Dell’Oro Group reports network security revenue topped $6B in 3Q 2025

Dell’Oro Group reports global Network Security revenue surpassed $6 billion in 3Q 2025 and is on track to exceed $26 billion for 2025, with cloud-delivered controls like Security Services Edge (SSE) and Web Application Firewall (WAF) leading growth, affecting enterprise security budgeting.

Market Overview

The report shows global Network Security revenue topped $6 billion in 3Q 2025 and is on track to exceed $26 billion for the full year 2025.

The report notes the total market grew 9 percent year over year in the period referenced.

Key Findings

“The gap between cloud-native agility and legacy hardware has never been starker; while the total market grew 9 percent, SSE surged 20 percent, and WAF climbed 12 percent, proving that the edge is where the modern security budget is actually being spent,” said Mauricio Sanchez, Sr. Director, Enterprise Security and Networking at Dell’Oro Group.

The report lists Security Service Edge as the single largest contributor, sustaining nearly 20 percent year-over-year growth; WAF revenue rose mid-teens supported by application modernization, and firewalls posted modest single-digit gains as refresh cycles normalized.

Segment or Supplier Performance

Firewalls recorded modest single-digit growth, an improvement over flat performance in the previous quarter, which the report describes as a maturing hardware market.

Technology or Trend Analysis

The report attributes stronger cloud-delivered security adoption to demand for decentralized access and application-layer protections, noting migration of value toward cloud-edge controls.

Forecast or Analyst Outlook

The Network Security market is projected to approach $29 billion in 2026, driven by cloud workload adoption and sustained demand for application-layer protection.

Methodology Notes

The Network Security Quarterly Report includes manufacturers’ revenue for Application Delivery Controller (ADC), Firewall, SSE, Secure Web Gateway (SWG), and WAF segments, breaks SSE into Cloud Access Security Broker (CASB), Firewall-as-a-Service (FWaaS), SWG, and Zero-Trust Network Access (ZTNA), and splits many segments by physical, virtual, and Software-as-a-Service (SaaS) form factors.

The report provides quantitative revenue data and segment breakdowns for the period covered.

This Analyst Signals brief reflects a neutral, fact-based summary of the original research note.