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In the third quarter of 2013, factory revenue for the EMEA security appliance market reached $624,9-million, a 6,6% increase over the same quarter a year ago.

According to IDC’s Europe, Middle East and Africa Quarterly Security Appliance Tracker, shipments declined by 1,8% year on year, with 171 158 units shipped. For the first- to third-quarter, security appliance market factory revenue totalled about $1,8-billion, representing a 4,2% increase over 2012.

Cisco remained the top overall security appliance vendor with 18,7% market revenue share for 3Q13 and 19,5% for the first three quarters of 2013. In 3Q13 the gap between Cisco and Check Point, its closest rival, shrank to 0,7 percentage points.

Unified threat management (UTM) remained the largest and fastest growing security appliance segment. In 3Q13, UTM appliances increased by 37,7% year on year, representing 45,3% of total market revenue.
“The security appliance market in Europe, Middle East and Africa keeps on showing really good results quarter after quarter,” says Romain Fouchereau, Security Appliance program manager at IDC.

“The strong demand for security products is driven by the need to secure cloud access and deployments, the increasingly large demand for mobility, and the requirements from organizations for multipurpose and scalable solutions.”

The Western European market showed similar trends towards security appliances, with $480,2-million revenue in 3Q13, representing 7,9% growth over the same quarter in 2012. Total revenue generated in the first three quarters of 2013 reached $1,42-billion, translating to yearly growth of 4% over the same period last year.

“In Western Europe, the two security segments driving the total market in 3Q13 were unified threat management (including next generation firewalls) and Web security appliances,” says Fouchereau.

“Unified solutions are the preferred appliance medium for delivering network security, regardless of the size of the organisation. Easy deployment, central management, lower TCO and scalability are the decisive factors in that success.”

The security appliance market in Central and Eastern Europe, the Middle East, and Africa (CEMA) showed moderate 2,4% year on year growth in 3Q13 reaching $144,7-million in factory revenue. CEMA factory revenue for the first three quarters of 2013 totalled $435,2-million and rose by 5% compared to 1Q–3Q 2012.

“In 2013 the share of firewall and UTM appliances continued to grow and reached 72,2% of the total revenue share, as CEMA markets are not yet saturated with essential security solutions,” says Oleg Sidorkin, senior research analyst at IDC. “Moreover, demand for single-function IDP and VPN appliances is shifting towards multifunction firewall/IDP and UTM appliances.”