Wednesday, March 29, 2006

Is Juniper Eyeing H3C?

Craig Matsumoto writes on Light Reading:

An acquisition rumor is dogging Juniper Networks Inc. yet again, this time claiming the company wants to buy a joint venture between Huawei Technologies Co. Ltd. and 3Com Corp.

Asian news outfit Sinocast.com reported that talks are ongoing, with a preliminary purchase price of $1.7 billion.

H3C, as 3Com has taken to calling the joint venture, would boost Juniper's standing in the enterprise LAN. "This would likely allow them to go down market, and potentially not hurt the major Juniper brand depending on how they do it," writes analyst Mark Seery of Ovum-RHK Inc. , in an email to Light Reading. "If you are going to be in the enterprise market at all, no point being half pregnant. Might as well go all the way."

More here.

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