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RESEARCH FIRM SEES HOT FIREWALL MARKET
One of the hottest markets for the Internet is firewall,
Firewalls reject all traffic unless the system or network manager specifically
allows it. This method of filtering is considered to be the highest
level of security isolation for corporations‘ internal networks.
The emergence of the commercial firewall market broke records in 1995,
according to research from International Data Corporation (IDC) of Framingham,
Mass.. Driven by the adoption of Internet technology and Web servers
(both Internet and intranet), IDC expects the phenomenal worldwide firewall
market growth to continue through 2000 with a forecasted compound annual
growth rate (CAGR) of 174%.
“The firewall market epitomizes the accelerated evolution associated
with the Internet,” said Ted Julian, research manager for IDC’s
Internet Research program. In twelve months, the firewall market has
commercialized, and is now segmenting into distinct categories. In addition,
an entire IT market segment will emerge and go public in roughly a year
as seen in recent IPOs from Secure Computing and Raptor, and upcoming
offerings from others, including CheckPoint Software Technologies, Ltd.,
he noted.
This rapid expansion, however, will be at the expense of average system
price, which will rapidly erode through 2000. Ultimately, though, falling
prices will be offset by burgeoning volume, resulting in robust revenue
growth through the end of the decade.
Ultimately, executive commitment to the development of marketing and
sales—as opposed to technological advancement—may be the
primary determinant of success in firewalls. IDC believes firewall vendors
must be technically savvy, incorporating the latest security mechanisms
and marketing wise, communicating how their products fit into a firm’s
broader security strategy.
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