Fortinet, Inc.
Fortinet designs and sells cybersecurity and secure networking products built around its FortiOS software and Fortinet Security Fabric platform. The company combines hardware appliances, software licenses, and recurring security subscriptions to help enterprises, service providers, and governments secure networks, cloud workloads, users, and devices across on-premises and hybrid environments.
Fiscal year 2025 · change from previous year
Development 2020–2025
Business
Share of revenuePhysical and virtual appliances used for firewall, LAN, SD-WAN, and network security functions.
FortiGuard and related subscriptions that deliver threat intelligence and security updates over time.
FortiCare support contracts that provide maintenance, assistance, and service-level coverage.
Unified SASE, CNAPP, and AI-driven SecOps software and cloud-delivered services.
Products
Reported · share of revenue- Security Subscription38.7 %
- Products32.6 %
- Technical Support and Other28.6 %
Source: 10-K FY2025, revenue the company reports per product line (SEC XBRL). Shares are of the lines shown and add up to 100 %.
Customers
Fortinet sells mainly through distributors, resellers, service providers, and managed security service providers, with direct sales to some large enterprises and service providers. Its end customers include small, medium, and large enterprises as well as government organizations in industries such as financial services, healthcare, manufacturing, retail, technology, telecommunications, education, and OT environments.
Buy secure networking, SASE, and SecOps products to protect users, devices, and data across hybrid environments.
Purchase integrated security and networking solutions for public-sector security, visibility, and policy control.
Use Fortinet products to deliver managed security and hosted services to their own customers.
Buy through the two-tier model and sell Fortinet solutions onward to end customers.
Adopt Fortinet's integrated platform to secure operational technology and connected environments.
Strategy
Fortinet is pushing a platform strategy that links secure networking, SASE, cloud security, and SecOps through FortiOS and the Security Fabric. Management is also positioning the company for a firewall refresh cycle, using installed-base expansion and subscription attach to deepen customer relationships and increase recurring revenue.
A broader product footprint increases switching costs and raises subscription attach rates.
Subscriptions and support improve revenue visibility and deepen customer retention.
FortiOS and AI-related security features help the company compete against cloud-native and point-solution vendors.
Geography
Q1/2026Fortinet reports revenue across the Americas, EMEA, and APAC, with 2025 mix of 40%, 42%, and 18%, respectively. The company is headquartered in Sunnyvale, California, and its R&D is centered in the United States and Canada, while sales, support, and centers of excellence are distributed globally across more than 100 countries.
Share of the revenue the company reports by geography.
Risks
Fortinet faces execution and product-security risk because its business depends on trusted security software and appliances, and vulnerabilities can quickly damage customer confidence. It is also exposed to macro, geopolitical, tariff, and supply-chain volatility, while competition from cloud-native and bundled security vendors can pressure pricing and customer retention.
- Product security vulnerabilitiesImpact: HighLikelihood: High
A flaw in a core product can trigger reputational damage, customer churn, litigation, and regulatory scrutiny.
Exposure: FortiManager vulnerability and future product advisories
- Competitive pressure from cloud-based security vendorsImpact: HighLikelihood: Medium
Competitors offering cloud-delivered security may win share if customers prefer bundled or cloud-native solutions.
Exposure - Supply chain and manufacturing disruptionImpact: MediumLikelihood: Medium
Hardware sales depend on component availability, contract manufacturers, and logistics execution.
Exposure: Product revenue and inventory management
- Geopolitical and tariff exposureImpact: MediumLikelihood: Medium
War, trade policy, and tariffs can affect demand, costs, and the ability to manufacture and ship products.
Exposure
Accounting
Judgemental itemsHardware is generally point-in-time while subscriptions and support are recognized over time, affecting revenue timing and mix.
Impact: Deferred revenue and service mix drive reported growth and margin trends
Subscription and support billings create deferred revenue balances that can smooth future revenue recognition.
Impact: Important for forecasting recurring revenue and cash conversion
Hardware manufacturing exposes the company to component shortages, excess inventory, and write-down risk.
Impact: Can affect gross margin and operating cash flow
These non-cash items are meaningful in technology companies and affect operating expense trends.
Impact: Influences GAAP profitability and comparability
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Last updated: 24/09/2026