SDN FEATURE NEWS

Cloud-Based Security Services Are on the Rise & NFV and SDN Will Add Further Lift

By Paula Bernier May 01, 2015

The global cloud security services market was valued at $7.2 billion last year, an increase of 13.5 percent from 2013, according to Infonetics Research. Going forward, the firm says, carrier adoption of network functions virtualization and software-defined networking will further strengthen this already large space, as these technologies enable communications service providers to scale their managed security services.

Speaking of managed security services, the revenue in this space was $15.8 billion worldwide last year. That was a 10 percent increase from previous year. Cloud-based security services, meanwhile, contributed to up 46 percent of security service revenue last year. CPE-based services accounted for 54 percent of the revenue.

Cloud-based security services are poised to overtake CPE-based security service revenue by 2018, by Infonetics Research’s accounts. The firm says content security is the No. 1 ranked category of cloud-based security services based on revenue. Second are managed firewall services. Other security services, distributed denial of service mitigation, and intrusion detection/prevention systems are next in line.

Jeff Wilson, research director for cybersecurity technology at Infonetics, adds that facilities-based service providers are looking to NFV and SDN to help them deliver a cornucopia of “new security services that leverage virtual appliances for protecting applications, data and infrastructure in their own clouds, and delivering new services to customers."

As Alcatel-Lucent wrote in the white paper “Providing Security in NFV: Challenges and Opportunities” published last year: “While NFV introduces new challenges to security, it also presents unique opportunities for addressing security problems because of the unprecedented scale, flexibility, and central control it affords. Compute, storage, and network resources can be optimally allocated and stitched together, as required by the security policy.”

The market seems to be primed for new NFV-based security solutions. As Infonetics discusses in survey results it made public yesterday, 76 percent of the 137 businesses it surveyed said virtualization is a key factor in their buying decisions. Of course, those decisions could involve managed services or solutions they run from their own data centers.




Edited by Stefania Viscusi

Executive Editor, TMC

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