Ciena Networks expects strong demand from cloud, mobile computing
June 6, 2013
Grazed from Reuters. Author: Chandni Doulatramani.
Network equipment maker Ciena Corp said it expects strong growth in cloud computing and higher use of smartphones, and forecast stronger-than-expected revenue for the current quarter. Ciena shares jumped as much as 15.5 percent on the Nasdaq on Thursday morning. Shares of rival Finisar Corp were up 5 percent while those of Juniper Networks Inc were up about 1 percent.
Ciena, which makes switches to route internet traffic and broadband access products, said it expects to grow faster than the overall market helped by a "fundamental shift in network architecture." "Mobile data volumes are expected to continue to increase dramatically in the very near term. And machine-to-machine connections are forecast to reach 24 billion over the next several years," Chief Executive Gary Smith said on a conference call with analysts…
Machine-to-machine applications allow wireless and wired systems to connect with other devices. The company said it expected third-quarter revenue of $515 million to $545 million. Analysts on average expected $509.5 million, according to Thomson Reuters I/B/E/S…
Read more from the source @ http://www.reuters.com/article/2013/06/06/us-ciena-results-idUSBRE9550JW20130606