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Juniper Clinches Contract to Secure Telefonica's 5G Network

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Reinforcing its long-standing partnership, Juniper Networks, Inc. (JNPR - Free Report) recently teamed up with the Spanish counterpart of Telefonica, S.A. (TEF - Free Report) to ensure a secure mobile infrastructure for its growing 5G network. Markedly, the telco will capitalize on Juniper’s avant-garde security solutions to combat the rising incidences of network threats while fostering dynamic connectivity. The contract, which is considered to be a significant win, underscores Juniper’s efforts in establishing a streamlined infrastructure supported by best-in-class network performance, especially at a time when majority of the network operators are migrating toward automated connectivity solutions.

As part of the collaboration, Telefonica Spain will leverage Juniper’s Security Gateway (SecGW) platform to create a future-proof network ecosystem with a secured 5G mobile backhaul network. The SecGW platform consists of industry-leading solutions, which are primarily known for implementing high-performance security with an integrated threat intelligence system — one of them being SRX series firewalls. In particular, Telefonica will deploy Juniper’s SRX5800 Services Gateway, which is a next-gen security platform. The solution mainly caters to large organizations and public sector networks with improved performance and scalability. It includes both virtual and containerized firewalls, which enable the solution to seamlessly penetrate into the telco cloud infrastructure.

Apart from SRX5800, Juniper will simplify Telefonica’s network operations with various other solutions. Some of them are third-generation Services Processing Card, which is used to address the high-bandwidth requirements for large scale 5G deployments, and fourth-generation Input Output Cards that offers multiple connectivity options ranging from 10Gbps Ethernet to 100Gbps Ethernet. On the back of these revolutionary features, Telefonica Spain will be able to streamline operations with Juniper’s AutoVPN feature, deploy carrier-class platform for a protected backhaul network, support services like Unified Threat Management, Application Security and minimize capital and operational overheads.

It is worth mentioning that Juniper and Telefonica have been working for a while now to encourage flexible 5G deployments. The companies have apparently collaborated for a project, dubbed Fusion Network. This three-year program has been specifically designed to merge legacy networks into a single platform that will help in simplifying operations with network automation. With a unique combination of Juniper’s technical assistance and Telefonica’s on-premises proactive support, the project aims to meet the growing demand for IoT, 5G and cloud services with an enhanced end-user experience. Notably, the latest deployment drive will not only boost Juniper’s low-latency security platforms but also strengthen Telefonica’s technological transformation strategy, thereby creating a win-win situation for both the companies.

The Sunnyvale, CA-based networking vendor anticipates its business to grow on the back of product portfolio strength led by coveted solution offerings for enterprise customers. It aims to leverage the growing demand for data center virtualization, cloud computing and mobile traffic packet/optical convergence. With increasing usage of smartphones and tablets, mobile data traffic has surged, leading to higher demand for advanced networking architecture. Impressively, Juniper has made significant changes to its go-to-market structure to better align sales strategies with each of its core customer verticals. It is also planning to introduce several products over the next few quarters, which are expected to augment its competitive position across cloud and enterprise markets.

Despite such diligent execution of operational activities, shares of the Zacks Rank #3 (Hold) firm have lost 4.4% against the industry’s growth of 26.1% in the past year. It has a long-term earnings growth expectation of 8%.



Some of the prominent players in the broader industry are Viasat, Inc. (VSAT - Free Report) and Harmonic Inc. (HLIT - Free Report) , each sporting a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

Viasat delivered a trailing four-quarter positive earnings surprise of 361.3%, on average.

Harmonic delivered a trailing four-quarter positive earnings surprise of 4.4%, on average.

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