" Once Juniper has a better grip on SDNs and its impact on data centers, and its switching and security products, it might be able to better engage with enterprises. Enterprise results in Q3 were mixed: The business saw "good" quarter-over-quarter growth in Europe and Asia offset by softness in the Americas. Enterprise revenue was up 5% sequentially and down 2% year-over-year. Switching revenue was up solidly both sequentially and year-over-year, and Juniper claims its EX LAN switches are taking share from competitors. QFabric also saw some new customer wins in Germany and China. Johnson reports "good progress" in rebuilding momentum in security. Juniper's security portfolio grew in low double digit percentages quarter-on-quarter but was down 7% year-over-year. "We saw gains across most of our product families, lending to our confidence that our security business is beginning to stabilize," Johnson said during the Q3 earnings call. There's still a lot of work to be done, however, says Bob Muglia, executive vice president of Juniper's Software Systems Division: "We are in a position of really driving forward and re-engaging in the Enterprise space. We've had some areas there where we've not been as strong as we like to be, particularly around things like manageability. And we have a very strong program to bring out a new product set to dramatically improve our manageability in the Security Design product. We have a very significant release of that coming out later this quarter as well as incremental updates of that in the first half of next year, where we expect to be very well positioned.
"The other thing I'll say overall is about our engagement with Enterprise is that we are telling and talking to them about an end-to-end integrated security strategy which they find very, very important, and that is enabling us to have a different level of engagement with these Enterprise customers. That does not translate into revenue immediately, but it does provide a good long-term potential."
Jim Duffy has been covering technology for over 25 years, 21 at Network World. He also writes The Cisco Connection blog and can be reached on Twitter @Jim_Duffy.
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