UPDATE 1-Juniper upbeat on service provider demand, shares up

Wed Sep 9, 2009 11:42am EDT
 
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* Juniper upbeat on service provider segment

* Shares rise 6 pct

NEW YORK, Sept 9 (Reuters) - U.S. network equipment maker Juniper Networks Inc JNPR.O said it was happy with demand from its service provider customers and forecast an "uptick at some point," helping its shares rise 6 percent.

"We've been very pleased with level of activity in the service provider segment," Juniper Chief Executive Kevin Johnson said at a Citi technology conference on Wednesday, also reiterating recent comments that visibility has improved.

While routers and other network equipment sold by Juniper and its bigger rival Cisco Systems Inc (CSCO.O) are seen as crucial to support growing Internet traffic, their sales have suffered over the past year as companies, including phone and cable service providers, cut back on capital spending.

Juniper shares rose $1.46 to $25.75. Shares in bigger rival Cisco Systems Inc (CSCO.O) rose 44 cents, or 2 percent, to $22.36, and both outpaced the Nasdaq composite's 0.8 percent gain. (Reporting by Ritsuko Ando, editing by Dave Zimmerman)

 

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