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Extreme Networks CEO: Huawei Security Concerns Play Out in Data Center Networking, Too

January 31, 2019 / Jessica Lyons Hardcastle

Security concerns about Huawei’s products could boost Extreme Networks’ data center business, according to Extreme President and CEO Ed Meyercord. “Our story and our product portfolio are resonating well with European customers,” Meyercord said on the company’s fiscal second quarter of 2019 earnings call. “European governments are also placing greater scrutiny on the security concerns around Huawei products, which is creating an opportunity for us in the marketplace,” he added, according to a Seeking Alpha transcript. Most of the news about Huawei’s woes has been 5G-related, pointing to a financial boost for U.S. and Western European telecom equipment providers like Cisco, Ericsson, and Nokia. But these same security concerns and potential product bans also create a market opportunity for data center networking vendors.