WAN Optimization Market Declines 12 Percent Sequentially Indicating Softening Demand, According to Dell'Oro Group

Vendors Develop New Core Product Features in Effort to Reverse Trend

News provided by

Jun 18, 2014, 09:15 ET

REDWOOD CITY, Calif., June 18, 2014 /PRNewswire/ -- According to a recently published Data Center Appliance quarterly report by Dell'Oro Group, the trusted source for market information about the networking and telecommunications industries, the WAN Optimization (WANOP) market declined 12 percent sequentially in first quarter 2014 due to seasonality and softening demand.

"We typically see seasonal WANOP revenue declines in the first quarter; however this quarter was significant in that we saw the lowest revenues in almost four years. We believe that demand for basic WANOP functionality such as caching and compression continues to show signs of weakening due to stagnant, or even declining, branch office expansion," said Casey Quillin, Director of SAN research at Dell'Oro Group. "To answer this trend, vendors are building upon the core feature set of their product platforms in an effort to increase product attractiveness and reignite demand, adding functions such as policy enforcement, network monitoring, and legacy storage optimization," Quillin explained.

About the Report
The Dell'Oro Group Quarterly Data Center Appliance Report offers complete, in-depth coverage of the market with tables covering manufacturers' revenue, units shipped and average selling prices for Application Delivery Controller, WAN Optimization Appliance equipment, and Network Security Appliances. Each of these markets is further segmented by Physical and Virtual technologies. The Network Security Appliance market is also segmented by: SaaS, Content Security, Firewall, IDS and IPS, and VPN and SSL. To purchase this report, please contact Julie Learmond-Criqui, call +1.650.622.9400 x244 or email [email protected].

About Dell'Oro Group
As the trusted source for market information about the networking and telecommunications industries, Dell'Oro Group provides in-depth, objective research and analysis that enables component manufacturers, equipment vendors, and investment firms to make fact-based, strategic decisions. For more information, contact Dell'Oro Group at +1.650.622.9400 or visit www.DellOro.com.

Logo - http://photos.prnewswire.com/prnh/20101012/SF80035LOGO

SOURCE Dell'Oro Group