Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : Juniper Networks - JNPR -- Ignore unavailable to you. Want to Upgrade?

To: MStonek who wrote (2904)	12/21/2001 3:07:17 PM
From: Sully-	Respond to of 3350

Verizon delays awarding router contract - SG Cowen CHICAGO, Dec 21 (Reuters) - Verizon Communications (NYSE:VZ - news), the largest U.S. local telephone company, has delayed a core router contract that it might split between rival networking equipment firms Cisco Systems Inc. (NasdaqNM:CSCO - news) and Juniper Networks Inc. (NasdaqNM:JNPR - news), investment firm SG Cowen said on Friday. Speculation has centered on Juniper getting a two- to three-year contract worth about $200 million to supply Verizon with core routers, but that decision was delayed possibly to the second half of 2002 after Cisco came in with a last-minute competing bid, SG Cowen said in a research report. It cited discussions with a Verizon manager as its source. A router is a machine that connects computer networks for the transmission of data and information over the Internet. Verizon, Juniper and Cisco declined to comment. Cisco's bid will likely result in Verizon splitting the contract between the two California-based equipment suppliers. Cisco and Juniper are the two largest makers of routers that direct Internet traffic. SG Cowen said it believes Cisco not only was competing on price, but also offered bundling of services and products, and the prospect of access by Verizon to Cisco's strong base of corporate customers. Juniper was up $1.20, or 6.3 percent, at $20.05, while Cisco was up 26 cents, or 1.4 percent, at $18.55 in late trading on Nasdaq. SG Cowen also said an edge router contract that is possibly larger than the core router deal is expected to close in one to two months. The best positioned companies here are Riverstone Networks Inc. (NasdaqNM:RSTN - news), Cisco and Unisphere Networks Inc. Verizon is also closing in on a SONET, or synchronous optical network, deal, with Cisco, Lucent Technologies Inc. (NYSE:LU - news) and Nortel Networks Corp. (NYSE:NT - news)(Toronto:NT.TO - news) in the running, said SG Cowen, which estimated a decision in the spring. Verizon has deferred spending on dense wavelength division multiplexing (DWDM) -- which allows the increase of fiber-optic capacity through multiple wavelengths of light -- for the metro markets, but SG Cowen expects Verizon will proceed with spending in 2002, selecting only one vendor from Lucent and Ciena Corp. (NasdaqNM:CIEN - news) SG Cowen said Verizon is also in the early stages of studying Voice over Internet Protocol (IP) technology, which allows the transmission of voice conversations over a data network. SG Cowen said trials should not be expected until 2002, with deployment in 2003. biz.yahoo.com