The routers will be used in certain U.S. markets including Atlanta, Boston, Chicago, Dallas, Los Angeles, New York and Seattle, Verizon's release says. The motivation is to add 100Gbit/s to the core of the FiOS network and possibly to edge networks as well.
Why this matters
Verizon already uses the CRS-1; in fact, at one point in 2009, Verizon was the largest CRS-1 customer. So, in that sense, this isn't a surprise. (See Cisco Lands Verizon.)
But Verizon also uses core routers from Juniper Networks Inc. (NYSE: JNPR). In fact, Juniper has been the router star in Verizon's 100Gbit/s trials and deployments so far, including a buildout in the United States. So, this announcement means Cisco at least gets to put its name on a Verizon 100Gbit/s announcement, too.
But is Cisco nudging into Juniper's piece of Verizon? It's not so far-fetched; a year ago, Juniper may have won a deal in the opposite direction. Juniper's core-router sales for the fourth quarter of 2010 were up 48 percent compared with the previous quarter, possibly driven by "a competitive win at Verizon (vis-à-vis Cisco) for a piece of the RBOC’s private IP backbone," analyst George Notter of Jefferies & Co. Inc. wrote at the time.
In any event, both vendors seem to have secured their spots in Verizon's 100Gbit/s plans.
Here are links to Verizon's recent 100Gbit/s work with Juniper, and to Cisco's CRS-3 news with a certain other carrier.
- Verizon Readies 100G Launch in US
- AT&T, Comcast Go Live With 100G
- Verizon Deploys 100G Ethernet in Europe
— Craig Matsumoto, West Coast Editor, Light Reading