SOURCE: Infonetics Research

March 06, 2006 10:56 ET

Network Security Up 15% in 2005, Led by Cisco

CAMPBELL, CA -- (MARKET WIRE) -- March 6, 2006 --Worldwide network security appliances and software revenue increased 15% between 2004 and 2005 to $4.3 billion, and was up 3% for the quarter, to $1.1 billion in 4Q05, according to Infonetics Research's Network Security Appliances and Software report. Annual revenue is forecast to grow 32% to $5.7 billion in 2009.

Infonetics' 2005 revenue forecast, made in 4Q04, was within 3% of actual revenue.

"The fourth quarter of 2005 didn't have its usual seasonal bump; we believe that many customers, while still investing in firewalls, VPNs, IDS/IPS, and gateway AV, are also looking deeper into network access control (NAC) and content security solutions, which is delaying some core network security purchasing until 2006," said Jeff Wilson, principal analyst at Infonetics Research. "We're adding coverage for these new fast-growing technologies in the near future."

2005 Highlights

--  Cisco remains the revenue-leading vendor overall, with 34% of total
    network security appliances and software; strong router sales helped Cisco
    increase share in 4Q05
--  Check Point is second at 10%, Juniper is third at 8%, and ISS, McAfee,
    Nokia, Nortel, SonicWALL, and Symantec are strong second-tier players
--  North America accounts for 45% of integrated security appliances and
    software revenue, EMEA is next at 29%, then Asia Pacific at 21%, and CALA
    at 5%
--  Integrated security appliances and software make up 78% of worldwide
    network security appliances and software revenue, IDS/IPS makes up 14%,
    gateway anti-virus 8%; by 2009, IDS/IPS makes up 15%, gateway anti-virus
The report tracks integrated security appliances in six price-banded categories, hardware secure routers, SSL VPN gateways, VPN and firewall software, host- and network-based IDS/IPS products, and gateway anti-virus products. Forecasts are updated quarterly.

Companies tracked include AEP, Array Networks, Avaya, Aventail, Check Point, CipherOptics, Cisco, Citrix, Computer Associates, CyberGuard, D-Link, Enterasys, F5, Fortinet, Intel, Juniper, Lucent, McAfee, NETASQ, Netilla, Nokia, Nortel, Secure Computing, SonicWALL, Symantec, TippingPoint, WatchGuard, Whale, ZyXEL, and others.

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Infonetics Research ( is the premier international market research and consulting firm specializing in data networking and telecom. Services include quarterly market share and forecasting, end-user survey research, service provider survey research, and service provider capex analysis.

Contact Information

  • Press Contact:
    Jeff Wilson
    Principal Analyst
    Infonetics Research, Inc.
    (408) 583-3337
    Email Contact