Digital Glossary · Security

What is a firewall?

In brief

A firewall is a security system that monitors traffic between networks or devices according to defined rules and blocks unwanted connections. It protects the company network from access via the internet and separates internal areas from one another—as hardware, software or a cloud service.

Category SecurityReading time approx. 3 minLast updated October 16, 2026
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Firewall: definition and purpose

A firewall checks every connection entering or leaving a network and decides, based on rules, whether it is allowed or dropped. It usually sits between the company network and the internet, but it can also separate internal areas from one another, such as office, production and guest Wi-Fi.

A distinction is made between network firewalls, which control the traffic of an entire site as a dedicated device or virtual appliance, and host firewalls, which run directly on a computer or server, such as the firewall built into Windows. The two complement each other: one protects the edge of the network, the other the individual device.

How a firewall works

The simplest form, the packet filter, compares the sender, destination, port and protocol of each data packet against a rule list. Stateful firewalls also remember which connections were initiated from the inside and only let the matching replies back in. The basic principle is: anything not explicitly allowed is blocked.

Next-generation firewalls (NGFWs) look deeper into the data stream. They identify applications regardless of port, inspect encrypted traffic via TLS inspection if desired, and often include an intrusion prevention system (IPS), web filtering and malware protection. For websites, specialized web application firewalls are available in addition.

Real-world example: a metalworking shop with guest Wi-Fi

A metalworking company with 25 employees runs office PCs, a CNC machine with a network connection, network printers and a Wi-Fi for customers and suppliers—all on the same network behind the provider’s router. Anyone connecting to the guest Wi-Fi could in theory also reach the file server and the machine control.

A firewall with separate network segments solves this: guests may only go to the internet, the machine talks only to the programming computer, and the office PCs reach the file server but not the machine controller. Remote access runs exclusively through a VPN. The rules are documented so that a substitute can understand them as well.

Limits, common mistakes and imple­menta­tion

A firewall is the foundation, but not all-round protection: phishing emails, stolen passwords or infected USB sticks bypass it, and encrypted traffic can only be inspected with additional effort. What matters are clean rules, current firmware and the interplay with endpoint protection, updates and backups.

Nano Concepts sets up firewalls as part of IT rollouts and ongoing support, documents rule sets, segments networks, installs firmware updates and monitors the systems via remote maintenance. If you wish, we also review existing configurations for legacy rules and unnecessary exceptions before they turn into a security risk.

  • Overly generous rules such as “everything from everywhere allowed” that are never cleaned up
  • Management interface reachable from the internet or protected by a default password
  • Firmware not updated for years
  • No logging, or nobody who reviews the logs
  • Flat network with no separation of guests, office and machines

Frequently asked questions about Firewall

Yes. Even small businesses are reachable from the internet and are attacked automatically. The minimum is a properly configured firewall or an equivalent router at the network boundary, plus the firewall enabled on all devices. As requirements grow, a next-generation firewall becomes worthwhile.

A hardware firewall is a separate device at the network boundary and protects all devices behind it together. A software firewall runs on an individual computer or server and controls its connections. In practice, both are combined because they cover different attack paths.

No, they have different jobs. The firewall controls which connections are established at all; antivirus software or an EDR solution detects malware on the device. Only together do they form a reliable baseline protection for the network and its endpoints.

A next-generation firewall (NGFW) extends the classic packet filter with application detection, intrusion prevention, web filtering and often the inspection of encrypted traffic. It decides not only by port and address but by the application actually used and its behavior.

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