Worldwide network security appliance and software revenue topped $3.7 bln in 2004, up 30% from 2003, and is projected to grow to $5.5 bln in 2008, according to Infonetics Research. Worldwide network security revenue is up 5% between Q3 2004 and Q4 2004, with growth in all categories except VPN/firewall software. Revenue is expected to grow 25% to $1.2 bln in Q4 2005.
Cisco remains the revenue-leading vendor overall, with over 30% of the total network security appliances and software revenue in both Q4 2004 and 2004, a share position they have more or less maintained since 2002. Check Point and Juniper maintain their second- and third-place positions, respectively, for total worldwide revenue in both Q4 2004 and 2004. Enterasys, ISS, McAfee, Nokia, Nortel, SonicWALL, and Symantec are strong second-tier players for revenue market share, with significant market share across a number of categories. VPN and firewall appliances and software make up the majority of revenue (78% in Q4 2004), with IDS/IPS second at 15%, and gateway antivirus third at 7%. North America accounts for 46% of network security appliances and software revenue in Q4 2004, EMEA for 29%, Asia Pacific for 21%, and CALA for 5%.