Hi Mike, a good point you raise, I see it's now 2 quarters of lowered market share for CSCO.
JNPR should have it's next generation router out in the next few months, and that should enable some
pickup in marketshare, unless CSCO has their next generation out then as well.
some of that link
Cisco grabbed 65 percent of the $567
million market during the quarter, up from 60 percent in the second
quarter, according to the Dell'Oro Group. Juniper had 32 percent, down
from about 35 percent in the previous quarter, according to the research.
Telecom carriers use high-end routers to send traffic over long distances
at high speeds.
The results mark Juniper's second decline in two quarters. Juniper
captured its largest portion of the market with about 38 percent in the first
quarter of 2001, but it has fought a tough battle as Cisco introduced new
products.
The router market has also been beaten down by cuts in overall spending
in the telecommunications industry. Third-quarter sales rose about 7
percent from an adjusted $530 million in the second quarter, but sales
dropped about 68 percent from the high of $835 million during last year's
fourth quarter.
Other markets continued to slide. The once-hot DWDM (dense
wavelength division multiplexing) metropolitan sector fell about 25 percent
to $151.8 million from $201.5 million in the second quarter. DWDM
technology allows more data to be sent over a single optical fiber, and
industry analysts placed much hope on this market because of the relative
lack of telecommunications capacity in urban networks.
"The market for the next few quarters will be somewhat stagnant," said
principle analyst Shin Umeda of the Dell'Oro Group. "I don't think we'll
see an immediate return to growth."
Umeda said that growth in this segment will be driven by Baby Bell
companies like Verizon, SBC, and BellSouth. He believes those
companies plan to take their time installing the gear, will only test the
waters in 2002 and will not start buying significant amounts of equipment
until 2003.<?i> |
