Telecom vendor woes to last longer than previously feared

Companies that sell networking gear to telecommunications-service providers face a tough couple of quarters. Numerous vendors have warned about difficulties and delays in equipment orders and a reluctance to spend on the part of their carrier customers. While some are hopeful for a rebound in the first half of next year, others are starting to believe the downturn will last several quarters, requiring companies to further lower estimates. Telecom equipment, once thought to be somewhat insulated from the broader economic environment because of the continued demands in communications, is showing cracks in the demand picture that portend a slowdown that could last well into next year. article

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