Panda Security Boasts Strong SaaS Growth
If the RSA Security Conference wasn’t enough to convince you that cloud-based security products are ready for primetime, Panda Security, which bills itself as capital-T The Cloud Security company, announced that it’s experienced 122% growth in its software-as-a-service (SaaS) endpoint protection product line. Here’s the scoop.
Panda says that in fiscal year (FY) 2009, their cloud division, which handles their SMB-targeted Panda Cloud Security antivirus and malware protection products, accounted for a full 21% of all revenue. That’s a pretty big jump from 7% in FY 2008.
What’s more, they’re predicting it’ll jump to 30% when all is said and done in 2010, and all the way up to 50% by the middle of the decade.
Of course, it’s difficult to translate percentage growth rates into actual business success. Since we don’t know the actual dollar figures involved, we need to point out that the growth rates may involve small revenue figures as a starting point.
No doubt, channel sales constitute a large part of Panda Security’s business, and their announcement indicates they expect their reseller partners to drive the growth in the cloud department. Despite its scalability and flexibility, especially in large-scale deployments, there’s still a lot of skepticism about the cloud.
Still, Panda will face plenty of competition in the cloud from entrenched rivals like Symantec, McAfee and Trend Micro, plus upstarts like Kaspersky Lab (which is preparing a hosted security strategy for SMBs) and Sophos (which expects to unveil a recurring revenue strategy for MSPs in April 2010 or so).
Numbers don’t lie, and SaaS — especially security-as-a-service — is on the rise. Our take: as companies have less to spend on IT, concerns about the cloud are washed away by the cost savings it provides.
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