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Expansion into Enterprise Segment Vital for Sustained Growth in the World Unified Threat Management Products Market Finds Frost & Sullivan - Since its inception, the world unified threat management (UTM) products market has witnessed high growth rates. Despite the harsh economic conditions of 2009, the UTM market grew at a healthy rate
Expansion into Enterprise Segment Vital for Sustained Growth in the World Unified Threat Management Products Market Finds Frost & Sullivan

 

PRZOOM - /newswire/ - Mountain View, CA, United States, 2010/04/07 - Since its inception, the world unified threat management (UTM) products market has witnessed high growth rates. Despite the harsh economic conditions of 2009, the UTM market grew at a healthy rate.

   
 
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During 2008, the market witnessed a growth rate of 32.2 percent; however, the growth rate dropped to 20.1 percent in 2009 due to the recession. As the market rebounds, growth rates are expected to increase in 2010 and 2011 before leveling off. Vendors in this space are seeking to invigorate this market with expansions in terms of both regional and target markets.

New analysis from Frost & Sullivan (networksecurity.frost.com), World Unified Threat Management (UTM) Products Market, finds that the market earned revenues of over $1.97 billion in 2009 and estimates this to reach approximately $7 billion in 2016.

If you are interested in more information on this study, please send an email to Jake Wengroff, Corporate Communications, at jake.wengroff[.]frost.com, with your full name, company name, title, telephone number, company email address, company website, city, state and country.

UTM's strongest value proposition lies in its ability to consolidate multiple security products. UTM seeks to combine essential and common security functions such as firewall/virtual private network (VPN), intrusion prevention system (IPS), anti-spam, antivirus, content filtering, and even data leakage protection (DLP) or vulnerability management capabilities.

"This aligns well with the larger trend of convergence in the network security industry, as customer demand for a one-stop-shop continues to increase," says Frost & Sullivan Research Analyst Chris Rodriguez. "Investing in several point products, including installation and support, is an expensive proposition. Consolidating these products reduces costs and accelerates green initiatives by reducing power consumption."

Despite these advantages, the best-of-breed functionality offered by competing point products continues to deter customers. Additionally, it is a challenge to enable multiple security functions on a single appliance without impeding network performance. These issues cause UTM vendors to experience difficulty in penetrating the enterprise market. Furthermore, customers are exercising caution while considering investment and are waiting for a more stable economic climate.

"While UTM meets the needs of smaller organizations nicely, these solutions have previously been lacking in enterprise-level performance and features," explains Rodriguez. "For vendors that have worked hard to improve in these areas, they must now work to reverse this negative reputation."

Further acceptance into the enterprise segment is crucial for sustained long-term growth. To do this, vendors looking to penetrate this market must strive to offer best-of-breed functionality. Many UTM solutions are based on open source software security solutions, and although this helps to keep overhead costs down, uptake has been slow in the enterprise arena.

"UTM vendors have been working towards expediting functionality and performance through in-house research and development, strategic partnerships, and acquisitions," says Rodriguez. "Vendors that can continue to innovate and successfully convey these improvements to customers will succeed in rapidly growing market share."

Small business (SMB) and remote/branch/small/home office (ROBO/SOHO) products will remain as a key segment of the UTM market. These customers will continue to value broader product coverage and cost-effective solutions. The market is extremely vertical-independent as UTM integrates security technologies that are in demand across all industry verticals. Vendors must roll out solutions that address pertinent issues in different verticals, such as regulatory compliance, networking challenges or security threats.

World Unified Threat Management (UTM) Products Market is part of the Network Security Growth Partnership Services program, which also includes research in the following markets: World Vulnerability Assessment Products Market, World Application Security Products Market, and World Network Access Control Products Market. All research services included in subscriptions provide detailed market opportunities and industry trends that have been evaluated following extensive interviews with market participants.

About Frost & Sullivan
Frost & Sullivan, the Growth Partnership Company, enables clients to accelerate growth and achieve best-in-class positions in growth, innovation and leadership. The company's Growth Partnership Service provides the CEO and the CEO's Growth Team with disciplined research and best-practice models to drive the generation, evaluation, and implementation of powerful growth strategies. Frost & Sullivan leverages over 45 years of experience in partnering with Global 1000 companies, emerging businesses and the investment community from 40 offices on six continents.

World Unified Threat Management (UTM) Products Market / N729

 
 
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Expansion into Enterprise Segment Vital for Sustained Growth in the World Unified Threat Management Products Market Finds Frost & Sullivan

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