Juniper Networks and The Yankee Group Cost of Ownership Study Highlights Need for Intelligent IP Infrastructure

Juniper Networks and The Yankee Group Cost of Ownership Study Highlights Need for Intelligent IP Infrastructure

Leading U.S. and European Carriers Identify Key Ownership Needs Including Performance, Longevity, and Technology Leadership

Sunnyvale, CA - October 9, 2001 — Juniper Networks, Inc. (Nasdaq: JNPR), a leading provider of next-generation Internet Protocol (IP) infrastructure systems, today announced that it has completed a new study with The Yankee Group, an industry analyst firm, detailing top IP access and core routing ownership needs. The study, which includes first-hand insight from U.S. and international service providers and carriers, details top priorities for Internet infrastructure beyond initial capital costs.

"The Yankee Group spent several months personally interviewing service providers and carriers throughout the world to highlight the increasing costs of managing and provisioning Internet infrastructures," said Nancee Ruzicka, program manager at The Yankee Group. "These interviews identified several trends including carriers' and service providers' recognition that operational expenses are rapidly increasing and can be slowed through Internet infrastructure supplier attention and highly manageable hardware and software."

The Cost of Ownership executive summary includes first-hand feedback on topics, including the following:

• Capital expense
• IP infrastructure hardware and software reliability, including equipment lifetime and how hardware and software can simplify operations
• Scalability and density, including per port utilization
• Service differentiation, including capacity planning, traffic engineering, ease of adding customers and enabling multiple IP services
• Vendor qualifications, including technology leadership and implementation, as well as support

The Yankee Group found that the factors included in most carriers' assessments of scalability—density, port utilization, and facility utilization—are as important as reliability and equipment cost in the final assessment of an IP core or IP access router platform. Many of these factors contribute to ongoing operational expenses by requiring additional staff, high electric bills, and additional leased facilities.

"We have never seen operational expenses more prominent in carrier decision making than it is now. The ability to quickly add and manage multiple services has been relatively insignificant in the past, but is quickly becoming more important, particularly for the edge routers where the customer ports reside," added Ruzicka.

About Juniper Networks, Inc.

Juniper Networks, Inc. is a leading provider of purpose-built systems that meet the scalability, performance, density, and compatibility requirements of rapidly evolving, optically-enabled IP networks. The company's systems provide new IP infrastructure solutions for the world's leading service providers. Juniper Networks service, manufacturing teams, and IP engineers work closely with customers to build and support customer networks. The company is headquartered in Sunnyvale, California. For more information, please visit the Web site at http://www.juniper.net.

Juniper Networks is registered in the U.S. Patent and Trademark Office and in other countries as a trademark of Juniper Networks, Inc. All other trademarks, service marks, registered trademarks, or registered service marks are the property of their respective owners.