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Appliance Deployment Increasing Especially among Small- to Medium-Sized Businesses

June 04, 2012


Businesses and other organizations are experiencing an increased level of appliance deployment, with the market for Unified Threat Management (UTM) appliances expected to see continuing upward movement.

Gartner (News - Alert) has estimated that UTM appliance sales totaled over $1.3 billion a year. These appliances are predicted to increase at a compound rate of some 15 percent for the next five years, according to the research firm.

The UTM market generated over a billion dollars last year, according to TMCnet. Revenue from UTM sales went from $972 million in 2010 to $1.2 billion in 2011, or a 19 percent jump, according to data from Gartner. Among the locations most interested in UTM were North America and western Europe. Smaller and medium-sized businesses were especially interested in the products, too.

When it comes to smaller organizations, UTM products provide several benefits. eSecurity Planet points out they offer a “single, low-cost, and easy-to-manage appliance that can replace multiple security software products running on separate servers.” Often, smaller or mid-size businesses have limited IT staff and dedicated budgets for the sector, the report adds.

UTMs prevent intrusion into networks, offer increased Web security, and support virtual private networks. Other benefits include email security, Web application firewalls, and data loss prevention systems.

The article suggests that when selecting a UTM, users look for what they really require, as well as at prices, both upfront and annual costs. Future flexibility is important, too, such as adding additional services. Smaller companies need to make sure the product they select is simple enough so their current staff can deploy it. Larger organizations may want a management system that allows for configuration to devices located in remote offices or in use by mobile employees. There are two other questions raised by eSecurity Planet: Will the device be able to pass a compliance audit if needed? Is there a need for the UTM to provide secure wireless connectivity?

Gartner’s study of the 2011 market showed that Fortinet (News - Alert) kept the top position in this appliance segment, seeing a 19.6 percent market share.

In related news, NEI, a company which specializes in appliance deployment and lifecycle support services for software technology developers and OEMs, was recently named to the Globe 100 list of top-performing public companies in the state of Massachusetts. To read the full report, click here.

Edited by Jamie Epstein

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