Gigamon records 100% growth in cloud revenue in 2023

Gigamon, the global vendor in deep observability, announced a significant leap in its cloud business in 2023. It reported over 100 percent growth in cloud revenue Year on Year (YoY), thanks to the robust international customer demand for the Gigamon Deep Observability Pipeline. The company's recurring revenue also saw a surge of over 20 percent YoY, now accounting for over 70 percent of the overall revenue.

This progress underscores Gigamon's consistent profitability record, with the most recent quarter marking 38 consecutive quarters of profit. The robust growth demonstrates the increasing use of Gigamon's offerings by organisations across the globe for hybrid cloud infrastructure security and management. Celebrating its 20th anniversary in 2023, Gigamon has expanded its leadership position within the deep observability market, which is predicted to reach $2B by 2027. A new report by 650 Group places Gigamon's market share at 67 percent in the first half of 2023.

The rising adoption of the hybrid cloud infrastructure is not without challenges, particularly surrounding its security. The 2023 Hybrid Cloud Security survey by Gigamon revealed some significant insights. It showed that 90 percent of the survey's 1,000 IT and security leader respondents admitted to having suffered a data breach in the past 18 months. Moreover, traditional security and observability tools left one in three breaches undetected. The survey also showed that 70 percent of organisations were unaware of their blind spots and the potential risks in encrypted traffic.

Alan Weckel, founder and technology analyst of 650 Research, highlighted the importance of deep observability and Gigamon's pioneering role. "Deep observability is a game-changer for operations teams, tangibly reducing the complexity of multi-cloud environments and the rapidly evolving threat landscape," he said. "As a result, the deep observability market is one of the fastest-growing market segments. Gigamon is uniquely positioned to capitalise on this growth trajectory due to their market share leadership and innovative, value-added capabilities like Precryption technology and Application Metadata Intelligence."

Shane Buckley, president and CEO of Gigamon, emphasised the increasing threat landscape and how their deep observability pipeline is a cost-effective and efficient approach to securing hybrid cloud infrastructure. Moreover, Gigamon launched Precryption technology in 2023, an innovative approach to gaining visibility into encrypted traffic. It also saw strong growth across all industries globally, issue a notable growth in the U.S. public sector.

Adding to Gigamon's credibility, it earned a customer satisfaction rating of 4.8, with a global customer base of over 4,000. Gigamon's other significant milestones include joining hands with global distributor TD SYNNEX successfully integrating key technologies such as Amazon Security Lake from AWS, and participating in the Microsoft Security Copilot Partner Private Preview. The company was also honoured with numerous accolades, including the 2023 Global Company of the Year Award by Frost & Sullivan and the Technology & Services Industry Association (TSIA) DEI STAR award. Gigamon's Application Metadata Intelligence product won Best of VMware Explore at the 2023 VMware Explore conference and it ended the year by winning the InfoSec Top Innovator award for its Precryption technology.