Gigamon 2023 cloud revenue soars with over 100 percent growth YoY

Gigamon, the leading deep observability company, today announced significant cloud business momentum for 2023, delivering over 100 percent cloud revenue growth (YoY).

Powered by strong global customer demand for the Gigamon Deep Observability Pipeline, the company’s overall recurring revenue grew over 20 percent YoY and is now over 70 percent of total revenue.

The latest quarter brings the total to 38 consecutive quarters of profitability, underscoring the growth and momentum in the company’s fast-growing cloud business, as organisations continue to choose Gigamon to secure and manage hybrid cloud infrastructure.

Gigamon celebrates its 20th anniversary this year and as the deep observability market continues to expand globally, forecast to reach $2B by 2027, it again expanded its leadership position with 67 percent market share in the first half of 2023, according to a new report by 650 Group.

Nearly every organisation is embracing hybrid cloud infrastructure to maintain a competitive edge. However, various considerations around hybrid cloud security have emerged as top priorities for IT and security leaders and their teams, given the sharp rise in cloud-based security threats and breaches.

The Gigamon 2023 Hybrid Cloud Security survey of 1,000 IT and security leaders revealed that while 90 percent of respondents admitted to having suffered a data breach in the past 18 months, one in three breaches are going undetected by traditional security and observability tools.

The survey also revealed that 70 percent of the organisations lack awareness around blind spots and the dangers concealed in encrypted traffic, admitting they let encrypted data flow freely.

“IT organisations continue to be challenged with the complexity of multi-cloud environments and the rapidly evolving threat landscape,” said Alan Weckel, founder and technology analyst of 650 Research. “Deep observability is a game-changer for operations teams, tangibly reducing that complexity by providing the network-derived insights needed to optimise their security and performance tool stack, eliminate blind spots and proactively address issues.

“As a result, the deep observability market is one of the fastest growing market segments, expected to grow 100 percent in 2023 and approach $2B by 2027. Gigamon is in a unique position to capitalise on this growth trajectory due to their market share leadership and innovative, value-added capabilities like Precryption™ technology and Application Metadata Intelligence.”

Gigamon uniquely addresses hybrid cloud security challenges with its deep observability pipeline that efficiently delivers network-derived intelligence to traditional cloud, security, and observability tools, helping to eliminate security blind spots and enabling organisations to better secure and manage their hybrid cloud infrastructure.

“The threat is more pernicious than ever, and the attack surface has dramatically increased, making it so that no organisation – large or small – is immune to cybersecurity breaches,” said Shane Buckley, president and CEO of Gigamon.

“As a result, we continue to see organisations prioritising security for their hybrid cloud infrastructure as part of ongoing digital transformation initiatives, despite some of the challenging economic headwinds over the past 12 months. This year, hybrid cloud security will remain a top budgeting priority, and we believe our deep observability pipeline is the most cost-effective, efficient approach to securing hybrid cloud infrastructure.”

The company’s continued momentum in securing hybrid cloud infrastructure for its global customer base is underscored by the following milestones in 2023:

  • Gigamon Precryption™ Technology The company launched a breakthrough approach to gaining visibility into encrypted traffic with Precryption technology. Revealing previously concealed threat activity, including lateral movement, malware distribution, and data exfiltration, Precryption technology’s innovative approach – automated for the first time – delivers plaintext visibility, capturing traffic before encryption or after decryption.
  • Key Customers – Gigamon realised strong growth across all industries globally, with notable growth in the U.S. public sector, as those organisations seek to comply with the Zero Trust mandate.

The company achieved a customer satisfaction rating of 4.8, with new customers including Comgas, Palladin Technologies, and Micron Technologies adding to the more than 4,000 global customers served by Gigamon. As of January 12, 2024, Gigamon has an Overall Rating of 4.7 out of 5 in the Network Performance Monitoring market, based on 70 reviews Gartner® Peer Insights™.

  • Ecosystem and Channel Growth – The company continues to deliver on its channel-first strategy, empowering global channel partners with its deep observability solutions.

In 2023, global distributor TD SYNNEX joined the company’s award-winning Catalyst Channel Program. Further broadening its ecosystem with key technology integrations, such as Amazon Security Lake from AWS, and participation in the Microsoft Security Copilot Partner Private Preview, Gigamon continues to expand the number of uses cases for its Deep Observability Pipeline.

At the 2023 VMware Explore conference, Gigamon received a Best of VMware Explore for its Application Metadata Intelligence product, and ended the year by winning the InfoSec Top Innovator award for Precryption technology.

To learn more about the Gigamon Deep Observability Pipeline, visit our website here; to learn about award-winning Precryption technology, visit our website here.

Gigamon® offers a deep observability pipeline that efficiently delivers network-derived intelligence to cloud, security, and observability tools. This helps to eliminate security blind spots and reduce tool costs, enabling organisations to better secure and manage their hybrid cloud infrastructure.

Gigamon serves more than 4,000 customers worldwide, including over 80 percent of Fortune 100 enterprises, 9 of the 10 largest mobile network providers, and hundreds of governments and educational organisations worldwide.