Global network security appliance and software revenue climbed 6% in 2014 to reach $6,9-billion, as enterprises and network operators deployed security solutions aimed at protecting data and network infrastructure.
This is according to the Q4 and year-end Network Security Appliances and Software report from Infonetics Research, which is now part of HIS. The report tracks integrated security appliances, secure routers, SSL VPN gateways, VPN and firewall software, and intrusion detection and prevention products.
“Closing out 2014 on a positive note with strong performances by most of the top vendors, and especially Palo Alto Networks and Fortinet, the network security space has been on a roll as a result of some very large data centre and cloud projects,” says Jeff Wilson, principal analyst for security at Infonetics.
“By next year, though, quarterly revenue growth will begin to slow as the industry transitions to lower-ASP virtualised security solutions. But it’s not all bad news. Integrated advanced threat prevention security solutions for the Internet of Things (IoT), mobile networks and industrial environments will help support overall market growth,” Wilson says.
In the fourth quarter of 2014, the worldwide network security market, including appliances and software, grew 4% sequentially, to $1,9-billion.
In 2014, Palo Alto Networks’ revenue increased more than 50% over 2013, and Fortinet’s increased 25%.
The top four network security vendors for the full-year 2014 are, in alphabetical order, Check Point, Cisco, Fortinet and Palo Alto; Juniper slipped out of the top tier.
Infonetics/IHS expects the global network security market to be worth $7,5-billion in 2019, a 2014–2019 compound annual growth rate (CAGR) of 1,5%.
