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Juniper's T4000 Finds More Takers

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Networking giant Juniper Networks Inc. (JNPR - Free Report) recently announced that it has provided telecom company Belgacom Group with its advanced core routing solutions (T4000). The Belgacom Group is the largest telecommunications company in Belgium, which offers fixed line communication, mobile communications and ICT (Information and Communication Technology) services. Financial terms of the deal were kept confidential.

With Juniper’s T4000 routers, Belgacom aims at delivering ultra-fast Internet access and bandwidth growth, keeping pace with the growing usage of Internet applications. The advanced core routing solution will enable Belgacom to develop its core networking infrastructure to meet the increasing demand for next generation cloud applications and online videos on smartphones and tablets.

Last month, the China Education and Research Network (‘CERNET’) deployed Juniper’s T4000 routing solution for an undisclosed sum.

The Chinese government and the Chinese Ministry of Education jointly set up a nationwide education and research computer network, the CERNET. The network is constructed and operated by Tsinghua and other leading Chinese universities. CERNET interconnects a number of Chinese Universities, educational institutes and research centers and is dedicated to support the country’s higher education institutions.

With Juniper’s T4000 routers, CERNET is now delivering ultra-fast broadband services to educational institutions and is helping the government to achieve the objectives of its education Project 211, initiated in 1995. The project was intended to improve the research standards of leading Chinese universities. As many as 20,000,000 students in 2000 universities across China are benefiting from the broadband services.

Juniper’s T4000 core routers were introduced as a next iteration of its flagship T-series routers in 2010. The launch of T4000 was made to compete with Cisco Systems Inc.’s (CSCO - Free Report) Carrier Routing System 3 (CRS 3). The growing demand for T4000 is evident from the back-to-back deal wins. We also believe that the success of T4000 with CERNET and Belgacom will likely attract similar deals going forward, given the growing demand for fast Internet services.

We remain encouraged by the rapid deployment of Juniper’s networking products and services by organizations and government verticals to meet growing business demand. We also appreciate Juniper’s continuous efforts to make strategic acquisitions, which enrich its product portfolio.

But stiff competition from F5 Networks Inc. (FFIV - Free Report) , Cisco and Alcatel-Lucent , strained spending from the telecom companies and macro uncertainty keep us concerned.

Currently, Juniper has a Zacks Rank #4 (Sell).

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