SASE Market Expected to Nearly Double to $17 Billion by 2029, Says Dell'Oro Group
Overview of the SASE Market Growth
According to a detailed forecast report by Dell'Oro Group, the global market for Secure Access Service Edge (SASE) is set to experience substantial growth, expected to reach an impressive $17 billion by 2029. This growth indicates a compound annual growth rate (CAGR) of around 12%. The primary driver of this expansion is the increasing demand for integrated networking and security solutions—offering simplicity and efficiency for businesses navigating increasingly complex IT environments.
Trends in SASE Solutions
The adoption of SASE is fueled by a number of emerging trends: notably, an influx of vendors providing both SD-WAN (Software-Defined Wide Area Network) and SSE (Security Service Edge) capabilities. Dell'Oro projects that these combined solutions will constitute approximately 90% of the total SASE market by 2029. Enterprises are moving toward unified solutions to streamline operations, especially as hybrid work environments and multi-cloud strategies become the norm. Mauricio Sanchez, a key figure at Dell'Oro, highlighted how SASE is evolving from being a strategic choice to a necessity for modern businesses.
Short-Term vs. Long-Term Outlook
Despite short-term challenges—largely due to macroeconomic pressures affecting growth rates in 2024—the long-term outlook appears robust. The SSE market exhibits resilience and is anticipated to rebound, particularly in 2025, as purchasing sentiment improves. Changes in market dynamics post-pandemic are expected to moderate growth in the SD-WAN space, leading enterprises to adapt to new realities in technology and spending.
Unified SASE Solutions on the Rise
Unified SASE solutions are set to grow at a staggering 19% revenue CAGR, making this segment particularly appealing to small enterprises. These smaller businesses are increasingly seeking tightly integrated solutions that deliver greater simplicity and efficiency.
Declining Access Router Revenues
In contrast to the growth seen in SASE and SD-WAN sectors, traditional access router revenues are projected to decline sharply, reaching approximately $1 billion by 2029. This is largely due to the industry's pivot toward more advanced SD-WAN solutions as organizations strive to modernize their networks.
Comprehensive Market Report
The Dell'Oro Group's comprehensive SASE and SD-WAN 5-year forecast report provides in-depth analysis, including statistics dating as far back as 1995. Key insights cover technology segments within SASE, as well as detailed historical data on revenue, unit shipments, and pricing, making it a valuable resource for businesses and stakeholders in the telecommunications and security sectors.
Conclusion
In summary, the SASE market is on a strong upward trajectory, spurred by an increasingly complex digital landscape and the overarching need for secure, efficient, and integrated network solutions. As organizations prioritize cloud-first strategies, the role of SASE is set to become even more critical in the coming years. For those looking to navigate this shifting landscape, Dell'Oro Group's findings offer essential insights into current trends and future projections.