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Cisco, Checkpoint Lead, Security Appliance Shipment Sees Double-Digit Growth

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The International Data Corporation (IDC) Worldwide Quarterly Security Appliance Tracker, both factory revenue and unit shipments continued to grow in the fourth quarter of 2014 (4Q14).

Worldwide vendor revenue grew 8.6% year over year to $2.6 billion in the fourth quarter, the 21st consecutive quarter of revenue growth, as Cisco remains at the forefront.

Shipments grew nearly twice as fast as revenue at 16.7% year over year to 635,933 units, making 4Q14 the fourth consecutive quarter of shipment growth.

For the full year 2014, revenue and shipments improved 8.4% and 8.3% respectively to $9.4 billion and 2.1 million units.

Regional Highlights
Security appliance revenue in the United States surpassed $1.0 billion in 4Q14, growing 13.5% year over year and making it the third fastest growing region after Latin America and Asia/Pacific (excluding Japan).

The US accounted for 39.4% of total worldwide revenue in the quarter, gaining 1.7 points of share year over year but losing 2.0 points compared to the previous quarter.

Latin America recorded the strongest year-over-year revenue growth in 4Q14 at 21.5% while shipment growth was 16.4% in the quarter.

The region continues to show strong growth potential with just 4.7% share of total worldwide revenue, up half a point year over year, and 5.6% share of total worldwide shipments.

Asia/Pacific (excluding Japan) captured 22.7% of total worldwide revenue in 4Q14 and 23.4% of total worldwide shipments and gained significant shares both year over year and sequentially following a strong performance by Huawei in China.

Shipments in the region surpassed 100,000 units in the fourth quarter and grew almost twice as fast as revenue at 32.1% year over year.

The Europe, Middle East & Africa region ended the fourth quarter with a 26.9% share of total worldwide revenue, a loss of 2.3 share points year over year and 1.0 point compared to the third quarter. Unit shipments were up 9.8% year over year, driven largely by demand in the emerging markets in Central & Eastern Europe and the Middle East & Africa.

Japan and Canada combined accounted for 6.2% of total worldwide revenue in 4Q14.

The two markets experienced year-over-year revenue declines of -20.4% and -0.4% respectively.

“2014 saw a record number of serious data breaches causing both government agencies and companies to realize how susceptible they are to cyber threats that cut beyond boundaries,” said Ebenezer Obeng-Nyarkoh, Senior Research Analyst, Worldwide Trackers Group. “In spite of this, many companies still have not done enough to protect their systems, which could compromise their security and jeopardize sensitive data and information.”

Vendor Highlights
Cisco continues to lead the overall security appliance market with a 16.6% share of worldwide revenue in 4Q14.

This was the first time since the fourth quarter of 2014 that Cisco failed to achieve double-digit year-over-year growth in a quarter.

Check Point remained the number 2 security appliance vendor with 13.2% revenue share in the quarter, gaining 1.2 share points year over year. In addition to 14.4% year-over-year revenue growth, Check Point posted impressive shipment growth of 25.6% in the fourth quarter.

Fortinet returned to the number 3 position with year-over-year revenue growth of 27.4% and capturing 7.7% of worldwide revenues.

Fortinet remains the largest security appliance vendor in terms of shipments with 18.8% share of total unit shipments in 4Q14, driven by its Unified Threat Management solution.

Since entering the top 5 in the second half of 2013, Palo Alto Networks has experienced the fastest year-over-year revenue growth, consistently outpacing the overall market.

Palo Alto Networks ended the fourth quarter with year-over-year revenue growth of 53.3% and a 7.6% share of worldwide revenues.

Rounding out the top 5 vendors, Blue Coat and McAfee finished the quarter in a tie with each vendor holding a 4.3% share of worldwide revenues.

Both vendors experienced declining revenue share on a year over year and sequential basis.


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E-Business

NITDA Takes Over National Digital Architecture System

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Nigeria has taken a major step toward strengthening its digital governance framework as the National Information Technology Development Agency (NITDA) officially assumes control of the Nigeria Government Enterprise Architecture (NGEA) infrastructure.

NITDA Takes Over National Digital Architecture System

The handover ceremony held in Abuja, marks the culmination of a high-level partnership with the Korea International Cooperation Agency (KOICA).

This transition signals a shift from fragmented IT projects to a unified, disciplined approach to national digital investment.

The NGEA initiative forms a core part of the e-Government Masterplan 2.0 (Ne-GMP 2.0), aimed at establishing a unified and structured approach to managing government IT investments and digital resources.

The framework is designed to ensure that technology deployment across public institutions aligns with national priorities while improving efficiency and accountability.

With the system now operational, government agencies are expected to adopt more integrated digital processes, allowing seamless data sharing and interoperability.

This is anticipated to reduce duplication, strengthen risk management, and translate policy objectives into measurable digital outcomes.

Over the past two and a half years, Nigerian technical experts worked closely with their Korean counterparts to develop the architecture framework, create reference models, and execute pilot programmes in key institutions.

These include the National Identity Management Commission, Nigeria Customs Service, Nigeria Immigration Service, and NITDA.

Officials say the NGEA represents a shift from fragmented digital efforts to a more coordinated, citizen-focused system.

The infrastructure is hosted by Galaxy Backbone Limited, providing a secure and reliable platform for nationwide deployment.

Looking ahead, NITDA is expected to work with government stakeholders to expand and sustain the system, while the Federal Ministry of Communications, Innovation and Digital Economy will provide policy guidance to ensure its adoption across the country.

 

 


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FG Shifting Focus to “Meaningful Connectivity” to Drive Inclusion  – Minister

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Bosun Tijani, minister of Communications, Innovation and Digital Economy, has said the government is shifting focus from expanding access to ensuring “meaningful connectivity” that drives economic growth and inclusion.

FG Shifting Focus to “Meaningful Connectivity” to Drive Inclusion  - Minister

Bosun Tijani, minister of Communications, Innovation and Digital Economy

The minister made the statement on Friday while addressing stakeholders at the inauguration of board members of the Universal Service Provision Fund (USPF) in Abuja.

He said that although Nigeria had made significant progress since the introduction of GSM services, millions of people, particularly in rural and underserved communities, remain either unconnected or unable to fully benefit from digital services.

Dr Tijani highlighted ongoing investments in digital infrastructure, including plans to deploy 90,000 kilometres of fibre optic network and nearly 4,000 telecom towers nationwide.

He said initiatives under the USPF had improved access through projects such as rural connectivity and digital facilities in schools but stressed that the next phase must prioritise effective usage.

“It is not enough to connect a community. We must ensure that schools can teach with digital tools and that small businesses can access market opportunities,” he said, citing a pilot project in the Kura community where connectivity has enhanced access to communication, education and healthcare.

Aminu Maida, executive vice chairman, Nigerian Communications Commission (NCC) also called for a shift towards meaningful connectivity, noting that while data usage had grown significantly, it remained concentrated in urban areas.

According to him, recent data shows that telecom usage has increased by about 160% over the past two years, largely driven by urban demand.

“When we drill down, we see that a lot of that growth is actually in urban centres. So, the gap between those who are not connected or not meaningfully connected is growing,” he said.

Dr Maida added that the trend underscored the need for the USPF board to intensify efforts to bridge both access and usage gaps across the country.

Both officials emphasised the importance of collaboration, sustainable investment models and improved digital literacy to ensure that connectivity translates into real economic benefits for Nigerians.

 

 


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Jury Finds Meta, Google Liable for Woman’s Social Media Addiction

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A jury in Los Angeles has found technology companies, Meta and Google liable for contributing to a young woman’s social media addiction, in a case being described as a landmark ruling.

Jury Finds Meta, Google Liable for Woman’s Social Media Addiction

The 20-year-old woman, identified only as Kaley, argued that she became addicted to Google’s YouTube and Meta’s Instagram from an early age due to their attention-driven design features.

According to her testimony, she began using YouTube at the age of six after downloading the app on her iPod Touch to watch videos about lip gloss and online games.

Kaley told the court that she joined Instagram at nine, bypassing parental restrictions put in place by her mother, and spent extended periods on social media.

The trial, which lasted about a month, with arguments and evidence from both sides.

Jurors also heard testimony from Mark Zuckerberg, chief executive, Meta and Adam Mosseri, Instagram head.

However, Neal Mohan, YouTube chief executive, did not testify.

The jury found that the companies were negligent in the design of their platforms and failed to adequately warn users about potential harms. Meta and Google were ordered to pay the woman $3 million in damages.

Jurors also recommended additional punitive damages, including $900,000 against YouTube and $2.1 million against Meta, according to company spokespersons.

The jury apportioned 70 per cent of the responsibility to Meta and 30 per cent to YouTube.

Kaley was present in the courtroom when the verdict was delivered, alongside parents of other teenagers who say they were harmed by social media use. Both companies said they plan to appeal the decision.

“We respectfully disagree with the verdict and will appeal. Teen mental health is profoundly complex and cannot be linked to a single app. We will continue to defend ourselves vigorously as every case is different, and we remain confident in our record of protecting teens online”, a Meta spokesperson said.

José Castañeda, Google spokesperson, said the case misunderstands YouTube, which is a responsibly built streaming platform, not a social media site.


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