According to "Kate DuBose Tomassi", Banc of America Securities analyst Tim Long called the IP edge
routing market an “emerging battleground” with a “robust opportunity
for the winners,” in a report Wednesday.
“While the incumbent
vendors are sure to play a meaningful role in this market, we believe
the IP edge paradigm is far from established, creating inroads for less
established IP players,” said the research analyst.
Companies like Alcatel, Redback Networks and Tellabs could break the "stranglehold" companies like Cisco System and Juniper Networks have on the IP edge market, according to the analyst.
The analyst said that two architectural approaches have emerged
in the edge market. One is the “one box solution” distributed by
Juniper Networks and Redback. The other is Alcatel’s and Cisco’s
“two-box solution."
“With both solutions having won major
deployments, it remains unclear as to which architecture the market
will ultimately favor,” the analyst said.
“We believe Alcatel and Redback are best positioned to win share
in this market given their small size, installed customer base, and
strong product sets, while Cisco and Juniper are likely to cede modest
share, but maintain their market leading positions."
The analyst’s top picks in the data networking and wireline equipment sector are Nokia, rated “buy” with a $21 price target, and Qualcomm, rated “buy” with a $54 price target. His least favorites are Ciena and Lucent Technologies, both rated “neutral” with price targets of $2.50.
Source: http://www.forbes.com/
