The upgrade helps to quadruple the speed of the backbone network to 40 gigabits per second.Īnalysts’ forecasts on Internet traffic growth vary, but Cisco expects Internet protocol (IP), or Web-based, traffic to nearly double every two years through 2011.Ĭisco says Web-based video, including webcam traffic and advanced video services like U-verse, is expected to lead the traffic growth, supporting demand for its network equipment. “As the demand for Internet and IP-based applications continues to explode, IP traffic on the AT&T network has doubled throughout the past two years, and we fully expect this substantial growth to continue in the future,” said John Stankey, AT&T’s group president of telecoms operations.ĪT&T said it chose the CRS-1 after comparing it with similar equipment from other vendors. “Overall, these announcements support our belief that Cisco’s diversified strength, led by carrier, commercial, emerging markets and advanced technology, could offset potentially slower spending by U.S. Lehman Brothers analyst Inder Singh said news of the order, as well as an announcement that Cisco now has 100 customers for its high-end video conference system called TelePresence, showed the company was benefiting from a strategy of broadening revenue sources. Investors have also pointed to competition from smaller rival Juniper Networks Inc, which recently launched a new core router called the T1600 to rival the CRS-1. companies after Cisco reported a fall in orders from banks and automakers last quarter. The announcement comes amid concern about weaker spending by U.S. cities with the upgraded network in the coming months. The companies did not reveal the price or size of the order for Cisco’s CRS-1 core routers, which direct massive amounts of Internet traffic for service providers, but AT&T said on Monday it plans to connect Internet hubs in 25 major U.S. phone company AT&T Inc said on Monday it was buying core routers from Cisco Systems Inc to upgrade its Internet backbone network, a major win for Cisco amid competition from rival network equipment maker Juniper Networks Inc. The AT&T logo is shown in this photo handout.

Att cisco receiver upgrade