Juniper Touts “Revolutionary” Net Processor Breakthrough

Juniper gave a few tantalizing details of advanced technology in its development
pipeline at an analysts day Tuesday.

The company’s founder and chief technology officer, Pradeep Sindhu, announced a new
silicon initiative from Juniper that he claimed was a quantum jump over current
solutions. Sindhu called it a network instruction set processor and it is being designed
to enable highly optimized networking data flows.

The new processor set includes 4 chips built in 65 nanometer technology encompassing
1.2 billion transistors. Sindu claimed that the new silicon would provide up to 604 Gbps
of input/output (I/O)

“It is going to revolutionize networking engines built in silicon; we’re confident of
that.” Sindhu said.

Juniper’s rival Cisco Systems in 2008 rolled out its own new silicon Quantum Flow microprocessor
which contains up to 40 cores and can run 48 billion instructions per second.

Juniper also took its analyst day as an opportunity to pre-announce its Stratus cloud
computing fabric. The new fabric is supposed to be able to provide increased scalability
for converged physical and virtual data center environments.

“Stratus will augment Juniper’s portfolio and will offer more flexibility and choices
to our customers,” said Juniper executive vice president David Yen.

But Yen was unable to provide much detail on what Stratus will
actually entail or when it will be available.

“We are not prepared today for competitive reasons to disclose details on the project
regarding specific milestones, product configuration, pricing or availability,” Yen

Yen noted that the reason why Juniper was disclosing that Stratus is under development
is to demonstrate to customers and the market that Juniper is a long term strategic

Juniper’s Switch Pays Off

Juniper also announced a new addition to its EX switch portfolio with the EX25000 10
Gigabit Ethernet (GbE) switch. Juniper entered the switch market in 2008 after
not participating in the market for the previous 12 years of its existence.

The move into switches is something that company CEO Kevin Johnson said is paying off
for Juniper. He noted that the introduction of the EX has enabled Juniper to sell more

Johnson said that over 50 percent of the customers ordering Juniper switches were also
buying other Juniper equipment with it. Additionally Johnson said that between 30 and 40
percent of customers buying EX switching gear were new customers for Juniper.

“The portfolio and the depth of solutions that we have is coming to life,” Johnson
said. “It’s transitioning from more of a product focus to a solution focus.”

Next page: Setting an example

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Setting an example

In the current down economy spending by carriers and enterprises is slowing. As such,
Johnson announced that Juniper would be cutting its own spending, starting with his own

“I recommended that our executives VP and above take a 5 percent reduction in base
salary and I’m taking a 10 percent reduction in my base salary,” Johnson said. I think
that’s reflective of this period where as a company we are going through shared
sacrifice, we’re asking every employee in our company to do more with less. “

Johnson is confident that his company has what it takes to win more share in the
networking market, even amid the current economic slowdown. He said the company is
focusing whatever dollars it can realign into further research and development efforts to
expand its high performance networking portfolio.

For Johnson it’s all about the math behind networking demand; an equation that he
first commented on during Juniper’s 2008
year end financial results call

A $50 billion market

The networking business that Juniper is going after is as big as $50 billion a year
across both enterprise and service provider networking segments, according to

“We are a pure play in high performance networking,” Johnson said. “We’re not going to
get distracted and get off into other areas. We do high performance networking better
than anyone on the planet, we’re going to focus on what we do well and we’re going to do
it even better.”

Demand on carrier networks continues to grow at a rate that Johnson expects will be
doubling ever two years even in the current economy. The carriers need to continue to
grow their networks to meet demand and need to increasingly find more cost efficient ways
of doing so, which is precisely what Johnson claims Juniper is doing.

Johnson has only been on the job at Juniper since September 2008 when he
succeeded Scott Kriens
who has remained as the Chairman of Juniper.

Article courtesy of

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