Firewall-as-a-Service Market Size (2024 - 2029)

The Firewall-as-a-Service market is experiencing significant growth due to the increasing adoption of cloud-based applications and the rising need for enhanced security solutions. This expansion is driven by the benefits offered by cloud-based firewall services, such as flexible scalability and secure access, which are becoming essential for organizations managing data in cloud networks. The shift from hardware-based to software-based security solutions, accelerated by widespread cloud adoption, is further contributing to the market's expansion. Despite challenges like the complexity of integrating hosted and on-premise firewalls and inadequate IT infrastructure in some regions, the demand for firewall-as-a-service is rising across various industries. The impact of remote work and increased cloud adoption during the Covid-19 pandemic has also heightened the need for robust security measures, reinforcing the market's growth trajectory.

Market Size of Firewall-as-a-Service Industry

Firewall-as-a-Service Market Summary
Study Period 2019 - 2029
Market Size (2024) USD 4.69 Billion
Market Size (2029) USD 2.19 Billion
CAGR (2024 - 2029) 16.47 %
Fastest Growing Market Asia Pacific
Largest Market North America
Market Concentration Low

Major Players

Firewall-as-a-Service Market Major Players

*Disclaimer: Major Players sorted in no particular order

Firewall as a Service Market Analysis

The Firewall-as-a-Service Market size is estimated at USD 4.69 billion in 2024, and is expected to reach USD 2.19 billion by 2029, growing at a CAGR of 16.47% during the forecast period (2024-2029).

Cloud-based firewall services offer several benefits to organizations, including flexible scalability, secure access parity, security over migration, identity protection, and secure performance management. As a result, many organizations are implementing firewall-as-a-service to manage their data packets in the cloud network.

  • Hardware-based security options are becoming less common, and the implementation of more software-based solutions that use a service delivery paradigm has increased due to widespread cloud adoption. Over the past five years, these changes have accelerated the uptake of FWaaS solutions and other network and security services, bringing about more scalable and user-friendly security solutions.
  • The enormous growth in cloud-based applications, the surge in data breaches in the public cloud environment, and ever-changing firewall protocols for business organizations are major factors influencing growth for the firewall-as-a-service in the global market. However, the complexity of integrating hosted firewalls with on-premise firewalls and inadequate IT infrastructures in underdeveloped nations are obstructing market growth.
  • Firewall-as-a-service has found a place in various industries such as BFSI, government, IT & telecom, healthcare, retail, manufacturing, aerospace & defense, energy & utilities, and others, offering an advanced cloud-based network security solution for enterprises. As traffic increases exponentially over the cloud network, organizations have adopted security solutions like firewalls and endpoint security to protect their data on their respective cloud network.
  • The impact of Covid-19 led to a rise in work-from-home and cloud adoption. The majority of IT employees' to-do lists will be dominated by providing remote access. According to Global Workplace Analytics, up to 30% of the workforce could be working from home multiple days per week by the end of the year. More than half (54%) of a Cybersecurity Insiders survey respondents said Covid-19 increased their cloud adoption for workflows and apps. Furthermore, about 66% of respondents anticipate increased security threats to remote workers. No matter where the users are located while working, firewalls must safeguard the organization's networks.

Firewall as a Service Industry Segmentation

Firewall-as-a-Service is the cloud-based firewall protection service provided by vendors. On the basis of deployment, FWaaS can offer firewall protection service to the IT infrastructure placed in hosted, on-premise and hybrid environments as well. The recent, next-generation FWaaS can protect an organization's servers on a platform-as-a-service (PaaS) or infrastructure-as-a-service (IaaS) model by securing in and out traffic between hosted or cloud-based applications.

The Firewall-as-a-Service market is segmented by service model (SaaS, IaaS, PaaS), deployment model (private, public, hybrid), user type (large enterprises, SMEs), industry vertical (BFSI, IT & telecom, retail, manufacturing, aerospace & defense), and geography (North America, Europe, Asia-Pacific, Latin America, Middle East and Africa). The report offers market forecasts and size in value (USD) for all the above segments.

By Service Model
SaaS
IaaS
PaaS
By Deployment Model
Private
Public
Hybrid
By User Type
Large Enterprises
SMEs
By Industry Vertical
BFSI
IT & Telecom
Healthcare
Retail
Aerospace & Defence
Other Industry Verticals
Geography
North America
United States
Canada
Europe
United Kingdom
Germany
France
Rest of Europe
Asia-Pacific
China
Japan
Australia
Rest of Asia-Pacific
Latin America
Mexico
Brazil
Rest of Latin America
Middle-East & Africa
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Firewall-as-a-Service Market Size Summary

The Firewall-as-a-Service (FWaaS) market is experiencing significant growth, driven by the increasing adoption of cloud-based solutions and the need for robust security measures across various industries. As organizations transition to cloud environments, the demand for scalable and user-friendly security solutions has surged, with FWaaS offering flexible scalability, secure access, and identity protection. The shift from hardware-based security to software-based solutions is largely due to the widespread adoption of cloud technologies, which has accelerated the uptake of FWaaS and other network security services. Despite the challenges posed by integrating hosted firewalls with on-premise systems and inadequate IT infrastructure in some regions, the market continues to expand, with FWaaS being implemented across sectors such as BFSI, government, healthcare, and IT & telecom.

The Asia Pacific region is witnessing the fastest adoption of FWaaS, driven by the increasing number of cyberattacks and the rapid growth of connected devices, particularly in China and Japan. The rise in cyber threats has prompted governments and organizations to enhance their cybersecurity measures, leading to a greater demand for FWaaS solutions. In response to these challenges, market vendors are offering advanced FWaaS solutions with features like SSL offloading and load balancing to ensure secure and efficient cloud operations. The market is characterized by the presence of major players such as Barracuda Networks, Cisco Systems, and Palo Alto Networks, who are actively engaging in partnerships and product innovations to maintain a competitive edge. As organizations prioritize data protection and security in cloud environments, the FWaaS market is poised for continued growth and evolution.

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Firewall-as-a-Service Market Size - Table of Contents

  1. 1. MARKET DYNAMICS

    1. 1.1 Market Overview

    2. 1.2 Introduction to Market Drivers and Restraints

    3. 1.3 Market Drivers

      1. 1.3.1 Enormous Growth in Cloud Based Applications

      2. 1.3.2 Surge in Data Breaches on Public Cloud Environment

      3. 1.3.3 Everchanging Firewall Protocols for Business Organisations

    4. 1.4 Market Restraints

      1. 1.4.1 Complexity in Integrating Hosted Firewalls with On-premise Firewalls

    5. 1.5 Industry Value Chain Analysis

    6. 1.6 Industry Attractiveness - Porter's Five Forces Analysis

      1. 1.6.1 Threat of New Entrants

      2. 1.6.2 Bargaining Power of Buyers/Consumers

      3. 1.6.3 Bargaining Power of Suppliers

      4. 1.6.4 Threat of Substitute Products

      5. 1.6.5 Intensity of Competitive Rivalry

  2. 2. MARKET SEGMENTATION

    1. 2.1 By Service Model

      1. 2.1.1 SaaS

      2. 2.1.2 IaaS

      3. 2.1.3 PaaS

    2. 2.2 By Deployment Model

      1. 2.2.1 Private

      2. 2.2.2 Public

      3. 2.2.3 Hybrid

    3. 2.3 By User Type

      1. 2.3.1 Large Enterprises

      2. 2.3.2 SMEs

    4. 2.4 By Industry Vertical

      1. 2.4.1 BFSI

      2. 2.4.2 IT & Telecom

      3. 2.4.3 Healthcare

      4. 2.4.4 Retail

      5. 2.4.5 Aerospace & Defence

      6. 2.4.6 Other Industry Verticals

    5. 2.5 Geography

      1. 2.5.1 North America

        1. 2.5.1.1 United States

        2. 2.5.1.2 Canada

      2. 2.5.2 Europe

        1. 2.5.2.1 United Kingdom

        2. 2.5.2.2 Germany

        3. 2.5.2.3 France

        4. 2.5.2.4 Rest of Europe

      3. 2.5.3 Asia-Pacific

        1. 2.5.3.1 China

        2. 2.5.3.2 Japan

        3. 2.5.3.3 Australia

        4. 2.5.3.4 Rest of Asia-Pacific

      4. 2.5.4 Latin America

        1. 2.5.4.1 Mexico

        2. 2.5.4.2 Brazil

        3. 2.5.4.3 Rest of Latin America

      5. 2.5.5 Middle-East & Africa

Firewall-as-a-Service Market Size FAQs

The Firewall-as-a-Service Market size is expected to reach USD 4.69 billion in 2024 and grow at a CAGR of 16.47% to reach USD 2.19 billion by 2029.

In 2024, the Firewall-as-a-Service Market size is expected to reach USD 4.69 billion.

Firewall as a Service Market Size & Share Analysis - Growth Trends & Forecasts (2024 - 2029)