Application-Layer (SSL) VPN Gateways Begin Shipping; Market Will Surge To $871M In 2005

Infonetics Research, recognized as one of the industry's leading experts in identifying emerging markets, today released the first-ever product forecast of the application-layer VPN gateway market, which is mostly made up of SSL-based products from companies like Neoteris, SafeWeb, and uRoam. The application-layer VPN gateway forecast is a new addition to Infonetics Research's VPN and Firewall Products quarterly worldwide market share and forecasts.

Worldwide application-layer VPN gateway annual revenues will grow to $871 million by 2005, representing a 143% CAGR. This market is in its infancy, and, similar to the early IPSec market, will experience tremendous growth for at least two years.

"Application-layer VPN products attempt to solve a deployability and management problem that many IPSec VPN users face," said Infonetics Research's executive director, Jeff Wilson. "IPSec clients can be a pain to manage, and they provide more access than a lot of users need, since many only access a couple of basic applications. Application-layer VPN products offer an easy-to-manage, easy-to-deploy solution in these environments. SSL also makes good sense in the extranet environment, as it gets around the uncomfortable problem of installing software on computers that don't belong to you."

In addition to the VPN and Firewall Products service, which is available now, Infonetics will release User Plans for VPN Products and Services, US/Canada 2002 on May 31. This study covers end-user demand for VPN products and services, and includes details about demand for SSL-based VPNs. The European companion study, User Plans for VPN Products and Services, Europe 2002, will be released Sept. 4, and will also cover the application-layer VPN market.

For information on any of the research above, please contact:

-Larry Howard, Vice President, Western North America larry@infonetics.com, 408.298.7999 x225

-Paul Ruggeri, Director of Sales, Eastern North America paul@infonetics.com, 401.826.2160

-Gautam Sabharwal, Account Manager, Europe and ROW gautam@infonetics.com, 44 (0) 19.2343.8276

Infonetics Research (www.infonetics.com) is a market research and consulting firm covering the networking and telecommunications industries, and has been recognized as a leading expert in the VPN space since publishing the industry's definitive early analysis on the subject in 1997. Infonetics Research provides worldwide market share services and US and European demand-side research to network equipment and software manufacturers, service providers, chip and component manufacturers, and the investment community worldwide.