Revenue rose by 21%
Cisco’s (CSCO) Security segment has been the company’s fastest-growing segment for a while now. In the third quarter of 2019, the segment’s revenue rose 21% YoY to $707 million. This segment accounted for 5.5% of total revenue in Q3. Cisco leads the global security market as well. It is the largest player in cybersecurity and has a huge customer base. The growing number of cyber attacks has increased demand for products and services in this vertical.
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Cisco is optimistic about long-term growth in the Security segment, and CEO Charles Robbins stated, “Our portfolio covers the entire threat continuum of the modern enterprise and integrate security into every networking domain. We are enabling all of our customers to transform and secure their networks for the rapidly evolving multi-cloud world.”
Revenue growth in the third quarter was driven by a strong performance in the identity and access, advanced threat, and unified threat verticals. Cisco has integrated Duo, Umbrella, ISE, Stealthwatch, and Tetration to offer end-to-end zero trust architecture.
Security revenue growth was 10% in fiscal 2018
As we can see in the above chart, Cisco’s Security sales rose 9% in fiscal 2017 and 9% in fiscal 2018. Security sales are now accelerating for Cisco. Revenue rose 11% in the first quarter of fiscal 2019 and 18% in the second quarter.