A Dell’Oro Group report claims that the SASE market – consisting of SD-WAN and SSE (security service edge) solutions – bucked economic uncertainty with 38 per cent year-over-year revenue growth in 2Q 2023.
The report said that quarterly revenue broke through the $2 billion marker to set a new record. Quarterly revenue has doubled in just ten quarters as enterprises go all in to improve networking and security services in the mobile- and cloud-first era.
Dell’Oro Group senior research director Mauricio Sanchez said that even though sales cycles are longer and additional budget scrutiny is the norm in the current macroeconomic environment the strength of the SASE market was surprising.
“We see SASE pushing into end-to-end network application monitoring and data protection realms that together substantially raise customer appeal. While many customers look to SD-WAN and SSE’s SWG, CASB, ZTNA, and FWaaS functionality as table stakes, vendors that show more and can deliver value to adjacent areas stand to distinguish themselves in a crowded market,” added Sanchez.
Cisco retook from Zscaler the number one revenue spot in overall SASE after losing it for the first time in first quarter 2023, the report said.
The report identifies Cisco, Zscaler, Palo Alto Networks, Broadcom(Symantec), and Fortinet as the top five SASE vendors.
Revenue associated with single-vendor SASE (vendors that offer both SD-WAN and SSE) grew nearly 70 percent Y/Y and represented over half the SASE market, the report said.
