If Ericsson were to purchase Ciena or Juniper, the argument is that it could bolster its lagging wireline portfolio, but one Citigroup analyst says that neither deal is likely to happen.
With Nokia's recent move to acquire Alcatel-Lucent in full play, Ericsson is now looking at its own purchase options, which, reports say, potentially could include Juniper or Ciena.
Global optical network hardware spending rose 5 percent in the first quarter of 2015 as EMEA began to show signs of recovery and North American web-based companies continued to enhance their optical networks, according to IHS Infonetics Research.
Electric Lightwave, Integra's wholesale and large business services arm, is serving up a new 100G managed optical Spectrum service that it says will serve as an alternative to a wholly-owned dark fiber solution.
Ciena is moving to acquire Cyan for $400 million in cash and stock, a deal that will enhance the vendor's ability to respond to emerging demands from carriers to provide virtualized on-demand services for customers by using a mixture of software defined networking and network functions virtualization.
Speculation over Ericsson's future strategy has intensified following Nokia's announcement this week that it plans to buy Alcatel-Lucent, with some saying the Sweden-based vendor will be forced to expand its fixed-line business.
Nokia has set off a new wave of consolidation in the telecom equipment market, reaching a deal to acquire Alcatel-Lucent for $16.6 billion. That move is now fueling speculation that Ericsson will make a similar move to round out its portfolio with more wireline capabilities by making a run for either Ciena, Infinera or Juniper.
Verizon expects its recent move to begin upgrades on its long-haul optical network with Alcatel-Lucent's photonic equipment will set the stage for providing an automated on-demand environment from which it and its customers can provision wavelengths and bandwidth between key routes on the network.
Verizon is moving ahead with plans to incorporate 100G optical technology into its U.S. metro network, naming Ciena and Cisco as its packet optical network system (P-OTS) suppliers.
Ciena reported that its loss widened to $18.8 million, or 17 cents a share, up from $15.9 million, or 15 cents a share, in the same period a year ago due to the timing of government customers' orders.