Detwiler Fenton Cautious On Juniper Networks After Vulnerability Reports

Following reports that Juniper Networks, Inc. JNPR found “unauthorized code on products running ScreenOS the underlying code which runs on some of its Firewalls,” analysts at Detwiler Fenton decided to check in with field contacts for some comment on the issue.

In a report issued Monday, analyst Paul Rodriguez explained that the unauthorized code does not only have an effect on Juniper's Firewall, but could also decrypt VPN traffic. On top of this news, there were reports suggesting that the U.S. National Security Agency may have acquired backdoor access to the Juniper Firewalls.

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These vulnerabilities go a few years back, and customers have been instructed to patch devices immediately.

Over the past few years, Detwiler Fenton has repeatedly reported on Juniper's market share decline within the IT security space. The company’s security solutions are still being used and acquired in industry verticals like service providers and higher education, and “the company has also maintained a presence within US Federal Government agencies and financial services.”

However, it is yet to be seen if the latest issue exacerbates Juniper's trouble in its security business. What the firm can expect are Firewall competitors - like Palo Alto Networks Inc PANW or Fortinet Inc FTNT - and “their channel partners to leverage this information for their own advantage.”

Shares of Juniper were down 0.76 percent on Monday afternoon.

Disclosure: Javier Hasse holds no positions in any of the securities mentioned above.