UPDATE 1-Juniper, IBM in talks to boost sales tie-up -sources

Published: 30 May 2009 18:40:00 PST

* Juniper, IBM in talks for OEM deal

* Sources say agreement not imminent, may be months away

NEW YORK, May 28 - Network equipment maker Juniper Networks Inc and IBM are in talks to step up their sales partnership, but no agreement is imminent, sources familiar with the situation said on Thursday.

The companies are considering entering an OEM (original equipment manufacturer) deal, in which International Business Machines Corp would resell Juniper equipment under its own family of products, said the sources, who requested anonymity because the talks are still ongoing.

IBM already helps sell Juniper products through a sales partnership, but an OEM deal could bolster Juniper sales further and help it gain market share from bigger rival Cisco Systems Inc.

No decision has yet been made and any announcement could be months away, the sources said.