SOURCE: TheInfoPro


April 16, 2009 13:16 ET

New Research From TheInfoPro Shows Current Economic Conditions Are Causing Increased Vendor Vulnerability Among Networking Technology Providers; Juniper and Cisco Are the Greatest Beneficiaries of This Swapping Trend

New Research From TheInfoPro Provides Networking IT Professionals' Intentions Regarding Vendor Selection and Spending Focus in 2009

NEW YORK, NY--(Marketwire - April 16, 2009) - TheInfoPro, an independent research company, has found that the current economic downturn has caused a rise in vendor swapping among enterprise organizations as they attempt to economize on networking expenditures. TheInfoPro's latest biannual networking study, based on in-depth interviews with 155 IT pros at Fortune 1000 (F1000) and Midsize Enterprises (MSE), outlines where networking departments within these organizations stand in terms of budgets, technology roadmaps, and technology provider choices and ratings. The research shows that Nortel is most frequently cited as the provider that enterprises are considering switching from, and that Cisco and Juniper are expected to be the greatest beneficiaries.

Key findings on Vendor Vulnerability

-- Cisco: Customer loyalty to Cisco is largely unchanged from the previous study, with only 12% of customers indicating they may switch. Juniper is the most frequently cited alternative provider for those who are wavering.

-- Juniper: Vulnerability to customer loss remains at 20% of respondents providing performance ratings information, with Cisco being the only cited vendor among alternative providers mentioned for Juniper.

-- Riverbed: Vulnerability to customer loss jumped from 9% to 18% of respondents giving performance ratings on Riverbed.

-- Nortel: Vulnerability to customer loss stands at 40% among respondents providing performance ratings on Nortel; Cisco is the most frequently cited alternative provider to Nortel as many organizations see the Cisco branch office voice solutions as viable and economical.

"It's not surprising that organizations are considering moving away from Nortel, in light of the company's recent financial issues," said Bill Trussell, TheInfoPro's Managing Director of Networking Research. "It is doubtful that Nortel will remain an independent entity for much longer -- and that will certainly impact the competitive landscape. For example, there's speculation that Microsoft may consider purchasing Nortel, in light of their partnership in the unified communications space. This would put Cisco in an interesting position, particularly as it branches out into the server space."

"Of those enterprises seeking an alternative provider to market leader Cisco, Juniper is the most frequently cited provider for those considering switching. We have also noted that Juniper is frequently mentioned by enterprise networking pros as a provider of exciting or innovative products," adds Trussell.

Other key findings from TheInfoPro's most recent networking study include:

--  Spending growth prospects for networking vendors are generally neutral
    to down, with the exception of F5 Networks, Avaya, Verizon, AT&T, Juniper,
    and Blue Coat.
--  The telecommunications service providers, along with Cisco and
    Juniper, continue to receive the largest wallet share among all the vendors
    in the study.
--  Brocade, Juniper, F5, HP, and Citrix all received ratings above the
    sector average among Promise and Fulfillment criteria.

About TheInfoPro's Networking Study

TIP's Networking Study is an in-depth look into the key trends occurring across all areas of the Networking landscape, within disciplines such as data networking and security software, data network infrastructure, and voice and video networking infrastructure. The study is completed bi-annually through one-on-one, hour-long interviews with key networking decision-makers, including Directors of Network Systems and Applications, Global Network Managers, and Infrastructure Team Managers, within Fortune 1000 and Midsize Enterprise organizations. The interview results are collected in comprehensive research reports that provide continuous business intelligence within key areas such as technology roadmaps, spending plans, and vendor performance ratings.

About TheInfoPro

TheInfoPro (TIP) is the only independent research network for the Information Technology (IT) industry. Through a peer network of over 1600 of the world's largest buyers and users of IT, including Citigroup, FedEx, McGraw-Hill, MasterCard, Pfizer, Vodafone, PepsiCo, JPMorgan Chase, and Harvard University, TIP delivers detailed budget, vendor performance and technology roadmap data without spin or bias. Known as the "voice of the customer," TIP helps IT professionals, technology providers, and institutional investors make sound decisions on technologies, vendor relationships and investments. Founded in 2002 by alumni of Gartner, Giga, EMC, and Bell Labs, TIP is headquartered in New York City, with offices in San Francisco, Chicago, and Boston. To learn more, visit or call 1-212-672-0010.

Contact Information

  • Contact:
    Bernadette Abel
    Phone: (212) 672-0010 ext 241
    Fax: (212) 688-6598
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