The network security market grew 5.1 percent year-over-year in Q4 2024 and 3.1 percent for the full year, according to Omdia’s market estimates and forecast through to 2029.
Main vendors in network security market 2024Palo Alto Networks retained its position as the market leader with a 28.4 percent share in 2024, driven by steady demand for security appliances and higher adoption of software and SASE components.
Omdia’s report covers key segments of the network security market, including integrated security appliances, secure routers, SSL VPN gateways, VPN and firewall software, and network-based IDS/IPS.
Palo Alto Networks, Fortinet, Cisco, and Check Point continue to lead the network security market, each maintaining a double-digit share for the past five years, Ketaki Borade, Omdia Senior Analyst, Infrastructure Security, said in the report.
The growing adoption of SASE architecture is accelerating software integrations, and as the threat landscape evolves, next-generation firewalls must integrate seamlessly with other security solutions. AI and machine learning (ML) continue to play a critical role in enabling a more predictive and proactive security approach.
The dominance of the top four firewall vendors reflects the market’s maturity and indicates that if they strategically position themselves in the still early-stage SASE market, they have the potential to strengthen their grip on network security for years to come.
Two of the four (Check Point and Cisco) have shifted away from internal cloud-native security (CNAPP) development, opting instead to OEM/white-label Wiz’s product. This highlights a deliberate choice of where to compete against market leader Palo Alto Networks. Their focus on SASE aligns with their firewall expertise and the rapid expansion of SaaS usage in enterprises.
Palo Alto has retained the top position since 2021 due to its platformization strategy, emphasizing AI-driven product integration. Cisco has climbed to third place, while Fortinet’s targeted approach of secure networking, unified SASE, and security operations has helped it reach second place. With 25 percent of its FortiGate devices due for refresh, Fortinet may see a revenue surge over the next two years.
Looking ahead, Omdia anticipates strong growth for firewall vendors due to upcoming refresh cycles over the next two years. However, all four top vendors have issued lower guidance for 2025 compared to last year, signaling market growth concerns.
Several factors may contribute to this cautious outlook, including enterprise cost-cutting, prioritization of essential services, and a shift to cloud and SASE solutions. This transition is likely to impact demand for traditional hardware firewalls while software firewalls and firewall-as-a-platform gain traction.
Overall, Omdia forecasts a 2.8 percent CAGR for the total network security market from 2024 to 2029, with firewall growth projected at 5.0 percent CAGR over the same period. While the market continues to grow, increased product integration and SASE adoption will shape its evolution.
Baburajan Kizhakedath
