Huawei Wants More Video Router Business (CSCO, JNPR, COMS)

Investing

Published: June 16, 2009 1:32 pm

Last Updated: March 23, 2020 1:32 pm

Huawei Technologies Co., Ltd. is one of the inaccessible companies to invest in for Americans. Yet it runs head to head against Cisco Systems Inc. (NASDAQ: CSCO) and other router and backbone giants for business in the global networking push. Today, the company announced the launch of its new NetEngine V6 400G-platform universal service router at CommunicAsia in Singapore. This also competes with Juniper Networks, Inc. (NASDAQ: JNPR) and the company was tied with 3Com Corporation (NASDAQ: COMS) in China for some time via H3C.

Will this kill Cisco? No of course not. But it is one more move toward carrier-grade solutions with faster speed and more efficiency over the old legacy routers that are still powering much of the web’s infrastructure.
Huawei’s router has a capacity of 400 gigabits per slot and is fully compatible with all existing NE40E router linecards. The company noted that it is substantially faster, greener and more intelligent than similar platforms in the industry and it is designed to handle the increasing high-definition video streams.

The company also said that it has the lowest power consumption per GE/10GE, about 10% less than similar products in the industry. It also claims 960 GE ports per chassis as well as full backward compatibility with all line-cards.

The NE40E USR is also said to be capable of integrating the functions of BRAS, GGSN, DPI, SBC, video real-time monitoring and stream cache technologies to offer more flexibility during network deployment. It also comes with an integrated Value-added Service Engine (iVSE) unique in-line Real-time Stream Monitoring (iRSM) and comprehensive clock sync solutions.

To show how this company has grown, the company gave a figure from Infonetics showing that Q1-09 report showed Huawei with a market share of 14.3% with strong growth in the global router market. The company also claims to serve 36 of the world’s top 50 operators, along with over one billion users worldwide.

Jon C. Ogg
June 16, 2009

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