Cybercrimes reported in the U.S. increased from 2.5 million in 2017 to 2.9 million in 2018. With an increasing amount of data on the internet, criminals are exploiting the limitations of traditional cybersecurity measures to access that data or stop legit entities from accessing it. Such crimes lead to billions of dollars of losses each year, which is forcing enterprises that own huge volumes of sensitive data to upgrade their cybersecurity measures.
As a result, P&S Intelligence expects the next-generation firewall (NGFW) market value to increase to $5,188.8 million by 2025 from $2,706.9 million in 2019, at an 11.9% CAGR during the forecast period (2020â€“2025). A firewall, one of the most-common cybersecurity features in a computer system, tracks the internet traffic that comes into and goes out of a system. Based on a set of pre-defined rules, it allows the data packets to pass or blocks them. Here lies the limitation of traditional firewall; it either blocks or allows all the traffic, on account of being unable to differentiate between different types of traffic.
Thus, with the rising demand for enhanced cybersecurity measures owing to the increasing usage of virtual machines and the internet of things (IoT), the adoption of NGFW is surging around the world. These solutions deploy intrusion protection, application-level protection, and many other layers and use protocol protection to make traditional firewalls more efficient. Moreover, they feature secure shell, transfer protocols, and internet protocols to protect the network, as well as devices.
Presently, the demand for NGFW solutions is the highest in North America, which is home to a huge number of large corporations that need to protect mammoth volumes of data. For the same reason, the incidence of cyberattacks is among the highest in the U.S., which necessitates advanced cybersecurity measures. Further, the IT infrastructure of North America is better, which allows for the easy adoption and usage of NGFW solutions. Moreover, the stringent data protection guidelines of the government impel companies in the region to have NGFW and other improved solutions for data security.
Hence, with the increasing cyberthreats, the demand for NGFW solutions will grow