Business Combination (Notes)

12 Months Ended

Dec. 31, 2011

Business Combinations [Abstract]

Business Combination [Text Block]

Business Combinations

The Company's consolidated financial statements include the operating results of acquired businesses from the date of each acquisition. Pro forma results of operations for these acquisitions have not been presented as the financial impact to the Company's consolidated results of operations, both individually and in aggregate, is not material. Additional information existing as of the acquisition dates but unknown to the Company may become known during the remainder of the measurement period, not to exceed 12 months from the acquisition date, which may result in changes to the amounts and allocations recorded.

The Company completed two business combinations in 2011 and four business combinations in 2010 for either cash consideration or cash consideration along with vested share-based awards assumed of approximately $30.5 million and $394.5 million, respectively. There were no acquisitions in 2009. Total purchase consideration for these acquisitions at the acquisition dates was allocated as follows (in millions):

Allocation of purchase consideration:	2011 Acquisitions		2010 Acquisitions
Net tangible assets acquired	$	1.7	$	8.8
Intangible assets acquired	28.4		116.5
Goodwill	0.4		269.2
Total	$	30.5	$	394.5

The Company recognized $9.6 million and $6.3 million of acquisition-related costs in the years ended December 31, 2011 and 2010, respectively. These acquisition related charges were expensed in the period incurred and reported in the Company's consolidated statement of operations within cost of revenues and operating expense.

The goodwill recognized for the 2011 acquisitions is attributable primarily to expected synergies. None of the goodwill is deductible for U.S. federal income tax purposes for acquisitions completed in 2011. Approximately $88.9 million of the acquired goodwill from a 2010 acquisition is deductible for income tax purposes.

Fiscal 2011 Acquisitions

On February 9, 2011, the Company acquired certain IP assets of OpNext for $26.0 million in cash, which was accounted for as a business combination. The acquisition of OpNext's ASIC technology is expected to help further Juniper's next-generation development of converged packet optical solutions for the Company's service provider customers. In connection with this acquisition, the Company acquired net assets of $25.7 million, and recognized goodwill of $0.3 million, which was assigned to the Company's Infrastructure segment.

On February 18, 2011, the Company acquired certain assets, including all the intellectual property ("IP"), of Brilliant, a supplier of next-generation packet-based, network synchronization equipment and monitoring solutions, for $4.5 million in cash. This IP is expected to assist the Company in extending its market position by delivering solutions that offer greater flexibility for service providers as they continue to deploy 3G and 4G networks. In connection with this acquisition, the Company acquired net assets of $4.4 million, and recognized goodwill of $0.1 million, which was assigned to the Company's Infrastructure segment.

Fiscal 2010 Acquisitions

In 2010, the Company completed the acquisitions of Ankeena, SMobile Systems, Inc. (“SMobile”), Altor, and Trapeze Networks ("Trapeze").

Total purchase consideration for these acquisitions is summarized as follows (in millions):

	Ankeena		SMobile		Altor		Trapeze		Total
Net cash	$	66.5	$	69.5	$	104.0	$	152.1	$	392.1
Assumed stock option and RSU awards allocated to purchase price (1)	2.4		—		—		—		2.4
Total	$	68.9	$	69.5	$	104.0	$	152.1	$	394.5

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(1) The fair value of the stock option and RSU awards assumed was based on the acquired company's determined value on the acquisition date.

Ankeena Acquisition

On April 19, 2010, the Company acquired 100% of the equity securities of Ankeena, a privately-held provider of new media infrastructure technology. In connection with the acquisition of Ankeena, the Company acquired net assets of $3.6 million, including cash and cash equivalents of $2.3 million, and recognized goodwill of $53.1 million, which was assigned to the Company's Infrastructure segment.

Prior to the acquisition, the Company had a $2.0 million, or a 7.7% ownership interest in Ankeena, and accounted for it as a privately-held equity investment. As of the acquisition-date, the fair value of the equity interest in Ankeena was $5.2 million based on a noncontrolling interest fair value and was included in the purchase price. The Company recognized a $3.2 million gain, which was reported within gain (loss) on equity investments in its consolidated statement of operations.

SMobile Acquisition

On July 30, 2010, the Company acquired 100% of the equity securities of SMobile, a privately-held software company focused solely on smartphone and tablet security solutions for the enterprise, service provider, and consumer markets. In connection with the acquisition of SMobile, the Company assumed net liabilities of $5.2 million, including cash and cash equivalents of $0.4 million, and recognized goodwill of $48.1 million, which was assigned to the Company's Service Layer Technology ("SLT") segment.

Altor Acquisition

On December 6, 2010, the Company acquired 100% of the equity securities of Altor, a privately-held provider of virtualization security. In connection with the acquisition of Altor, the Company acquired net assets of $4.5 million, including cash and cash equivalents of $6.4 million, and recognized goodwill of $78.2 million, which was assigned to the Company's SLT segment.

Prior to the acquisition, the Company had a $2.0 million, or a 5.0% ownership interest in Altor, accounted for as a privately-held equity investment. As of the acquisition-date, the fair value of the equity interest in Altor was $4.1 million based on a noncontrolling interest fair value and was included in the purchase price. The Company recognized a $2.1 million gain, which was reported within gain (loss) on equity investments in its consolidated statement of operations.

Trapeze Acquisition

On December 16, 2010, the Company acquired 100% of the equity securities of Trapeze, a subsidiary of Belden Inc. and a provider of enterprise wireless local area network ("WLAN") solutions. In connection with the acquisition of Trapeze, the Company acquired net assets of $5.9 million, including cash and cash equivalents of $0.8 million, and recognized goodwill of $89.8 million, which was assigned to the Company's Infrastructure segment.

Intangible Assets Acquired

The following table presents details of the intangible assets acquired through the business combinations completed in 2011, as of December 31, 2011 (in millions, except years):  

	2011 Acquisitions
	Estimated Useful Life (In Years)	Amount
Existing or Core technology	10	$	21.9
Support agreements and related relationships	4	5.1
Patents	5	1.4
Total		$	28.4

The following table presents details of the intangible assets acquired through the business combinations completed during 2010, as of December 31, 2011 (in millions, except years):

	2010 Acquisitions
	Ankeena			SMobile			Altor			Trapeze
	Estimated Useful Life (In Years)	Amount		Estimated Useful Life (In Years)	Amount		Estimated Useful Life (In Years)	Amount		Estimated Useful Life (In Years)	Amount		Total Amount
Existing technology	4.0	$	9.0	5.0	$	24.3	6.0	$	13.9	5.0	$	45.0	$	92.2
In-process research and development	—	—		—	—		—	2.8		—	—		2.8
Core technology	4.0	3.2		—	—		6.0	4.6		—	—		7.8
Customer contracts and related relationships	—	—		6.0	2.1		—	—		7.0	8.6		10.7
Support agreements and related relationships	—	—		6.0	0.1		—	—		7.0	2.6		2.7
Non-compete agreements	—	—		2.0	0.1		—	—		—	—		0.1
OEM customer contracts	—	—		—	—		—	—		2.0	0.2		0.2
Total		$	12.2		$	26.6		$	21.3		$	56.4	$	116.5

Acquired in-process research and development (“IPR&D”) consists of existing research and development projects at the time of the acquisition. Projects that qualify as IPR&D assets represent those that have not yet reached technological feasibility and have no alternative future use. After initial recognition, acquired IPR&D assets are accounted for as indefinite-lived intangible assets. Development costs incurred after acquisition on acquired development projects are expensed as incurred. Upon completion of development, acquired IPR&D assets are considered amortizable intangible assets. If the IPR&D project is abandoned, the Company writes off the related purchased intangible asset in the period it is abandoned.