Study Shows Bright Future for UTM Market

Research firm Frost & Sullivan predicts that the Unified Threat Management (UTM) market will continue to show growth, creating opportunities for channel partners and security vendors alike.

Although worldwide market growth dipped to 20.1 percent in 2009, compared to 32.2 percent in 2008, Frost & Sullivan still identifies the UTM market full of potential for 2010 and beyond. The firm expects growth rates will increase for 2010 and 2011 until leveling once the market rebounds. All in all, that is very good news for solution providers heavily vested in the security market.

According to the study, in 2009 the UTM market earned revenues of nearly $2 billion. The firm expects revenues to reach some $7 billion in 2016. The value presented by UTM for businesses both large and small lies with the technology’s ability to consolidate multiple security products. Ideally, UTM combines common security functions such as firewall, virtual private networks (VPN), intrusion prevention systems (IPS), anti-malware, content filtering, and data-leakage protection (DLP) into a centrally managed and deployed product. Solution providers serving the SMB market have known about the value proposition offered by UTM for years. However, the enterprise market seems to be a much harder sell, at least according to the market firm’s latest research.

The study found that UTM vendors are having trouble penetrating the enterprise market, with the leading reason being the performance concerns of relying on a single appliance to handle UTM services on a busy network. However, Frost & Sullivan says that enterprise acceptance is crucial for the market to sustain long-term growth. Obviously, vendors will be taking those concerns to heart and will develop solutions with best of breed functionality to entice enterprise buyers. That bodes well for the channel, which will have opportunities to sell into new markets, as well the small business (SMB) and remote/branch/small/home office (ROBO/SOHO) markets.

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