Firewall-as-a-Service Market Report 2025

The firewall-as-a-service market size has grown exponentially in recent years. It will grow from $3.37 billion in 2024 to $4.13 billion in 2025 at a compound annual growth rate (CAGR) of 22.6%. The growth in the historic period can be attributed to increase in cybersecurity threats, growth in remote work and cloud adoption, emphasis on network security and access control, adoption of bring your own device (BYOD) policies, rise of software-defined networking (SDN).

The firewall-as-a-service market size is expected to see exponential growth in the next few years. It will grow to $11.41 billion in 2029 at a compound annual growth rate (CAGR) of 28.9%. The growth in the forecast period can be attributed to increased adoption of zero trust security models, growth in internet of things (iot) security, emphasis on cloud-native security solutions, expansion of firewall-as-a-service for 5g networks, rise of cloud-native firewalls. Major trends in the forecast period include integration of artificial intelligence in firewall-as-a-service, micro-segmentation for enhanced network security, integration with cloud security posture management (CSPM), emphasis on threat intelligence and threat hunting, adoption of secure access service edge (SaSE) principles in firewall-as-a-service.

The rising incidence of fraud cases and cyber-attacks is expected to drive the growth of the firewall-as-a-service market in the future. A cyberattack refers to a malicious and intentional effort by an individual or organization to compromise the information system of another party. Each year, cybercrime has escalated as individuals seek to exploit vulnerable business systems. The visibility and traffic filtering offered by a firewall allow an organization to detect and block a significant portion of malicious traffic before it penetrates the network perimeter, providing an additional layer of defense. For example, a statistical report released by Packetlabs, a Canadian penetration testing firm, indicated that cybercrime cost the global economy $6 trillion in 2021, with projections suggesting this figure could rise to $10.5 trillion by 2025. Thus, the growing number of fraud cases and cyber-attacks is set to propel the firewall-as-a-service market.

The growing trend of digital transformation is significantly driving the growth of the Firewall-as-a-Service market in the coming years. Digital transformation involves the comprehensive integration of digital technology into a business, fundamentally changing how it operates and delivers value to its customers. Initiatives related to digital transformation, which encompass the adoption of cloud services, IoT devices, and other emerging technologies, necessitate updated firewall solutions to safeguard evolving network architectures. For instance, in February 2023, data released by Apty, a U.S.-based cloud platform provider focused on the digital transformation of enterprises, indicated that global investment in digital transformation services and technology is projected to reach $2.3 trillion by 2023. Consequently, the rise in digital transformation efforts will propel the Firewall-as-a-Service market.

Advancements in cloud-based firewall services have emerged as a key trend gaining popularity in the firewall as a service market. A cloud firewall protects cloud infrastructure from attacks, just as a traditional firewall protects on-premise networks. Major companies operating in the firewall as a service market are focused on developing new technological solutions to strengthen their position. For instance, in March 2022, Palo Alto, a US-based cybersecurity company launches a cloud-native firewall service for AWS (Amazon Web Services). It would be a managed Next-Generation Firewall (NGFW) service designed to simplify securing AWS deployments, enabling organizations to speed their pace of innovation while remaining highly secured.

Major companies operating in the Firewall-As-A-Service market are focusing on developing edge computing solutions for better deployment of firewall services and increasing the efficiency of firewall security operations. Edge computing refers to a distributed information technology (IT) architecture in which client data is processed at the periphery of the network, as close to the originating source as possible. For instance, in February 2022, Juniper Networks a US-based provider of networking products, launched Juniper Secure Edge. With the help of Security Director Cloud, the new solution offers Firewall-as-a-Service as a single-stack software architecture that enables businesses to protect their workforces.

In December 2023, Thales, a France-based company that designs, develops, and manufactures electrical systems, acquired Imperva for an undisclosed sum. This acquisition is intended to enhance Thales's position in the cybersecurity market by merging its data protection expertise with Imperva's strengths in application and data security. Imperva is a U.S.-based cybersecurity firm specializing in application security, data security, and cloud security solutions, including firewall-as-a-service.

Major companies operating in the firewall-as-a-service market include Barracuda Networks Inc., Cisco Systems Inc., Juniper Networks Inc., Cato Networks, Forcepoint, Fortinet Inc., Check Point Software Technologies Inc., Palo Alto Networks Inc., WatchGuard Technologies Inc, Microsoft Corporation, SonicWall, Sophos group PLC., Zscaler Inc., Akamai Technologies Inc., Armor Defense Inc., AT&T Inc., Lumen Technologies Inc., Cloudflare Inc., Comodo Security Solutions Inc., Cyxtera Technologies, F5 Inc., Google LLC., The International Business Machines Corporation., Netskope Inc., Okta Inc., Oracle corporation., Proofpoint Inc., Qualys Inc., Secureworks Inc., Broadcom Inc., Trend Micro Inc., Vmware Inc.

Firewall as a service (FWaaS) is a firewall solution delivered as a cloud-based service that allows companies to simplify IT infrastructure. Firewall as a Service filters network traffic to safeguard organizations from both inside and outside threats.

The main service types of firewalls as a service are traffic monitoring and control, compliance and audit management, reporting and log management, automation and orchestration, and security management. Traffic monitoring and control reports, alert, and provides vital information. Firewall services use this for web-traffic details, security attacks, VPN log-on and log-off trends, and firewall rule changes. The services are deployed in private and hybrid deployment by large enterprises, small and medium enterprises, and used for banking, financial services, and insurance, it and telecom, manufacturing, travel and hospitality, healthcare, energy and utilities, retail and consumer goods, and other verticals.

The firewalls as a service market research report are one of a series of new reports that provides firewalls as a service market statistic, including firewalls as a service industry global market size, regional shares, competitors with firewalls as a service market share, detailed firewalls as a service market segments, market trends, and opportunities, and any further data you may need to thrive in the firewalls as a service industry. This firewalls as a service market research report deliver a complete perspective of everything you need, with an in-depth analysis of the current and future scenarios of the industry.

North America was the largest region in the firewall as a service market in 2024. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the firewall-as-a-service market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.

The countries covered in the firewall-as-a-service market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Italy, Canada, Spain.

The firewall as a service (FWaaS) market consists of revenues earned by entities by providing FWaaS such as providing next-generation firewall (NGFW) capabilities like web filtering, advanced threat protection (ATP), intrusion prevention system (IPS), and Domain Name System (DNS) security. The market value includes the value of related goods sold by the service provider or included within the service offering. The FwaaS service market also includes stateful firewall features such as packet filtering, network monitoring, Internet Protocol security (IPsec), secure sockets layer virtual private network (SSL VPN) support, and Internet Protocol (IP) mapping features. FWaaS also has deeper content inspection capabilities that include the ability to identify malware attacks and other threats. Values in this market are ‘factory gate’ values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods. Only goods and services traded between entities or sold to end consumers are included.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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