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Global Security Appliance Market Remains In Positive Territory In Q3 2012


Global security appliance market remains in positive territory in Q3 2012
Date: 3rd January 2013

by Russell Dickinson

Persistent economic weakness resulted in a sequential slowdown in the global security appliance market during the third quarter of 2012 but the results remained positive on an annual basis. International Data Corporation (IDC) yesterday released its latest Worldwide Quarterly Security Appliance Tracker, revealing year-on-year growth both in factory revenues and shipments.

According to the publication, third-quarter revenues increased by 5.7% and amounted to slightly more than $2 billion. Meanwhile, shipments inched up 1% to 499,022 units. Cisco retained its leadership among security appliance vendors, accounting for 16.2% of total factory revenues.

The best performing market segment was Unified Threat Management (UTM), which delivered a 24.3% year-on-year increase in revenues and was responsible for 33.3% of total security appliance revenues during the period under report. In the Firewall/VPN portion of the market, revenue growth was 7.3% and the segment accounted for 26.7% of total revenues. The only market segments to exit the quarter with negative results were IPS and VPN.

Looking at the market by geographies, IDC estimates that the Asia-Pacific ex-Japan delivered the strongest performance in terms of revenue growth. The region finished the period with an increase of 13.3% on the year. Crisis-battered Western Europe remained in sluggish mode but still managed to achieve a slight improvement with a revenue rise of 0.5%. In terms of shipments, Japan ranked first with year-on-year growth of 8.3%. The combined performance of Central and Eastern Europe and the Middle East and Africa was also strong, with unit shipments rising by 7.9%. In the US, revenues expanded by 4.6% although shipments declined by 1.2%.

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