling more effective knowledge sharing and collaboration among employees.
"The challenge for the technology industry is to communicate these benefits to customers effectively, and address the concerns that remain around security and relevance to different industries," he said.