Security appliance sales dip

Factory revenues in the worldwide security appliance market totaled US$316 million in the first quarter of 2003, down 6% compared to the same period last year. However, unit shipments have actually increased from 1Q02 by 17%.

  • E-Mail
By  Matthew Southwell Published  July 2, 2003

Factory revenues in the worldwide security appliance market may have totaled US$316 million in the first quarter of 2003, but they are down 6% compared to the same period last year. However, on the plus side, analysts at IDC also report that unit shipments have actually increased from 1Q02 by 17%.

"The decline in vendor revenue and the increase in total shipments is the result of a number of factors — increased deployment of devices for branch and remote offices, increased price pressure throughout the market coupled with a weaker US dollar, and the clearing of inventory in anticipation of the release of new products," says Charles Kolodgy, research director for IDC’s security products service.

On the vendor front, Netscreen barely surpassed Nokia for the number two position for Q103 as the former achieved 14% market share compared to Nokia’s 13%. Netscreen and WatchGuard both saw positive year-over-year revenue growth in 1Q03. Cisco remains the clear leader in the overall security appliance market with a strong 36% market share.

Add a Comment

Your display name This field is mandatory

Your e-mail address This field is mandatory (Your e-mail address won't be published)

Security code