what? no Charlottes Web routers???<G>
Reuters
Cisco to Provide Routers for Verizon
Monday October 13, 4:08 pm ET
CHICAGO (Reuters) - Cisco Systems Inc. (NasdaqNM:CSCO - News), the world's largest maker of equipment that directs Internet traffic, said on Monday it will supply high-end routers to Verizon Communications (NYSE:VZ - News).
Cisco, based in San Jose, California, did not disclose details of the contract, but Prudential analyst Inder Singh said in a research note that it and a contract Cisco rival Juniper Networks (NasdaqNM:JNPR - News) announced in June both likely represent "significant revenue opportunities."
Cisco said its 12000 Series routers will be used in the core and edge of Verizon's national Internet Protocol (IP) VPN network. The gear will be used to supply services for Verizon's corporate customers, Cisco said.
Virtual private networks, or VPNs, use secure connections over the public Internet to provide remote offices or individual users with access to their organization's network. VPNs are seen as far cheaper than leased-line communications traditionally supplied by phone companies to businesses.
A router is a machine that directs information and data on a network. Core routers are used on high-speed connections between cities, while edge routers direct data between local area networks.
The contract is a continuation of Cisco's efforts to win more business with telecom customers, which account for about 20 percent of the company's revenue. Despite the weak spending in the sector, Cisco executives believe that is where it can pick up a lot of market share.
In the past year, Cisco has signed contracts to supply gear to BellSouth Corp. (NYSE:BLS - News), SBC Communications Inc. (NYSE:SBC - News), AT&T Corp. (NYSE:T - News) and several other carriers.
Cisco said deployments of its routers will begin in the Northeast and mid-Atlantic regions and roll out nationwide.
Singh said he believes additional routing contracts could be forthcoming for Cisco and Juniper |
