Monday Morning Impact – August 26
Dell’Oro Group: SSE to Outpace SD-WAN Revenue Nearly Two to One
The Secure Access Service Edge (SASE) market is projected to reach nearly $16 B by 2028, representing a 13 percent compound annual growth rate (CAGR), according to research by the Dell’Oro Group. Security Service Edge (SSE) revenue is expected to maintain a robust double-digit CAGR and outpace SD-WAN’s single-digit CAGR over the next five years (2023–2028).
“The divergence in growth between SSE and SD-WAN highlights a shift in enterprise priorities,” said Mauricio Sanchez, Senior Director of Enterprise Security and Networking at Dell’Oro Group. “As enterprises become increasingly cloud- and mobile-first, the demand for integrated security solutions is driving the rapid adoption of SSE. Despite an expected slowdown in SD-WAN growth, the overall SASE market remains strong and poised for continued expansion.”
According to the Redwood City, California-based researcher’s SASE and SD-WAN 5-Year July 2024 Forecast Report, the SSE market is anticipated to accelerate in 2025 due to improved purchasing sentiment, despite macroeconomic challenges that have lengthened sales cycles. Meanwhile, in the SD-WAN space, near-term growth is being impacted by post-pandemic spending digestion and macroeconomic concerns, while long-term growth is expected to be influenced by the market’s maturing state and slower transitions from access routers to SD-WAN solutions.
The report also suggests that single-vendor SASE solutions are expected to represent over 85 percent of the market by 2028, driven by enterprises’ preference for integrated, one-stop solutions that simplify deployment and management. Unified SASE solutions, a segment of single-vendor SASE, are forecasted to grow at a remarkable 19 percent revenue CAGR. This growth is driven by smaller enterprises seeking tightly integrated networking and security solutions that offer greater simplicity.
On the down-side, revenue from access routers is expected to drop below $1 B by 2028, a double-digit CAGR decline due to the transition towards SD-WAN solutions.
The Dell’Oro Group SASE and SD-WAN 5-Year Forecast Report offers a complete industry overview with tables covering SASE by technology (SSE versus SD-WAN) and implementation (unified versus disaggregated) as far back as 2019. SSE has further segmented across SWG, CASB, ZTNA, and FWaaS technologies. In addition, the report provides historical data as far back as 1995, covering revenue, port/unit shipment, and average selling prices for access routers.
Channel Impact®
The report is a useful tool for partners deciding where to allocate resources for the near future.
Extreme Networks and Intel Forge AI Alliance
Extreme Networks has formed an alliance with the Intel Connectivity Analytics Program to enhance native AI capabilities within its Extreme AI Expert solution, currently in technology preview within Extreme Labs. This collaboration aims to help customers optimize network performance, detect security threats, personalize end-user experiences and reduce operational costs by leveraging network data, unique device data from PCs through the Intel Connectivity Analytics SDK and Generative AI (GenAI).
Extreme AI Expert combines documentation from Extreme’s knowledge bases with data from applications and devices across customer networks to provide insights and recommendations around the design, deployment and management of networks. The partnership with Intel will incorporate Intel-connected device data to improve recommendations for customers and further extend Extreme AI Expert’s knowledge.
“By leveraging the riches of AI-centric insights available through the millions of Intel-connected devices across the world and combining that with rich data from the network, we’ll help organizations reduce operational costs and provide best-in-class end-user experiences,” said Eric McLaughlin, VP & GM of Wireless Solutions at Intel’s Client Computing Group.
“Partnering with Intel provides our customers with a more secure, more streamlined way to gain visibility of their network and client devices within a single platform,” said Nabil Bukhari, Chief Technology and Product Officer and GM of Subscription Business at Extreme. “By augmenting our Extreme AI Expert solution with Intel Connectivity Analytics, we’ll provide richer, more intuitive AI-driven insights and automation which results in smarter, more responsive experiences that enhance everything from network optimization to swift security threat detection and resolution.”
Channel Impact®
Extreme’s partnership with Intel is expected to deliver increased visibility into both network and client devices and will drive additional development of GenAI tools that enable customers to optimize the design, deployment and management of enterprise networking and security.
Securonix SIEM Cybersecurity Offerings Available through TD Synnex
Securonix, Inc., an Addison, Texas-based Security Information and Event Management (SIEM) vendor, has announced a new partnership with TD Synnex to distribute Securonix’s AI-reinforced SIEM platform.
Securonix Unified Defense SIEM leverages a cybersecurity mesh architecture on a scalable data cloud, and uses the company’s EON offering to enable organizations to scale up their security operations and keep up with evolving threats.
Securonix recently updated its partner program, offering a new, tiered pricing based on program levels, as well as enablement and marketing benefits and training. The program provides a standardized consumption model that will make it easier for partners to bundle services and go to market quickly. Elements include joint business planning and sales forecasting, a co-branded Market Development Funds program, and resources delivered through a partner portal. The program also enables partners to sell the Securonix User and Entity Behavior Analytics (UEBA) platform as a standalone solution.
“Our partnership with TD Synnex is a significant milestone in our channel-first go-to-market strategy,” said Scott Sampson, Chief Revenue Officer at Securonix. “We’re thrilled with the opportunity to bring our Magic Quadrant-leading AI-Reinforced SIEM Platform to market through TD Synnex value-added resellers (VARs), managed security service providers (MSSPs), and system integrators (SIs).”
“TD Synnex is committed to uniting IT solutions that deliver business outcomes today and unlock growth for the future,” said Cheryl Day, Senior Vice President, New Vendor Acquisition & Global Solutions at TD Synnex. “With Securonix added to our vast portfolio of vendor partners, we’re able to enrich the breadth and depth of our cybersecurity offerings so customers can do great things with technology.”
Channel Impact®
The partnership significantly expands the market reach of Securonix EON, which introduces advanced AI capabilities into Securonix’s SIEM platform. The partnership also supports the TD Synnex focus on high-growth opportunities in cybersecurity, cloud, analytics, and AI.
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