Cisco's New World IP VPN Solution Selected by NTT Communications for New IP-Based VPN Service

Strategic Insights -

Cisco Systems Inc. announced that its New World IP Virtual Private Network (VPN) solution has been selected by NTT Communications Corporation for deployment on its new Internet Protocol (IP)-based VPN service. The solution will utilize Multi Protocol Label Switching (MPLS) to deliver quality of service (QoS), security, and scalability for NTT's IP VPN service. The partnership is set to launch in the first quarter of 2000 and is expected to reduce the enterprise network's cost by less than two thirds of its existing level.

Key Takeaways:

  • Cisco's New World IP VPN solution has been selected by NTT Communications Corporation for its new IP-based VPN service, utilizing MPLS to deliver QoS, security, and scalability.
  • The solution features the Cisco Gigabit Switch Router (GSR) 12000 series for the optical IP networking core backbone and Cisco 7500 series routers for edge routing.
  • The partnership aims to establish a new business class IP service, reducing costs and enabling more diversified network applications.
  • Hidetoshi Saigo, Senior Manager, Corporate Users Business Division, NTT Communications, stated that the MPLS-based IP VPN feature enables users to obtain free address area use and provides high business level security.
  • Susan Scheer, Director of Marketing for Cisco System's Services and Solutions Group, noted that Cisco's MPLS-based IP VPN solution enhances service provider performance, increasing profitability and customer loyalty.
  • The solution's scalability was a primary reason for NTT's selection, with various communication interfaces for different capacities of OC-12, OC-48, and OC-192.
  • Cisco's MPLS architecture scales to support tens of thousands of VPNs, allowing service providers to invest with confidence in growing customer demands.

Statistics:

  • 6,600 employees: NTT Communication Corp.', a newly established company, has approximately 6,600 employees.
  • $9.2 billion: NTT Communication Corp.'s annual revenues will be approximately $9.2 billion.
  • 1999: NTT Communication Corp. was newly established in July 1999.
  • 2000: The partnership's launch is scheduled for the first quarter of 2000.
  • 64 Kbps: The solution features various communication interfaces for different capacities, including low-level 64 Kbps.
  • Gigabit: The solution enables traffic speed rates up to Gigabit speeds.

Sources:

  • "Cisco Systems Inc. announces New World IP VPN solution selected by NTT Communications for new IP-based VPN service," Business Wire, Sept. 1, 1999.
  • About NTT Communications Corp., accessed at http://www.ntt-c.co.jp.
  • About Cisco Systems, accessed at http://www.cisco.com.