10-Q

UNITED STATES SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

Form 10-Q

(Mark One)

[X]	QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
	For the quarterly period ended March 31, 2012

OR

[ ]	TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
	For the transition period from to

Commission file number 001-34501

JUNIPER NETWORKS, INC.

(Exact name of registrant as specified in its charter)

Delaware	77-0422528
(State or other jurisdiction of	(IRS Employer
incorporation or organization)	Identification No.)
1194 North Mathilda Avenue
Sunnyvale, California	94089
(Address of principal executive offices)	(Zip code)
(408) 745-2000
(Registrant's telephone number, including area code)
_________________________________
(Former name, former address and former fiscal year, if changed since last report)

Indicate by check mark whether the Registrant: (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filings requirements for the past 90 days. Yes [X] No [ ]

Indicate by check mark whether the Registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files). Yes [X] No [ ]

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting company. See definitions of “large accelerated filer,” “accelerated filer” and “smaller reporting company” in Rule 12b-2 of the Exchange Act. (Check one):

Large Accelerated Filer [X]	Accelerated Filer [ ]	Non-Accelerated Filer [ ]	Smaller Reporting Company [ ]
		(Do not check if a smaller reporting company)

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes [ ] No [X]

There were approximately 529,548,000 shares of the Company's Common Stock, par value $0.00001, outstanding as of April 30, 2012.

Table of Contents
PART I - FINANCIAL INFORMATION	3
Item 1. Financial Statements	3
Condensed Consolidated Statements of Comprehensive Income	3
Condensed Consolidated Balance Sheets	4
Condensed Consolidated Statements of Cash Flows	5
Notes to Condensed Consolidated Financial Statements	6
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations	33
Item 3. Quantitative and Qualitative Disclosures About Market Risk	46
Item 4. Controls and Procedures	46
PART II - OTHER INFORMATION	47
Item 1. Legal Proceedings	47
Item 1A. Risk Factors	47
Item 2. Unregistered Sales of Equity Securities and Use of Proceeds	58
Item 6. Exhibits	59
SIGNATURES	60

2

PART I — FINANCIAL INFORMATION

Item 1. Financial Statements

Juniper Networks, Inc.

Condensed Consolidated Statements of Comprehensive Income

(In thousands, except per share amounts)

(Unaudited)

	Three Months Ended
	March 31,
	2012			2011
Net revenues:
Product	$	771,873		$	877,440
Service	260,625			224,172
Total net revenues	1,032,498			1,101,612
Cost of revenues:
Product	280,629			265,746
Service	117,814			99,981
Total cost of revenues	398,443			365,727
Gross margin	634,055			735,885
Operating expenses:
Research and development	269,602			261,979
Sales and marketing	257,719			246,291
General and administrative	54,666			44,924
Amortization of purchased intangible assets	1,178			1,544
Restructuring	2,039			(347		)
Acquisition-related	1,142			4,101
Total operating expenses	586,346			558,492
Operating income	47,709			177,393
Other expense, net	(24,431		)	(6,462		)
Income before income taxes and noncontrolling interest	23,278			170,931
Income tax provision	7,008			41,271
Consolidated net income	16,270			129,660
Adjust for net loss attributable to noncontrolling interest	—			90
Net income attributable to Juniper Networks	$	16,270		$	129,750
Net income per share attributable to Juniper Networks common stockholders:
Basic	$	0.03		$	0.24
Diluted	$	0.03		$	0.24
Shares used in computing net income per share:
Basic	527,186			530,789
Diluted	533,683			548,825
Comprehensive income	$	33,148		$	140,847

See accompanying Notes to Condensed Consolidated Financial Statements

3

Juniper Networks, Inc.

Condensed Consolidated Balance Sheets

(In thousands, except par values)

	March 31, 2012			December 31, 2011
	(Unaudited)
ASSETS
Current assets:
Cash and cash equivalents	$	2,913,095		$	2,910,420
Short-term investments	517,403			641,323
Accounts receivable, net of allowances	450,987			577,386
Deferred tax assets, net	168,214			154,310
Prepaid expenses and other current assets	181,319			156,222
Total current assets	4,231,018			4,439,661
Property and equipment, net	647,414			598,581
Long-term investments	785,285			740,659
Restricted cash and investments	82,504			78,307
Purchased intangible assets, net	152,541			123,114
Goodwill	3,987,707			3,928,144
Other long-term assets	58,554			75,354
Total assets	9,945,023			9,983,820
LIABILITIES AND EQUITY
Current liabilities:
Accounts payable	195,420			324,843
Accrued compensation	209,263			223,018
Accrued warranty	29,276			28,276
Deferred revenue	760,621			712,663
Income taxes payable	2,566			12,545
Other accrued liabilities	163,610			165,358
Total current liabilities	1,360,756			1,466,703
Long-term debt	999,071			999,034
Long-term deferred revenue	238,964			254,364
Long-term income taxes payable	111,368			108,471
Other long-term liabilities	61,905			65,590
Commitments and Contingencies
Juniper Networks stockholders' equity:
Convertible preferred stock, $0.00001 par value; 10,000 shares authorized; none issued and outstanding	—			—
Common stock, $0.00001 par value; 1,000,000 shares authorized;529,177 shares and 526,409 shares issued and outstanding at March 31, 2012, and December 31, 2011, respectively	5			5
Additional paid-in capital	10,147,785			10,079,169
Accumulated other comprehensive loss	(712		)	(17,590		)
Accumulated deficit	(2,974,595		)	(2,972,402		)
Total Juniper Networks stockholders' equity	7,172,483			7,089,182
Noncontrolling interest	476			476
Total equity	7,172,959			7,089,658
Total liabilities and equity	$	9,945,023		$	9,983,820

See accompanying Notes to Condensed Consolidated Financial Statements

4

Juniper Networks, Inc.

Condensed Consolidated Statements of Cash Flows

(In thousands)

(Unaudited)

	Three Months Ended March 31,
	2012			2011
Cash flows from operating activities:
Consolidated net income	$	16,270		$	129,660
Adjustments to reconcile consolidated net income to net cash from operating activities:
Depreciation and amortization	43,396			40,758
Non-cash portion of share-based compensation	65,007			47,586
Deferred income taxes	(13,904		)	1,503
Loss on equity investments	14,000			—
Excess tax benefits from share-based compensation	(4,319		)	(39,041		)
Amortization of debt issuance costs	236			—
Changes in operating assets and liabilities, net of effects from acquisitions:
Accounts receivable, net	126,462			125,610
Prepaid expenses and other assets	(22,272		)	(59,372		)
Accounts payable	(126,846		)	(58,468		)
Accrued compensation	(15,426		)	(66,510		)
Income tax payable	(3,750		)	38,099
Other accrued liabilities	(9,146		)	13,981
Deferred revenue	32,558			65,844
Net cash provided by operating activities	102,266			239,650
Cash flows from investing activities:
Purchases of property and equipment	(81,991		)	(53,972		)
Purchases of trading investments	(2,659		)	(2,495		)
Purchases of available-for-sale investments	(371,285		)	(437,773		)
Proceeds from sales of available-for-sale investments	231,366			193,301
Proceeds from maturities of available-for-sale investments	222,840			126,260
Payment for business acquisition, net of cash and cash equivalents acquired	(90,487		)	(28,573		)
Changes in restricted cash	35			—
Purchases of privately-held and other equity investments, net	(1,122		)	(5,972		)
Net cash used in investing activities	(93,303		)	(209,224		)
Cash flows from financing activities:
Proceeds from issuance of common stock	37,798			264,113
Purchases and retirement of common stock	(56,088		)	(205,171		)
Issuance of long-term debt, net	—			991,556
Change in customer financing arrangements	7,683			12,531
Excess tax benefit from share-based compensation	4,319			39,041
Net cash provided by (used in) financing activities	(6,288		)	1,102,070
Net increase in cash and cash equivalents	2,675			1,132,496
Cash and cash equivalents at beginning of period	2,910,420			1,811,887
Cash and cash equivalents at end of period	$	2,913,095		$	2,944,383

See accompanying Notes to Condensed Consolidated Financial Statements

5

Juniper Networks, Inc.

Notes to Condensed Consolidated Financial Statements

(Unaudited)

Note 1. Basis of Presentation

The unaudited Condensed Consolidated Financial Statements of Juniper Networks, Inc. (“Juniper Networks” or the “Company”) have been prepared in accordance with U.S. generally accepted accounting principles (“U.S. GAAP”) for interim financial information as well as the instructions to Form 10-Q and the rules and regulations of the U.S. Securities and Exchange Commission (“SEC”). Accordingly, they do not include all of the information and footnotes required by U.S. GAAP for complete financial statements. The Condensed Consolidated Balance Sheet as of December 31, 2011, is derived from the audited consolidated financial statements for the year ended December 31, 2011. In the opinion of management, all adjustments, including normal recurring accruals, considered necessary for a fair presentation have been included. The results of operations for the three months ended March 31, 2012, are not necessarily indicative of the results that may be expected for the year ending December 31, 2012, or any future period. The information included in this Quarterly Report on Form 10-Q should be read in conjunction with “Management's Discussion and Analysis of Financial Condition and Results of Operations,” “Risk Factors,” “Quantitative and Qualitative Disclosures About Market Risk,” and the Consolidated Financial Statements and footnotes thereto included in the Company's Annual Report on Form 10-K for the year ended December 31, 2011.

The preparation of financial statements in accordance with U.S. GAAP requires management to make estimates and assumptions that affect the amounts reported in the Consolidated Condensed Financial Statements and accompanying notes. Actual results could differ materially from those estimates.

Beginning in the first quarter of 2012, the Company aligned its organizational structure to focus on its platform and software strategy, which resulted in two reportable segments organized principally by product families: Platform Systems Division ("PSD") and Software Solutions Division ("SSD"). In fiscal 2011, the Company was organized into two reportable segments, Infrastructure and Service Layer Technology ("SLT"). The Company has reclassified the segment data for the prior period to conform to the current period's presentation. The segment change did not impact previously reported consolidated net revenues, operating income, net income, and net income per share. See Note 13, Segments for further discussion of the Company's segment reorganization.

As of March 31, 2012, the Company owned a 60 percent interest in a joint venture with Nokia Siemens Networks B.V. (“NSN”). Given the Company's majority ownership interest in the joint venture, the accounts of the joint venture have been consolidated with the accounts of the Company, and a noncontrolling interest has been recorded for the noncontrolling investor's interests in the net assets and operations of the joint venture. In July 2011, NSN and the Company entered into an agreement to cease operation of and terminate the joint venture. NSN has assumed the activities of the joint venture. The Company is in the process of winding down this joint venture and the termination of this joint venture is not expected to have a material effect on the Company's financial position or results of operations.

6

Juniper Networks, Inc.

Notes to Condensed Consolidated Financial Statements (Continued)

Note 2. Summary of Significant Accounting Policies

Recent Accounting Pronouncements

In September 2011, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") No. 2011-08, Topic 350 - Intangibles - Goodwill and Other ("ASU 2011-08"), which amends Topic 350 and provides entities an option to perform a qualitative assessment to determine whether further impairment testing on goodwill is necessary. Specifically, an entity has the option to first assess qualitative factors to determine whether it is necessary to perform the current two-step test. If an entity believes, as a result of its qualitative assessment, that it is more-likely-than-not that the fair value of a reporting unit is less than its carrying amount, the quantitative impairment test is required. Otherwise, no further testing is required. The Company adopted this standard in the first quarter of 2012. The Company’s adoption of the standard during the first quarter of 2012 did not impact its consolidated results of operations or financial condition.

In June 2011, the FASB issued ASU No. 2011-05, Topic 220 - Presentation of Comprehensive Income (“ASU 2011-05”), which requires companies to present net income and other comprehensive income in one continuous statement or in two separate, but consecutive, statements. In addition, in December 2011, the FASB issued Accounting Standards Update ("ASU") No. 2011-12, Topic 220 - Comprehensive Income ("ASU 2011-12"), which defers the requirement to present components of reclassifications of other comprehensive income on the face of the income statement. The Company adopted both standards in the first quarter of 2012. The Company’s adoption of the standard during the first quarter of 2012 did not impact its consolidated results of operations or financial condition.

In May 2011, the FASB issued ASU No. 2011-04, Topic 820 - Amendments to Achieve Common Fair Value Measurement and Disclosure Requirements in U.S. GAAP and IFRSs (“ASU 2011-04”), which amends the fair value measurement guidance and includes some enhanced disclosure requirements. The most significant change in disclosures is an expansion of the information required for Level 3 measurements based on unobservable inputs. The Company adopted this standard in the first quarter of 2012. The Company’s adoption of the standard during the first quarter of 2012 did not impact its consolidated results of operations or financial condition.

7

Juniper Networks, Inc.

Notes to Condensed Consolidated Financial Statements (Continued)

Note 3. 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.

Q1'12 Acquisitions

In the three months ended March 31, 2012, the Company completed two acquisitions. The fair values of certain tangible assets and liabilities acquired, income based taxes, and residual goodwill are not yet finalized and subject to change. The Company expects to continue to obtain information to assist in determining the fair value of the net assets acquired at the acquisition date during the measurement period. Measurement period adjustments determined to be material will be applied retrospectively to the period of acquisition.

On February 13, 2012, the Company acquired 100% of the equity securities of Mykonos Software, Inc ("Mykonos") for $82.6 million in cash. The acquisition of Mykonos is intended to extend Juniper's security portfolio with an intrusion deception system capable of detecting an attacker before an attack is in process. In connection with this acquisition, the Company acquired net liabilities of $0.8 million, and recognized goodwill of $59.1 million, which was assigned to the SSD segment.

On March 8, 2012, the Company acquired a source code license and patent joint-ownership related to the service management layer of BitGravity, Inc ("BitGravity") Content Delivery Network ("CDN") technology for $13.0 million in cash. The transaction complements the Company's Media Flow Solution and content and media delivery strategy, to enables service providers, on-line media companies, and content delivery networks to deliver on-line content more cost-effectively while simultaneously improving the end-user experience.In connection with this acquisition, the Company acquired net assets of $0.1 million, and recognized goodwill of $0.5 million, which was assigned to the SSD segment.

The following table presents the preliminary purchase consideration allocations for these acquisitions, including cash and cash equivalents acquired (in millions):

	Q1'12 Acquisitions
	Mykonos			BitGravity		Total
Net tangible assets/(liabilities) acquired	$	(0.8	)	$	0.1	$	(0.7	)
Intangible assets acquired	24.3			12.4		36.7
Goodwill	59.1			0.5		59.6
Total	$	82.6		$	13.0	$	95.6

The Company recognized $1.1 million and $5.1 million of acquisition-related costs during the first quarter of 2012 and 2011, respectively. These acquisition related charges were expensed in the period incurred and reported in the Company's condensed consolidated statements of comprehensive income within cost of revenues and operating expenses.

The goodwill recognized is attributable primarily to expected synergies. None of the goodwill is deductible for U.S. federal income tax purposes for the acquisitions completed during the first quarter of 2012.

Intangible Assets Acquired

The following table presents details of the intangible assets acquired through the business combinations completed during the first quarter of 2012 (in millions, except years):

8

Juniper Networks, Inc.

Notes to Condensed Consolidated Financial Statements (Continued)

	Q1'12 Acquisitions
	Mykonos			BitGravity
	Estimated Useful Life (In Years)	Amount		Estimated Useful Life (In Years)	Amount
Existing technology	6	$	19.3	3	$	12.4
Trade name and trademarks	7	1.0		—	—
In-process research and development	—	4.0		—	—
Total		$	24.3		$	12.4

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.

Note 4. Net Income per Share

The Company computed basic and diluted net income per share attributable to Juniper Networks common stockholders as follows (in millions, except per share amounts):

	Three Months Ended March 31,
	2012		2011
Numerator:
Net income attributable to Juniper Networks	$	16.3	$	129.8
Denominator:
Weighted-average shares used to compute basic net income per share	527.2		530.8
Dilutive effect of employee stock awards	6.5		18.0
Weighted-average shares used to compute diluted net income per share	533.7		548.8
Net income per share attributable to Juniper Networks common stockholders:
Basic	$	0.03	$	0.24
Diluted	$	0.03	$	0.24

Basic net income per share is computed using net income available to common stockholders and the weighted-average number of common shares outstanding for the period. Diluted net income per share is computed using net income available to common stockholders and the weighted-average number of common shares outstanding plus potentially dilutive common shares outstanding during the period. Dilutive potential common shares consist of common shares issuable upon exercise of stock options, employee stock purchase plan, vesting of restricted stock units ("RSUs"), and vesting of performance share awards ("PSAs").

The Company excludes both outstanding stock options with exercise prices that are greater than the average market price and RSUs with grant date fair market value that are greater than the average market price from the calculation of diluted net income per share because their effect would be anti-dilutive. The Company includes the common shares underlying PSAs in the calculation of diluted net income per share when they become contingently issuable and excludes such shares when they are not contingently issuable. Potentially dilutive common shares of approximately 30.6 million and 5.8 million shares were outstanding but were not included in the computation of diluted net income per share for the three months ended March 31, 2012 and 2011, respectively.

9

Juniper Networks, Inc.

Notes to Condensed Consolidated Financial Statements (Continued)

Note 5. Cash, Cash Equivalents, and Investments

Cash and Cash Equivalents

The following table summarizes the Company's cash and cash equivalents (in millions):

	As of
	March 31, 2012		December 31, 2011
Cash:
Demand deposits	$	680.6	$	633.7
Time deposits	885.9		926.0
Total cash	1,566.5		1,559.7
Cash equivalents:
U.S. government securities	102.0		—
Government-sponsored enterprise obligations	—		24.5
Commercial paper	15.0		10.0
Money market funds	1,229.6		1,316.2
Total cash equivalents	1,346.6		1,350.7
Total cash and cash equivalents	$	2,913.1	$	2,910.4

Investments in Available-for-Sale and Trading Securities

The following table summarizes the Company's unrealized gains and losses, based on the specific identification method, and fair value of investments designated as available-for-sale and trading securities, as of March 31, 2012, and December 31, 2011 (in millions):

	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses			Estimated Fair Value
As of March 31, 2012:
Fixed income securities:
U.S. government securities	$	376.9	$	—	$	(0.2	)	$	376.7
Government-sponsored enterprise obligations	275.7		0.5		—			276.2
Certificates of deposit	25.6		—		—			25.6
Commercial paper	15.0		—		—			15.0
Asset-backed securities	141.8		0.2		—			142.0
Corporate debt securities	566.9		1.7		(0.2		)	568.4
Money market funds	1,229.6		—		—			1,229.6
Total fixed income securities	2,631.5		2.4		(0.4		)	2,633.5
Publicly-traded equity securities	2.6		1.3		—			3.9
Total available-for-sale securities	2,634.1		3.7		(0.4		)	2,637.4
Trading securities (1)	11.9		—		—			11.9
Total	$	2,646.0	$	3.7	$	(0.4	)	$	2,649.3
Reported as:
Cash equivalents	$	1,346.6	$	—	$	—		$	1,346.6
Short-term investments	515.8		1.6		—			517.4
Long-term investments	783.6		2.1		(0.4		)	785.3
Total	$	2,646.0	$	3.7	$	(0.4	)	$	2,649.3

________________________________

(1) Balance includes the Company's non-qualified deferred compensation plan assets. For additional information, see Note 12, Employee Benefit Plans, under the section Deferred Compensation Plan.

10

Juniper Networks, Inc.

Notes to Condensed Consolidated Financial Statements (Continued)

	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses			Estimated Fair Value
As of December 31, 2011:
Fixed income securities:
U.S. government securities	$	301.1	$	—	$	(0.1	)	$	301.0
Government-sponsored enterprise obligations	430.8		0.3		(0.1		)	431.0
Certificates of deposit	31.8		—		—			31.8
Commercial paper	10.0		—		—			10.0
Asset-backed securities	124.7		0.1		(0.1		)	124.7
Corporate debt securities	508.2		1.0		(0.5		)	508.7
Money market funds	1,316.2		—		—			1,316.2
Total fixed income securities	2,722.8		1.4		(0.8		)	2,723.4
Total available-for-sale securities	2,722.8		1.4		(0.8		)	2,723.4
Trading securities (1)	9.3		—		—			9.3
Total	$	2,732.1	$	1.4	$	(0.8	)	$	2,732.7
Reported as:
Cash equivalents	$	1,350.7	$	—	$	—		$	1,350.7
Short-term investments	640.9		0.4		—			641.3
Long-term investments	740.5		1.0		(0.8		)	740.7
Total	$	2,732.1	$	1.4	$	(0.8	)	$	2,732.7

________________________________

(1) Balance includes the Company's non-qualified deferred compensation plan assets. For additional information, see Note 12, Employee Benefit Plans, under the section Deferred Compensation Plan.

The following table presents the maturities of the Company's available-for-sale and trading securities, as of March 31, 2012 (in millions):

	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses			Estimated Fair Value
Due within one year	$	1,847.9	$	0.3	$	—		$	1,848.2
Due between one and five years	783.6		2.1		(0.4		)	785.3
No contractual maturity	14.5		1.3		—			15.8
Total	$	2,646.0	$	3.7	$	(0.4	)	$	2,649.3

The following tables present the Company's available-for-sale investments that are in an unrealized loss position as of March 31, 2012, and December 31, 2011 (in millions):

	Less than 12 Months					12 Months or Greater				Total
	Fair Value		Unrealized Loss			Fair Value		Unrealized Loss		Fair Value		Unrealized Loss
As of March 31, 2012
Corporate debt securities	$	117.8	$	(0.2	)	$	—	$	—	$	117.8	$	(0.2	)
U.S. government securities	207.2		(0.2		)	—		—		207.2		(0.2		)
Government-sponsored enterprise obligations (1)	34.5		—			—		—		34.5		—
Asset-backed securities (1)	23.5		—			0.4		—		23.9		—
Total	$	383.0	$	(0.4	)	$	0.4	$	—	$	383.4	$	(0.4	)

________________________________

(1) Balance includes investments that were in an immaterial unrealized loss position as of March 31, 2012.

11

Juniper Networks, Inc.

Notes to Condensed Consolidated Financial Statements (Continued)

	Less than 12 Months					12 Months or Greater				Total
	Fair Value		Unrealized Loss			Fair Value		Unrealized Loss		Fair Value		Unrealized Loss
As of December 31, 2011
Corporate debt securities	$	189.9	$	(0.5	)	$	—	$	—	$	189.9	$	(0.5	)
U.S. government securities	186.7		(0.1		)	—		—		186.7		(0.1		)
Government-sponsored enterprise obligations	146.0		(0.1		)	—		—		146.0		(0.1		)
Asset-backed securities (1)	76.8		(0.1		)	0.3		—		77.1		(0.1		)
Total	$	599.4	$	(0.8	)	$	0.3	$	—	$	599.7	$	(0.8	)

 ________________________________

(1) Balance includes investments that were in an immaterial unrealized loss position as of December 31, 2011.

The Company had 89 and 135 investments in unrealized loss positions as of March 31, 2012, and December 31, 2011, respectively. The gross unrealized losses related to these investments were primarily due to changes in market interest rates. For the fixed income securities that have unrealized losses, the Company determined that (i) it does not have the intent to sell any of these investments and (ii) it is not more likely than not that it will be required to sell any of these investments before recovery of the entire amortized cost basis. The Company did not consider these investments to be other-than-temporarily impaired as of March 31, 2012, and December 31, 2011. The Company reviews its investments to identify and evaluate investments that have an indication of possible impairment. The Company aggregates its investments by category and length of time the securities have been in a continuous unrealized loss position to facilitate its evaluation.

Restricted Cash and Investments

The Company classifies cash and investments as restricted cash and investments on its condensed consolidated balance sheet for: (i) amounts held in escrow accounts, as required by certain acquisitions completed between 2005 and 2012; (ii) the India Gratuity Trust and Israel Retirement Trust, which cover statutory severance obligations in the event of termination of the Company's India and Israel employees, respectively; and (iii) the Directors and Officers ("D&O") indemnification trust. During the three months ended March 31, 2012, the Company distributed approximately $79.0 million of restricted cash, mainly related to the 2012 acquisitions.

In connection with the 2010 acquisition of Ankeena Networks, Inc. ("Ankeena"), the Company agreed to pay from escrow a total amount of $10.7 million, representing the cash value of unvested restricted shares of Ankeena common stock as of April 8, 2010, held by certain former Ankeena employees. Through March 31, 2012, the Company has released $10.6 million from escrow and expects to release the remaining $0.1 million from escrow over the next six months.

The following table summarizes the Company's cash and investments that are classified as restricted cash and investments in the condensed consolidated balance sheets (in millions):

	As of
	March 31, 2012		December 31, 2011
Restricted cash:
Demand deposits	$	0.6	$	0.6
Total restricted cash	0.6		0.6
Restricted investments:
Corporate debt securities	1.7		1.6
Mutual funds	1.0		1.0
Money market funds	79.2		75.1
Total restricted investments	81.9		77.7
Total restricted cash and investments	$	82.5	$	78.3

As of March 31, 2012, and December 31, 2011, the unrealized gains and losses related to restricted investments were immaterial.

12

Juniper Networks, Inc.

Notes to Condensed Consolidated Financial Statements (Continued)

Privately-Held Investments

As of March 31, 2012, and December 31, 2011, the carrying values of the Company’s privately-held and other equity investments of $36.0 million and $51.8 million, respectively, were included in other long-term assets in the condensed consolidated balance sheets. During the three months ended March 31, 2012, the Company invested $1.1 million in privately-held and other equity investments. During the three months ended March 31, 2011, the Company invested $6.0 million in privately-held and other equity investments.

In the three months ended March 31, 2012, the Company recognized an other-than-temporary non-cash impairment of $14.0 million, related to one of the Company's privately-held equity investments. There were no losses from the Company's privately-held and other equity investments during the three months ended March 31, 2011.

13

Juniper Networks, Inc.

Notes to Condensed Consolidated Financial Statements (Continued)

Note 6. Fair Value Measurements

Assets and Liabilities Measured at Fair Value on a Recurring Basis

The following tables provide a summary of assets and liabilities measured at fair value on a recurring basis and as reported in the condensed consolidated balance sheets (in millions):

	Fair Value Measurements at March 31, 2012 Using:
	Quoted Prices in Active Markets For Identical Assets		Significant Other Observable Remaining Inputs		Significant Other Unobservable Remaining Inputs
	(Level 1)		(Level 2)		(Level 3)		Total
Available-for-sale debt securities:
U.S. government securities	$	187.0	$	189.7	$	—	$	376.7
Government-sponsored enterprise obligations	252.2		24.0		—		276.2
Commercial paper	—		15.0		—		15.0
Corporate debt securities (1)	—		570.1		—		570.1
Certificate of deposit	—		25.6		—		25.6
Asset-backed securities	—		142.0		—		142.0
Mutual funds (2)	1.0		—		—		1.0
Money market funds (3)	1,308.8		—		—		1,308.8
Total available-for-sale debt securities	1,749.0		966.4		—		2,715.4
Available-for-sale equity securities:
Publicly-traded equity securities	3.9		—		—		3.9
Total available-for-sale securities	1,752.9		966.4		—		2,719.3
Trading securities:
Mutual funds (4)	11.9		—		—		11.9
Total trading securities	11.9		—		—		11.9
Derivative assets:
Foreign exchange contracts	—		2.4		—		2.4
Total derivative assets	—		2.4		—		2.4
Total assets measured at fair value	$	1,764.8	$	968.8	$	—	$	2,733.6
Liabilities measured at fair value:
Derivative liabilities:
Foreign exchange contracts	$	—	$	3.1	$	—	$	3.1
Total derivative liabilities	—		3.1		—		3.1
Total liabilities measured at fair value	$	—	$	3.1	$	—	$	3.1

________________________________

(1) Balance includes $1.7 million of restricted investments measured at fair market value, related to the Company's India Gratuity Trust.

(2) Balance relates to the restricted investments measured at fair market value of the Company's India Gratuity Trust.

(3) Balance includes $79.2 million of restricted investments measured at fair market value, related to the Company's D&O trust and acquisitions related escrows.

(4) Balance relates to investments measured at fair value related to the Company's non-qualified deferred compensation plan assets.

14

Juniper Networks, Inc.

Notes to Condensed Consolidated Financial Statements (Continued)

	Fair Value Measurements at March 31, 2012 Using:
	Quoted Prices in Active Markets For Identical Assets		Significant Other Observable Remaining Inputs		Significant Other Unobservable Remaining Inputs
	(Level 1)		(Level 2)		(Level 3)		Total
Reported as:
Cash equivalents	$	1,229.6	$	117.0	$	—	$	1,346.6
Short-term investments	185.5		331.9		—		517.4
Long-term investments	269.5		515.8		—		785.3
Restricted investments	80.2		1.7		—		81.9
Prepaid expenses and other current assets	—		2.4		—		2.4
Total assets measured at fair value	$	1,764.8	$	968.8	$	—	$	2,733.6
Total liabilities measured at fair value, reported as:
Other accrued liabilities	$	—	$	3.1	$	—	$	3.1
Total liabilities measured at fair value	$	—	$	3.1	$	—	$	3.1

	Fair Value Measurements at December 31, 2011 Using:
	Quoted Prices in Active Markets For Identical Assets		Significant Other Observable Remaining Inputs		Significant Other Unobservable Remaining Inputs
	(Level 1)		(Level 2)		(Level 3)		Total
Assets measured at fair value:
Available-for-sale debt securities:
U.S. government securities	$	149.3	$	151.7	$	—	$	301.0
Government-sponsored enterprise obligations	314.2		116.8		—		431.0
Commercial paper	—		10.0		—		10.0
Corporate debt securities (1)	—		510.3		—		510.3
Certificate of deposit	—		31.8		—		31.8
Asset-backed securities	—		124.7		—		124.7
Money market funds (2)	1,391.3		—		—		1,391.3
Total available-for-sale debt securities	1,854.8		945.3		—		2,800.1
Total available-for-sale securities	1,854.8		945.3		—		2,800.1
Trading securities:
Mutual funds (3)	10.3		—		—		10.3
Total trading securities	10.3		—		—		10.3
Derivative assets:
Foreign exchange contracts	—		0.4		—		0.4
Total derivative assets	—		0.4		—		0.4
Total assets measured at fair value	$	1,865.1	$	945.7	$	—	$	2,810.8
Liabilities measured at fair value:
Derivative liabilities:
Foreign exchange contracts	$	—	$	9.6	$	—	$	9.6
Total derivative liabilities	—		9.6		—		9.6
Total liabilities measured at fair value	$	—	$	9.6	$	—	$	9.6

15

Juniper Networks, Inc.

Notes to Condensed Consolidated Financial Statements (Continued)

________________________________

(1) Balance includes $1.6 million of restricted investments measured at fair market value, related to the Company's India Gratuity Trust.

(2) Balance includes $75.1 million of restricted investments measured at fair market value, related to the Company's D&O trust and acquisition related escrows.

(3) Balance includes $9.3 million of the Company's non-qualified deferred compensation plan assets and $1.0 million of restricted investments measured at fair market value, related to the Company's India Gratuity Trust.

	Fair Value Measurements at December 31, 2011 Using:
	Quoted Prices in Active Markets For Identical Assets		Significant Other Observable Remaining Inputs		Significant Other Unobservable Remaining Inputs
	(Level 1)		(Level 2)		(Level 3)		Total
Total assets measured at fair value, reported as:
Cash equivalents	$	1,316.2	$	34.5	$	—	$	1,350.7
Short-term investments	168.9		472.4		—		641.3
Long-term investments	303.9		436.8		—		740.7
Restricted investments	76.1		1.6		—		77.7
Prepaid expenses and other current assets	—		0.4		—		0.4
Total assets measured at fair value	$	1,865.1	$	945.7	$	—	$	2,810.8
Total liabilities measured at fair value, reported as:
Other accrued liabilities	$	—	$	9.6	$	—	$	9.6
Total liabilities measured at fair value	$	—	$	9.6	$	—	$	9.6

The Company's policy is to recognize asset or liability transfers among Level 1, Level 2, and Level 3 as of the actual date of the events or change in circumstances that caused the transfer. During the three months ended March 31, 2012, and 2011, the Company had no transfers between levels of the fair value hierarchy of its assets or liabilities measured at fair value.

Assets and Liabilities Measured at Fair Value on a Nonrecurring Basis

As of March 31, 2012, and December 31, 2011, the carrying value of privately-held equity investments measured at fair value on a nonrecurring basis was $6.0 million and $0.4 million, respectively. These privately-held equity investments, which are normally carried at cost, were measured at fair value due to events and circumstances that the Company identified during the quarter as significantly impacting the fair value of the investments. The Company measured the fair value of its privately-held equity investments using an analysis of the financial condition and near-term prospects of the investee, including recent financing activities, cash flow projections, and probability-weighted expected value based on the expected recoverability of the investments. As a result, the Company recognized an other-than-temporary non-cash impairment of $14.0 million in the three months ended March 31, 2012, and classified the investment as Level 3 assets due to the absence of quoted market prices and inherent lack of liquidity. The Company had no impairment charges against its privately-held equity investments in the three months ended March 31, 2011. The Company had no liabilities measured at fair value on a nonrecurring basis as of March 31, 2012 and December 31, 2011.

Assets and Liabilities Not Measured at Fair Value

The carrying amounts of the Company's accounts receivable, financing receivables, accounts payable, and other accrued liabilities approximate fair value due to their short maturities. The fair value of the Company’s long-term debt is disclosed in Note 10, Long-Term Debt and Financing, and was determined using quoted market prices (Level 1).

16

Juniper Networks, Inc.

Notes to Condensed Consolidated Financial Statements (Continued)

Note 7. Derivative Instruments

The Company uses derivatives to partially offset its market exposure to fluctuations in certain foreign currencies and does not enter into derivatives for speculative or trading purposes.

The notional amount of Company's foreign currency derivatives are summarized as follows (in millions):

	As of
	March 31, 2012		December 31, 2011
Cash flow hedges	$	122.4	$	184.3
Non-designated hedges	122.9		122.7
Total	$	245.3	$	307.0

Cash Flow Hedges

The Company uses foreign currency forward or option contracts to hedge certain forecasted foreign currency transactions relating to cost of services and operating expenses. The derivatives are intended to protect the U.S. Dollar equivalent of the Company's planned cost of services and operating expenses denominated in foreign currencies. These derivatives are designated as cash flow hedges. Execution of these cash flow hedge derivatives typically occurs every month with maturities of one year or less. The effective portion of the derivative's gain or loss is initially reported as a component of accumulated other comprehensive income (loss), and upon occurrence of the forecasted transaction, is subsequently reclassified into the cost of services or operating expense line item to which the hedged transaction relates. The Company records any ineffectiveness of the hedging instruments in interest and other income, net in its consolidated statements of comprehensive income. Cash flows from such hedges are classified as operating activities. All amounts within other comprehensive income (loss) are expected to be reclassified into earnings within the next 12 months.

The total fair value of the Company’s derivative assets recorded in other current assets on the condensed consolidated balance sheet as of March 31, 2012, and December 31, 2011, was $2.3 million and $0.4 million, respectively. The total fair value of the Company’s derivative liabilities located in other accrued liabilities on the condensed consolidated balance sheet as of March 31, 2012, and December 31, 2011, was $3.1 million and $9.6 million, respectively.

During the three months ended March 31, 2012 and 2011, the Company recognized a gain of $6.0 million and $5.2 million, respectively, in accumulated other comprehensive income for the effective portion of its derivative instruments and reclassified a loss of $3.5 million and a gain of $0.5 million, respectively, from other comprehensive income to operating expense in the condensed consolidated statements of comprehensive income.

The ineffective portion of the Company's derivative instruments recognized in its condensed consolidated statements of comprehensive income was immaterial during the three months ended March 31, 2012, and 2011.

Non-Designated Hedges

The Company also uses foreign currency forward contracts to mitigate variability in gains and losses generated from the re-measurement of certain monetary assets and liabilities denominated in foreign currencies. These hedges do not qualify for special hedge accounting treatment. These derivatives are carried at fair value with changes recorded in other income and expense, net. Changes in the fair value of these derivatives are largely offset by re-measurement of the underlying assets and liabilities. Cash flows from such derivatives are classified as operating activities. The derivatives have maturities of approximately two months.

During the three months ended March 31, 2012 and 2011, the Company recognized a net loss of $0.1 million and $0.2 million, respectively, within other expense and income, net, on its condensed consolidated statements of comprehensive income from non-designated derivative instruments.

17

Juniper Networks, Inc.

Notes to Condensed Consolidated Financial Statements (Continued)

Note 8. Goodwill and Purchased Intangible Assets

Goodwill

The following table presents the goodwill allocated to the Company's reportable segments as of and during the three months ended March 31, 2012 (in millions):

	PSD		SSD		Total
Balance as of January 1, 2012	$	1,795.6	$	2,132.5	$	3,928.1
Additions due to business combinations	—		59.6		59.6
Balance as of March 31, 2012	1,795.6		2,192.1		3,987.7

The Company had no adjustments to goodwill during the three months ended March 31, 2012. The additions to goodwill during the three months ended March 31, 2012 were based on preliminary allocations of the purchase prices. There were no impairments to goodwill during the three months ended March 31, 2012, and 2011.

Purchased Intangible Assets

Changes to the Company’s purchased intangible assets were as follows (in millions):

	Gross		Accumulated Amortization			Net
As of March 31, 2012:
Intangible assets with finite lives:
Technologies and patents	$	531.2	$	(410.5	)	$	120.7
Other	92.5		(67.5		)	25.0
Total intangible assets with finite lives	623.7		(478.0		)	145.7
IPR&D with indefinite lives	6.8		—			6.8
Total purchased intangible assets	$	630.5	$	(478.0	)	$	152.5
As of December 31, 2011:
Intangible assets with finite lives:
Technologies and patents	$	499.5	$	(404.2	)	$	95.3
Other	91.5		(66.5		)	25.0
Total intangible assets with finite lives	591.0		(470.7		)	120.3
IPR&D with indefinite lives	2.8		—			2.8
Total purchased intangible assets	$	593.8	$	(470.7	)	$	123.1

Amortization of purchased intangible assets included in operating expenses and cost of product revenues totaled $7.3 million and $6.7 million for the three months ended March 31, 2012 and 2011, respectively. There were no impairment charges with respect to the purchased intangible assets in the three months ended March 31, 2012, and 2011.

The purchased intangible assets balance as of March 31, 2012, includes intangible assets acquired through acquisitions completed during the first quarter of 2012. Refer to Note 3, Business Combinations, for further details.

18

Juniper Networks, Inc.

Notes to Condensed Consolidated Financial Statements (Continued)

The estimated future amortization expense of purchased intangible assets with finite lives is as follows (in millions):

Years Ending December 31,	Amount
2012 (remaining nine months)	$	26.2
2013	34.7
2014	32.8
2015	24.8
2016	11.1
Thereafter	16.1
Total	$	145.7

Note 9. Other Financial Information

Inventories, net

The Company's inventories are stated at the lower of standard cost or market, which approximates actual cost. Inventories, net are reported within prepaid expenses and other current assets on the condensed consolidated balance sheet, and consist of the following (in millions):

	As of
	March 31, 2012		December 31, 2011
Inventories, net
Production materials	$	77.3	$	52.4
Finished goods	14.7		16.7
Total inventories, net	$	92.0	$	69.1

Warranties

The Company accrues for warranty costs as part of its cost of sales based on associated material costs, labor costs for customer support, and overhead at the time revenue is recognized. This provision is reported as accrued warranty within current liabilities on the condensed consolidated balance sheets. Changes in the Company’s warranty reserve were as follows (in millions):

	Three Months Ended
	March 31,
	2012			2011
Beginning balance	$	28.3		$	35.9
Provisions made during the period, net	8.9			15.3
Change in estimate	—			(0.8		)
Actual costs incurred during the period	(7.9		)	(12.1		)
Ending balance	$	29.3		$	38.3

19

Juniper Networks, Inc.

Notes to Condensed Consolidated Financial Statements (Continued)

Deferred Revenue

Details of the Company's deferred revenue, as reported on the condensed consolidated balance sheets, were as follows (in millions):

	As of
	March 31, 2012			December 31, 2011
Deferred product revenue:
Undelivered product commitments and other product deferrals	$	286.4		$	288.1
Distributor inventory and other sell-through items	114.0			134.0
Deferred gross product revenue	400.4			422.1
Deferred cost of product revenue	(118.4		)	(136.9		)
Deferred product revenue, net	282.0			285.2
Deferred service revenue	717.6			681.8
Total	$	999.6		$	967.0
Reported as:
Current	$	760.6		$	712.6
Long-term	239.0			254.4
Total	$	999.6		$	967.0

Deferred product revenue represents unrecognized revenue related to shipments to distributors that have not sold through to end-users, undelivered product commitments, and other shipments that have not met all revenue recognition criteria. Deferred product revenue is recorded net of the related costs of product revenue. Deferred service revenue represents customer payments made in advance for services, which include technical support, hardware and software maintenance, professional services, and training.

Restructuring Liabilities

In the third quarter of 2011, the Company implemented a restructuring plan (the "2011 Restructuring Plan") in an effort to better align its business operations with the current market and macroeconomic conditions. The 2011 Restructuring Plan primarily consisted of certain workforce reductions, and to a lesser extent, contract terminations.

During 2009, the Company implemented a restructuring plan (the "2009 Restructuring Plan") in an effort to better align its business operations with the market and macroeconomic conditions. The 2009 Restructuring Plan included restructuring of certain business functions that resulted in reductions of workforce and facilities. The Company recorded the majority of the restructuring charges associated with this plan during the years ended 2010 and 2009.

The Company recorded net restructuring charges of $2.0 million in the three months ended March 31, 2012, related to remaining restructuring activities from the 2011 Restructuring Plan, and recorded an adjustment of $0.3 million within restructuring in the condensed consolidated statements of comprehensive income during the three months ended March 31, 2011 in connection with the restructuring plan implemented in 2009. As of March 31, 2012, the remaining restructuring liability under the 2011 Restructuring Plan relates to severance costs to be paid out in 2012, as well as facilities-related charges under the two Restructuring Plans, which are expected to be completed by February 2015.

Restructuring charges were based on the Company's restructuring plans that were committed by management. Any changes in the estimates of executing the approved plans will be reflected in the Company's results of operations. Restructuring liabilities are reported within other accrued liabilities and other long-term liabilities on the condensed consolidated balance sheets. The following table provides a summary of changes in the Company’s restructuring liability (in millions):

20

Juniper Networks, Inc.

Notes to Condensed Consolidated Financial Statements (Continued)

	Remaining Liability as of December 31, 2011		Charges			Cash payments			Non-cash Settlements and Other Adjustments		Remaining Liability as of March 31, 2012
Facilities	$	1.0	$	(0.2	)	$	(0.2	)	$	—	$	0.6
Severance, contractual commitments, and other charges	3.1		2.2			(1.7		)	0.9		4.5
Total	$	4.1	$	2.0		$	(1.9	)	$	0.9	$	5.1

Other Expense and Income, Net

Other expense and income, net consists of the following (in millions):

	Three Months Ended
	March 31,
	2012			2011
Interest income	$	2.8		$	2.4
Interest expense	(14.2		)	(6.5		)
Other	(13.0		)	(2.4		)
Other (expense) income, net	$	(24.4	)	$	(6.5	)

Interest income primarily includes interest earned on the Company’s cash, cash equivalents, and investments. Interest expense primarily includes interest expense from long-term debt and customer financing arrangements. Other income and expense typically consists of investment and foreign exchange gains and losses and other non-operational income and expense items. In the three months ended March 31, 2012, the Company recognized an other-than-temporary non-cash impairment of $14.0 million, related to one of the Company's privately-held equity investments. The Company had no such charges during the three months ended March 31, 2011.

Note 10. Long-Term Debt and Financing

Long-Term Debt

The following table summarizes the Company's long-term debt (in millions, except percentages):

	As of
	March 31, 2012
	Amount			Effective Interest Rates
Senior notes:
3.10% fixed-rate notes, due 2016	$	300.0		3.12	%
4.60% fixed-rate notes, due 2021	300.0			4.63	%
5.95% fixed-rate notes, due 2041	400.0			6.01	%
Total senior notes	1,000.0
Unaccreted discount	(0.9		)
Total	$	999.1

The effective interest rates for the notes include the interest on the notes, accretion of the discount, and amortization of issuance costs. At March 31, 2012 and December 31, 2011, the estimated fair value of the notes included in long-term debt was approximately $1,097.6 million and $1,069.8 million, respectively, based on quoted market prices (Level 1).

Customer Financing Arrangements

The Company has customer financing arrangements to sell its accounts receivable to a major third-party financing provider. The

21

Juniper Networks, Inc.

Notes to Condensed Consolidated Financial Statements (Continued)

program does not and is not intended to affect the timing of revenue recognition because the Company only recognizes revenue upon sell-through. Under the financing arrangements, proceeds from the financing provider are due to the Company 30 days from the sale of the receivable. In these transactions with the financing provider, the Company surrendered control over the transferred assets. The accounts receivable were isolated from the Company and put beyond the reach of creditors, even in the event of bankruptcy. The Company does not maintain effective control over the transferred assets through obligations or rights to redeem, transfer, or repurchase the receivables after they have been transferred.

Pursuant to the financing arrangements for the sale of receivables, the Company sold net receivables of $120.6 million and $174.8 million during the three months ended March 31, 2012, and 2011, respectively.

The Company received cash proceeds from the financing provider of $178.5 million and $194.3 million during the three months ended March 31, 2012, and 2011, respectively. The amounts owed by the financing provider were recorded as accounts receivable on the Company’s condensed consolidated balance sheets as of March 31, 2012, and December 31, 2011, was $101.3 million and $162.9 million, respectively.

The portion of the receivable financed that has not been recognized as revenue is accounted for as a financing arrangement and is included in other accrued liabilities and other long-term liabilities in the condensed consolidated balance sheets. As of March 31, 2012, and December 31, 2011, the estimated cash received from the financing provider not recognized as revenue from distributors was $40.9 million and $33.3 million, respectively.

Note 11. Equity

Stock Repurchase Activities

In February 2010, the Company’s Board of Directors (the “Board”) approved a stock repurchase program (the “2010 Stock Repurchase Program”) which authorized the Company to repurchase up to $1.0 billion of its common stock. This authorization was in addition to the stock repurchase program approved by the Board in March 2008 (the “2008 Stock Repurchase Program”), which also enabled the Company to repurchase up to $1.0 billion of the Company’s common stock.

The Company repurchased and retired approximately 2.4 million shares of its common stock at an average price of $21.75 per share for an aggregate purchase price of $51.6 million during the three months ended March 31, 2012 under the 2010 Stock Repurchase Program. The Company repurchased and retired approximately 4.8 million shares of its common stock at an average price of $42.14 per share for an aggregate purchase price of $200.2 million during the three months ended March 31, 2011 under the two stock repurchase programs. There were no remaining authorized funds under the 2008 Stock Repurchase Program and $162.2 million remaining authorized funds under the 2010 Stock Repurchase Program as of March 31, 2012.

Comprehensive Income Attributable to Juniper Networks

Comprehensive income attributable to Juniper Networks consists of the following (in millions):

	Three Months Ended
	March 31,
	2012		2011
Consolidated net income	$	16.3	$	129.7
Other comprehensive income, net of tax:
Change in unrealized gain on investments, net of tax of nil	12.3		4.4
Change in foreign currency translation adjustment, net of tax of nil	4.6		6.6
Total other comprehensive income, net of tax	16.9		11.0
Consolidated comprehensive income	33.2		140.7
Adjust for comprehensive loss attributable to noncontrolling interest, net of tax	—		0.1
Comprehensive income attributable to Juniper Networks	$	33.2	$	140.8

22

Juniper Networks, Inc.

Notes to Condensed Consolidated Financial Statements (Continued)

Note 12. Employee Benefit Plans

Share-Based Compensation Plans

The Company’s share-based compensation plans include the 2006 Equity Incentive Plan (the “2006 Plan”), 2000 Nonstatutory Stock Option Plan (the “2000 Plan”), Amended and Restated 1996 Stock Plan (the “1996 Plan”), as well as various equity incentive plans assumed through acquisitions. Under these plans, the Company has granted (or in the case of acquired plans, assumed) stock options, RSUs, and PSAs. In addition, the Company’s 2008 Employee Stock Purchase Plan (the “2008 Purchase Plan”) permits eligible employees to acquire shares of the Company’s common stock at a 15% discount to the offering price (as determined in the 2008 Purchase Plan) through periodic payroll deductions of up to 10% of base compensation, subject to individual purchase limits of 6,000 shares in any twelve-month period or $25,000 worth of stock, determined at the fair market value of the shares at the time the stock purchase option is granted, in one calendar year.

The 2006 Plan, adopted and approved by the Company’s stockholders in May 2006, had an initial authorized share reserve of 64.5 million shares of common stock plus the addition of any shares subject to options under the 2000 Plan and the 1996 Plan that were outstanding as of May 18, 2006, and that subsequently expire unexercised, up to a maximum of an additional 75.0 million shares. In addition, the Company’s stockholders’ approved amendments to the 2006 Plan that increased the number of shares reserved for issuance under the 2006 Plan, thereby increasing the authorized share reserve by 30.0 million shares in each of May 2010 and 2011. As of March 31, 2012, the 2006 Plan had 64.9 million shares subject to currently outstanding equity awards and 22.2 million shares available for future issuance.

In connection with past acquisitions, the Company assumed stock option and RSU awards under the stock plans of the acquired companies. The Company exchanged those awards for Juniper Networks' stock options and RSUs. As of March 31, 2012, stock options and RSUs covering approximately 1.6 million shares of common stock were outstanding under awards assumed through the Company's past acquisitions.

Stock Option Activities

Since 2006, the Company has granted stock option awards that have a maximum contractual life of seven years from the date of grant. Prior to 2006, stock option awards generally had a ten-year contractual life from the date of grant. The following table summarizes the Company’s stock option activity and related information as of and for the three months ended March 31, 2012 (in millions, except for per share amounts and years):

	Outstanding Options
	Number of Shares		Weighted Average Exercise Price per Share		Weighted Average Remaining Contractual Term (In Years)	Aggregate Intrinsic Value
Balance at January 1, 2012	38.6		$	23.98
Options granted	3.0		22.93
Options canceled	(0.5	)	28.48
Options exercised	(0.7	)	12.67
Options expired	(0.2	)	26.18
Balance at March 31, 2012	40.2		$	24.02	3.7	$	106.4
As of March 31, 2012:
Vested or expected-to-vest options	38.3		$	23.80	3.6	$	104.5
Exercisable options	27.7		$	22.47	2.9	$	87.7

Aggregate intrinsic value represents the difference between the Company’s closing stock price on the last trading day of the period, which was $22.88 per share as of March 31, 2012, and the exercise price multiplied by the number of related options. The pre-tax intrinsic value of options exercised, representing the difference between the fair market value of the Company’s common stock on the date of the exercise and the exercise price of each option, was $6.9 million for the three months ended March 31, 2012. Total fair value of options vested for the three months ended March 31, 2012, was $27.9 million.

23

Juniper Networks, Inc.

Notes to Condensed Consolidated Financial Statements (Continued)

Restricted Stock Units and Performance Share Awards Activities

RSUs generally vest over a period of three to four years from the date of grant, and PSAs generally vest after three years provided that certain annual performance targets and other vesting criteria are met. Until vested, RSUs and PSAs do not have the voting and dividend participation rights of common stock and the shares underlying the awards are not considered issued and outstanding.

The following table summarizes the Company’s RSU and PSA activity and related information as of and for the three months ended March 31, 2012 (in millions, except per share amounts and years):

	Outstanding RSUs and PSAs
	Number of Shares		Weighted Average Grant-Date Fair Value per Share		Weighted Average Remaining Contractual Term (In Years)	Aggregate Intrinsic Value
Balance at January 1, 2012	19.6		$	30.27
RSUs granted	6.5		22.04
RSUs assumed	0.2		22.47
PSAs granted (1)	2.2		23.22
RSUs vested	(1.6	)	27.55
PSAs vested	(1.4	)	15.63
RSUs canceled	(0.4	)	30.20
PSAs canceled	(0.4	)	31.73
Balance at March 31, 2012	24.7		$	28.54	1.6	$	558.3
As of March 31, 2012:
Vested and expected-to-vest RSUs and PSAs	28.8		$	—	1.4	$	456.5

________________________________

(1) The number of shares subject to PSAs granted represents the aggregate maximum number of shares that may be issued pursuant to the award over its full term. The aggregate number of shares subject to these PSAs that would be issued if performance goals determined by the Compensation Committee are achieved at target is 0.9 million shares. Depending on achievement of such performance goals, the range of shares that could be issued under these awards is 0 to 2.2 million shares.

Shares Available for Grant

The following table presents the stock grant activity and the total number of shares available for grant under the 2006 Plan as of March 31, 2012 (in millions):

	Number of Shares
Balance at January 1, 2012	41.1
RSUs and PSAs granted (1)	(18.3	)
Options granted	(3.0	)
RSUs and PSAs canceled (1)	1.7
Options canceled (2)	0.5
Options expired (2)	0.2
Balance at March 31, 2012	22.2

________________________________

(1) RSUs and PSAs with a per share or unit purchase price lower than 100% of the fair market value of the Company's common stock on the day of the grant under the 2006 Plan are counted against shares authorized under the plan as two and one-tenth shares of common stock for each share subject to such award. The number of shares subject to PSAs granted represents the maximum number of shares that may be issued pursuant to the award over its full term.

(2) Includes canceled or expired options under the 1996 Plan and the 2000 Plan that expired unexercised after May 18, 2006, which become available for grant under the 2006 Plan according to its terms.

24

Juniper Networks, Inc.

Notes to Condensed Consolidated Financial Statements (Continued)

Employee Stock Purchase Plan

The Company's 2008 Purchase Plan is implemented in a series of offering periods, each six months in duration, or a shorter period as determined by the Board. Under the 2008 Purchase Plan, employees purchased approximately 1.7 million shares at an average per share price of $17.79 for the three months ended March 31, 2012, and 1.0 million shares at an average price of $23.89 for the three months ended March 31, 2011.

As of March 31, 2012, approximately 7.7 million shares had been issued and 4.3 million shares remained available for future issuance under the 2008 Purchase Plan.

Common Stock Reserved for Future Issuance

As of March 31, 2012, the Company had reserved an aggregate of approximately 93.0 million shares of common stock for future issuance under its equity incentive plans and the 2008 Purchase Plan.

Share-Based Compensation Expense

The Company determines the fair value of its stock options utilizing the Black-Scholes-Merton (“BSM”) option-pricing model, which incorporates various assumptions including volatility, risk-free interest rate, expected life, and dividend yield. The expected volatility is based on the implied volatility of market-traded options on the Company’s common stock, adjusted for other relevant factors including historical volatility of the Company’s common stock over the most recent period commensurate with the estimated expected life of the Company’s stock options. The expected life of a stock option award is based on historical experience and on the terms and conditions of the stock awards granted to employees, as well as the potential effect from stock options that had not been exercised at the time. The Company determines the fair value of its RSUs and PSAs based upon the fair market value of the shares of the Company’s common stock at the date of grant.

The weighted average assumptions used and the resulting estimates of fair value for employee stock options and the employee stock purchase plan during the three months ended March 31, 2012 and 2011 were:

	Three Months Ended March 31,
	2012	2011
Employee Stock Options:
Volatility factor	46%	41%
Risk-free interest rate	0.8%	1.7%
Expected life (years)	4.2	4.1
Dividend yield	—	—
Fair value per share	$8.51	$14.43
Employee Stock Purchase Plan:
Volatility factor	51%	33%
Risk-free interest rate	0.1%	1.8%
Expected life (years)	0.5	0.5
Dividend yield	—	—
Weighted-average fair value per share	$6.38	$9.07

The Company expenses the cost of its stock options on a straight-line basis over the vesting period and expenses the cost of its RSUs ratably over the vesting period. With respect to PSAs, for the portion of the award attributable to each performance year, the Company recognizes PSA expense ratably over the remaining vesting period starting in the period in which the annual performance targets are set for each such performance year.

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Juniper Networks, Inc.

Notes to Condensed Consolidated Financial Statements (Continued)

The Company’s share-based compensation expense associated with stock options, employee stock purchases, RSUs, and PSAs is recorded in the following cost and expense categories for the three months ended March 31, 2012, and 2011 (in millions):

	Three Months Ended
	March 31,
	2012		2011
Cost of revenues - Product	$	1.1	$	1.0
Cost of revenues - Service	5.2		3.9
Research and development	25.8		22.3
Sales and marketing	21.9		13.2
General and administrative	11.0		8.6
Total	$	65.0	$	49.0

The following table summarizes share-based compensation expense by award type (in millions):

	Three Months Ended March 31,
	2012		2011
Options	$	17.7	$	19.7
RSUs and PSAs	41.6		23.4
Assumed RSUs	0.2		—
Employee stock purchase plan	5.5		4.4
Other acquisition-related compensation	—		1.5
Total	$	65.0	$	49.0

As of March 31, 2012, approximately $98.4 million of unrecognized compensation cost, adjusted for estimated forfeitures, related to unvested stock options will be recognized over a weighted-average period of approximately 2.6 years while approximately $353.7 million of unrecognized compensation cost, adjusted for estimated forfeitures, related to unvested RSUs and PSAs will be recognized over a weighted-average period of approximately 2.4 years.

401(k) Plan

The Company maintains a savings and retirement plan qualified under Section 401(k) of the Internal Revenue Code of 1986, as amended. Employees meeting the eligibility requirements, as defined, may contribute up to the statutory limits of the year. The Company has matched employee contributions since January 1, 2001, currently matching 25% of all eligible employee contributions. All matching contributions vest immediately. The Company’s matching contributions to the plan totaled $6.6 million and $5.1 million in the three months ended March 31, 2012 and March 31, 2011, respectively.

Deferred Compensation Plan

The Company’s non-qualified deferred compensation (“NQDC”) plan is an unfunded and unsecured deferred compensation arrangement. Under the NQDC plan, officers and other senior employees may elect to defer a portion of their compensation and contribute such amounts to one or more investment funds. The NQDC plan assets are included within short-term investments, and offsetting obligations are included within accrued compensation on the condensed consolidated balance sheet. The investments are considered trading securities and are reported at fair value. The realized and unrealized holding gains and losses related to these investments are recorded in interest and other income, net, and the offsetting compensation expense are recorded as operating expenses in the condensed consolidated results of operations. The deferred compensation liability under the NQDC plan was approximately $11.9 million and $9.3 million as of March 31, 2012, and December 31, 2011, respectively. For additional information regarding the Company's NQDC, see Note 5, Cash, Cash Equivalents, and Investments.

26

Juniper Networks, Inc.

Notes to Condensed Consolidated Financial Statements (Continued)

Note 13. Segments

The Company’s chief operating decision maker (“CODM”) allocates resources and assesses performance based on financial information of the Company’s divisions. In fiscal 2012, the Company reorganized its operations into two reportable segments principally by product families: PSD and SSD. As a result of the change, product families and services were organized within the two divisions based on homogeneity of products and technology.

To provide improved visibility and comparability the Company has reclassified segment operating results for 2011 to conform with certain 2012 organizational realignments.

The Company’s PSD segment primarily offers scalable routing and switching products that are used in service provider, enterprise, and public sector networks to control and direct network traffic from data centers, core, edge, aggregation, campus, WANs, branch, and customer premise equipment level. The Company's PSD segment consists of routing, switching, and security/other products and services. Routing includes products and services from the E, M, MX, PTX and T Series. Switching primarily consists of products and services for EX Series and wireless local area network solutions, as well as QFabric™. Security/other includes products and services from the branch SRX, branch firewall, and J Series, as well as the network application platform, Junos® Space.

The Company's SSD segment offers solutions that meet a broad array of our customers’ priorities, from protecting the users, applications and data on the network to providing network services across a distributed infrastructure. The SSD segment primarily consists of security/other and routing products and services. Security/other includes High-End SRX services and vGW Virtual Gateways, High-End Firewall virtual private network systems and appliances, secure socket layer virtual private network appliances, intrusion detection and prevention appliances, wide area network optimization platforms, and Junos Pulse. Routing primarily consists of Routing Services Software and Mobile Applications (such as MobileNext^TM).

The CODM does not allocate to its business segments certain operating expenses managed separately at the corporate level. Direct costs and operating expenses, such as standard COGS, R&D, and product marketing expenses, are generally applied to each segment. Indirect costs, such as manufacturing overhead and other cost of revenues, are allocated based on factors including headcount, usage, and revenue. Corporate unallocated charges includes: sales, marketing, and G&A costs, as well as share-based compensation, amortization of purchased intangible assets, restructuring and impairment charges, gains or losses on equity investments, other net income and expense, income taxes, or certain other charges. Segment contribution margin excludes these corporate unallocated charges.

27

Juniper Networks, Inc.

Notes to Condensed Consolidated Financial Statements (Continued)

The following table summarizes financial information for each segment used by the CODM for the three months ended March 31, 2012 and 2011 (in millions):

	Three Months Ended
	March 31,
	2012			2011
Net revenues:
PSD	$	824.2		$	898.6
SSD	208.3			203.0
Total net revenues	1,032.5			1,101.6
Segment contribution margin:
PSD	304.7			417.1
SSD	81.9			81.1
Total segment contribution margin	386.6			498.2
Corporate unallocated expenses (1)	(263.1		)	(252.4		)
Amortization of purchased intangible assets (2)	(7.3		)	(6.7		)
Share-based compensation expense	(65.0		)	(49.0		)
Share-based payroll tax expense	(0.4		)	(8.0		)
Restructuring and other charges	(2.0		)	0.3
Acquisition-related and other charges (3)	(1.1		)	(5.1		)
Total operating income	47.7			177.4
Other expense, net	(24.4		)	(6.5		)
Income before income taxes and noncontrolling interest	$	23.3		$	170.9

________________________________

(1) Amount includes unallocated costs for global functions such as sales, marketing, and G&A.

(2) Amount includes amortization expense of purchased intangible assets in operating expenses and in cost of revenues.

(3) Amount includes acquisition-related costs in operating expenses and in cost of revenues.

Depreciation expense allocated to the PSD segment was $28.2 million and $26.0 million in the three months ended March 31, 2012 and March 31, 2011, respectively. Depreciation expense allocated to the SSD segment was $7.9 million and $8.0 million in the three months ended March 31, 2012 and March 31, 2011, respectively.

The Company attributes revenues to geographic region based on the customer’s ship-to location. The following table shows net revenues by geographic region (in millions):

	Three Months Ended
	March 31,
	2012		2011
Americas:
United States	$	468.4	$	526.0
Other	62.9		55.6
Total Americas	531.3		581.6
Europe, Middle East, and Africa	307.1		299.9
Asia Pacific	194.1		220.1
Total	$	1,032.5	$	1,101.6

During the three months ended March 31, 2012, Verizon Communications, Inc. accounted for 15.3% of net revenues. During the three months ended March 31, 2011, no single customer accounted for 10% or more of net revenues.

28

Juniper Networks, Inc.

Notes to Condensed Consolidated Financial Statements (Continued)

The Company tracks assets by physical location. The majority of the Company’s assets, excluding cash and cash equivalents and investments, as of March 31, 2012, and December 31, 2011, were attributable to U.S. operations. As of March 31, 2012, and December 31, 2011, gross property and equipment held in the U.S., as a percentage of total property and equipment, was approximately 80%. Although management reviews asset information on a corporate level and allocates depreciation expense by segment, the CODM does not review asset information on a segment basis.

Note 14. Income Taxes

The Company recorded a tax provision of $7.0 million and $41.3 million, or effective tax rates of 30.1% and 24.1% for the three months ended March 31, 2012 and 2011, respectively.

The effective tax rates for the three months ended March 31, 2012, differ from the federal statutory rate of 35% primarily due to the benefit of earnings in foreign jurisdictions, which are subject to lower tax rates, partially offset by an increase in the Company's valuation allowance attributable to investment losses currently disallowed for income tax purposes. The effective rate for the period does not reflect the benefit of the federal R&D credit which expired on December 31, 2011.

The effective tax rate for the three months ended March 31, 2011, differs from the federal statutory rate of 35% primarily due to the federal R&D credit and the benefit of earnings in foreign jurisdictions, which are subject to lower tax rates.

The gross unrecognized tax benefits increased by approximately $2.9 million for the three months ended March 31, 2012. In the same period, a benefit primarily related to expiration of statutes of limitation in the amount of approximately $3.4 million, including interest and penalties, impacted the effective tax rate.

The Company is currently under examination by the Internal Revenue Service ("IRS") for the 2004 through 2009 tax years. The Company is also subject to two separate ongoing examinations by the India tax authorities for the 2004 tax year and 2004 through 2008 tax years, respectively. Additionally, the Company has not reached a final resolution with the IRS on an adjustment it proposed for the 1999 and 2000 tax years. The Company is not aware of any other examination by taxing authorities in any other major jurisdictions in which it files income tax returns as of March 31, 2012.

In 2011, as part of the 2005 and 2006 IRS audit, the Company received a proposed adjustment related to its intercompany R&D cost sharing arrangement for the license of intangibles acquired in 2005. In 2009, as part of the 2004 IRS audit, the Company received a similar proposed adjustment related to the license of intangibles acquired in 2004.

In 2008, the Company received a proposed adjustment from the India tax authorities related to the 2004 tax year. In 2009, the India tax authorities commenced a separate investigation of our 2004 through 2008 tax returns and are disputing the Company's determination of taxable income due to the cost basis of certain fixed assets. The Company accrued $4.6 million in penalties and interest in 2009 related to this matter. The Company understands that the India tax authorities may issue an initial assessment that is substantially higher than this amount. As a result, in accordance with the administrative and judicial process in India, the Company may be required to make payments that are substantially higher than the amount accrued in order to ultimately settle this issue. The Company strongly believes that any assessment it may receive in excess of the amount accrued would be inconsistent with applicable India tax laws and intends to defend this position vigorously.

The Company is pursuing all available administrative procedures relative to the matters referenced above. The Company believes that it has adequately provided for any reasonably foreseeable outcomes related to these proposed adjustments and the ultimate resolution of these matters is unlikely to have a material effect on its consolidated financial condition or results of operations; however there is still a possibility that an adverse outcome of these matters could have a material effect on its consolidated financial condition and results of operations. For more information, please see Note 15, Commitments and Contingencies, under the heading “IRS Notices of Proposed Adjustments.”

The Company engages in continuous discussions and negotiations with tax authorities regarding tax matters in various jurisdictions. It is reasonably possible that the balance of the gross unrecognized tax benefits will decrease by approximately $2.7 million within the next twelve months due to lapses of applicable statutes of limitation in multiple jurisdictions that the Company operated in. However, at this time, the Company is unable to make a reasonably reliable estimate of the timing of payments related to the remaining unrecognized tax liabilities due to uncertainties in the timing of tax audit outcomes.

29

Juniper Networks, Inc.

Notes to Condensed Consolidated Financial Statements (Continued)

Note 15. Commitments and Contingencies

Commitments

The following table summarizes the Company’s future principal contractual obligations as of March 31, 2012 (in millions):

	Total		2012		2013		2014		2015		2016		Thereafter		Other
Operating leases	$	293.3	$	42.9	$	47.0	$	41.3	$	34.8	$	26.9	$	100.4	$	—
Purchase commitments	136.4		136.4		—		—		—		—		—		—
Tax liabilities	111.4		—		—		—		—		—		—		111.4
Long-term debt	1,000.0		—		—		—		—		300.0		700.0		—
Interest payment on long-term debt	849.7		23.5		46.9		46.9		46.9		41.9		643.6		—
Other contractual obligations	90.8		81.0		4.8		3.0		2.0		—		—		—
Total	$	2,481.6	$	283.8	$	98.7	$	91.2	$	83.7	$	368.8	$	1,444.0	$	111.4

Operating Leases

The Company leases its facilities under operating leases that expire at various times, the longest of which expires on November 30, 2022. Future minimum payments under the non-cancelable operating leases totaled $293.3 million as of March 31, 2012. Rent expense was $15.7 million and $14.8 million for the three months ended March 31, 2012 and March 31, 2011, respectively.

Purchase Commitments

In order to reduce manufacturing lead times and ensure adequate component supply, contract manufacturers utilized by the Company place non-cancelable, non-returnable (“NCNR”) orders for components based on the Company’s build forecasts. As of March 31, 2012, there were NCNR component orders placed by the contract manufacturers with a value of $136.4 million. The contract manufacturers use the components to build products based on the Company’s forecasts and customer purchase orders received by the Company. Generally, the Company does not own the components and title to the products transfers from the contract manufacturers to the Company and immediately to the Company’s customers upon delivery at a designated shipment location. If the components remain unused or the products remain unsold for specified periods, the Company may incur carrying charges or obsolete materials charges for components that the contract manufacturers purchased to build products to meet the Company’s forecast or customer orders. As of March 31, 2012, the Company had accrued $15.6 million based on its estimate of such charges.

Tax Liabilities

As of March 31, 2012, the Company had $111.4 million included in long-term liabilities in the condensed consolidated balance sheet for unrecognized tax positions. At this time, the Company is unable to make a reasonably reliable estimate of the timing of payments related to the additional $111.4 million in liability due to uncertainties in the timing of tax audit outcomes.

Long-Term Debt and Interest Payment on Long-Term Debt

As of March 31, 2012, the Company held long-term debt with a carrying value of $999.1 million. Of these notes, $300.0 million will mature in 2016 and bears interest at a fixed rate of 3.10%, $300.0 million will mature in 2021 and bears interest at a fixed rate of 4.60%, and $400.0 million will mature in 2041 and bears interest at 5.95%. Interest on the notes is payable semiannually. See Note 10, Long-Term Debt and Financing, for further discussion of the Company's long-term debt.

Other Contractual Obligations

As of March 31, 2012, other contractual obligations primarily consisted of $29.2 million in indemnity-related and service related escrows, required by certain acquisitions completed in 2005 and 2010, $47.6 million in campus build-out obligations, and other miscellaneous commitments.

30

Juniper Networks, Inc.

Notes to Condensed Consolidated Financial Statements (Continued)

Guarantees

The Company enters into agreements with customers that contain indemnification provisions relating to potential situations where claims could be alleged that the Company’s products infringe the intellectual property rights of a third-party. The Company also has financial guarantees consisting of guarantees of product and service performance, guarantees related to third-party customer-financing arrangements, customs and duties guarantees, and standby letters of credit for certain lease facilities. As of March 31, 2012, and December 31, 2011, the Company had $19.3 million and $19.9 million, respectively, in bank guarantees and standby letters of credit related to these financial guarantees.

Legal Proceedings

The Company is involved in disputes, litigation, and other legal actions, including, but not limited to, the matters described below. The Company is aggressively defending its current litigation matters, and while the Company currently believes that there are no existing claims or proceedings that are likely to have a material adverse effect on its financial position, the outcome of these matters is currently not determinable. There are many uncertainties associated with any litigation, and these actions or other third-party claims against the Company may cause the Company to incur costly litigation and/or substantial settlement charges. In addition, the resolution of any intellectual property litigation may require the Company to make royalty payments, which could adversely affect gross margins in future periods. If any of those events were to occur, the Company's business, financial condition, results of operations, and cash flows could be adversely affected. The actual liability in any such matters may be materially different from the Company's estimates, which could result in the need to adjust the liability and record additional expenses.

2011 Federal Securities Class Action

On August 15, 2011, a purported securities class action lawsuit, captioned City of Royal Oak Retirement System v. Juniper Networks, Inc., et al., Case No. 11-cv-04003-LHK, was filed in the United States District Court for the Northern District of California naming the Company and certain of its officers and directors as defendants. The complaint alleges that the defendants made false and misleading statements regarding the Company's business and prospects. On January 9, 2012 the Court appointed City of Omaha Police and Fire Retirement System and City of Bristol Pension Fund as lead plaintiff. Lead plaintiff filed an amended complaint on February 13, 2012. The amended complaint alleges that defendants made false and misleading statements about Juniper's business and future prospects, and failed to adequately disclose the impact of certain changes in accounting rules. The amended complaint purports to assert claims for violations of Sections 10(b), 20(a) and 20A of the Securities Exchange Act of 1934 and SEC Rule 10b-5 on behalf of those who purchased or otherwise acquired Juniper's common stock between July 20, 2010 and July 26, 2011, inclusive. On March 14, 2012, Defendants filed motions to dismiss. Plaintiffs filed their opposition to the motions on April 13, 2012. The motions are scheduled to be heard by the Court on July 19, 2012.

2011 California State Derivative Lawsuits

Between August 22 and September 9, 2011, four purported shareholder derivative actions were filed in the Superior Court of the State of California, County of Santa Clara, naming certain of the Company's officers and directors as defendants. The Company is named only as a nominal defendant in the actions. The actions were consolidated as In re Juniper Networks, Inc. Shareholder Litigation, Case No. 1-11-CV-207701 (Lead Case), by order dated September 12, 2011. The complaints are generally based upon the disclosures and alleged omissions challenged in the securities class action. The complaints purport to assert claims against the defendants for breach of fiduciary duties, unjust enrichment, abuse of control, gross mismanagement, and waste of corporate assets. The complaints seek, among other relief, damages in an unspecified amount, restitution, and attorneys' fees and costs. On March 8, 2012, the Company filed a motion to stay the action until resolution of the federal securities class action discussed above, and also filed a demurrer seeking to dismiss the action for the reason that plaintiffs lack standing. The plaintiffs filed oppositions to both motions on April 5, 2012. The motions are scheduled to be heard by the Court on July 27, 2012.

2011 Federal Derivative Lawsuit

On September 27, 2011 and December 28, 2011, two purported shareholder derivative actions, captioned Ratinova v. Johnson, et al., Case No. 11-cv-04792 and Lisa E. Coppola, ERA v. Johnson, et al., Case No. 11-cv-06667, respectively, were filed in the United States District Court for the Northern District of California naming certain of the Company's officers and directors as

31

Juniper Networks, Inc.

Notes to Condensed Consolidated Financial Statements (Continued)

defendants. The Company is named only as a nominal defendant in the action. Like the state derivative actions, the federal derivative lawsuits are generally based upon the disclosures and alleged omissions challenged in the securities class action. The complaints purport to assert claims against the defendants for breach of fiduciary duties and unjust enrichment. The complaints seek, among other relief, damages in an unspecified amount, restitution, and attorneys' fees and costs. By order dated January 30, 2012, the Court consolidated the actions as In re Juniper Networks, Inc. Shareholder Derivative Litigation, Master File No. 11-cv-04792-LHK. On February 3, 2012, the parties filed a stipulation in which the parties requested that the Court stay the action until such time as the Court entered an order denying a motion to dismiss in the related federal securities class action described above. On February 6, 2012, the Court granted the parties' stipulation.

IRS Notices of Proposed Adjustments

In 2011, as a result of its audit of the Company's U.S. federal income tax returns for the 2005 and 2006 fiscal years, the IRS issued a Preliminary Notice of Deficiency (“PNOD”) regarding the Company's transfer pricing transactions under its intercompany R&D cost sharing arrangement related to the license of intangibles acquired in 2005. The asserted changes would affect the Company's income tax liabilities for tax years subsequent to 2004. Because of the PNOD, the estimated incremental tax liabilities for all relative tax years would be approximately $92 million, excluding interest and penalties. The Company has filed a protest to the proposed deficiency with the IRS.

In 2009, the Company received a PNOD from the IRS claiming that the Company owes additional taxes, plus interest and possible penalties, for the 2004 tax year based on a transfer pricing transaction related to the license of acquired intangibles under an intercompany R&D cost sharing arrangement. The asserted changes to the Company's 2004 tax year would affect the Company's income tax liabilities in tax years subsequent to 2003. In addition, the Company has not reached a final resolution with the IRS on an adjustment the IRS proposed for the 1999 and 2000 tax years. Because of the PNOD, the estimated incremental tax liability would be approximately $807 million, excluding interest and penalties. The Company has filed a protest to the PNOD, which is under review by the Appeals Division of the IRS.

The Company strongly believes the IRS' position with regard to transfer pricing transactions for the Company's 2004 through 2006 fiscal years are inconsistent with applicable tax laws, judicial precedent and existing Treasury regulations, and that the Company's previously reported income tax provisions for the years in question are appropriate. However, there can be no assurance that these matters will be resolved in the Company's favor. Regardless of whether these matters are resolved in the Company's favor, the final resolution of these matters could be expensive and time-consuming to defend and/or settle. While the Company believes it has provided adequately for these matters, there is still a possibility that an adverse outcome from these matters could have a material effect on its results of operations and financial condition.

In September 2008, as part of its ongoing audit of the U.S. federal income tax return for the 2004 fiscal year, the IRS issued a Notice of Proposed Adjustment (“NOPA”) regarding the Company's business credits. The Company believes that it has adequately provided for any reasonable foreseeable outcome related to this proposed adjustment.

The Company is also under routine examination by certain state and non-U.S. tax authorities. The Company believes that it has adequately provided for any reasonably foreseeable outcome related to these audits.

Note 16. Subsequent Event

Stock Repurchases

Subsequent to March 31, 2012, through the filing of this report, the Company repurchased 2.2 million shares of its common stock, for $44.0 million at an average purchase price of $20.09 per share, under its 2010 Stock Repurchase Program. Repurchases of 2.0 million shares were settled prior to the filing of this report and the remaining shares will be settled after the filing date. The Company's 2010 Stock Repurchase Program had remaining authorized funds of $122.2 million as of the filing date. Purchases under the Company's 2010 Stock Repurchase Program are subject to a review of the circumstances in place at the time and will be made from time to time as permitted by securities laws and other legal requirements. This program may be discontinued at any time.

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Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations

Forward-Looking Statements

This Quarterly Report on Form 10-Q (“Report”), including the “Management’s Discussion and Analysis of Financial Condition and Results of Operations,” contains forward-looking statements regarding future events and the future results of Juniper Networks, Inc. (“we,” “us,” "Juniper," or the “Company”) that are based on our current expectations, estimates, forecasts, and projections about our business, our results of operations, the industry in which we operate, and the beliefs and assumptions of our management. Words such as “expects,” “anticipates,” “targets,” “goals,” “projects,” “would,” “could,” “intends,” “plans,” “believes,” “seeks,” “estimates,” variations of such words, and similar expressions are intended to identify such forward-looking statements. These forward-looking statements are only predictions and are subject to risks, uncertainties, and assumptions that are difficult to predict. Therefore, actual results may differ materially and adversely from those expressed in any forward-looking statements. Factors that might cause or contribute to such differences include, but are not limited to, those discussed in this Report under the section entitled “Risk Factors” in Item 1A of Part II and elsewhere, and in other reports we file with the SEC, specifically our most recent Annual Report on Form 10-K. While forward-looking statements are based on reasonable expectations of our management at the time that they are made, you should not rely on them. We undertake no obligation to revise or update publicly any forward-looking statements for any reason.

The following discussion is based upon our unaudited Condensed Consolidated Financial Statements included in Part 1, Item I, of this Report, which have been prepared in accordance with U.S. generally accepted accounting principles (“U.S. GAAP”). In the course of operating our business, we routinely make decisions as to the timing of the payment of invoices, the collection of receivables, the manufacturing and shipment of products, the fulfillment of orders, the purchase of supplies, and the building of inventory and spare parts, among other matters. Each of these decisions has some impact on the financial results for any given period. In making these decisions, we consider various factors, including contractual obligations, customer satisfaction, competition, internal and external financial targets and expectations, and financial planning objectives. The preparation of these financial statements requires us to make estimates and judgments that affect the reported amounts of assets, liabilities, revenues, expenses, and related disclosure of contingencies. On an ongoing basis, we evaluate our estimates, including those related to sales returns, pricing credits, warranty costs, allowance for doubtful accounts, impairment of long-term assets, especially goodwill and intangible assets, contract manufacturer exposures for carrying and obsolete material charges, assumptions used in the valuation of share-based compensation, and litigation. We base our estimates on historical experience and on various other assumptions that we believe to be reasonable under the circumstances, the results of which form the basis for making judgments about the carrying values of assets and liabilities that are not readily apparent from other sources. For further information about our accounting policies and estimates, see Note 2, Summary of Significant Accounting Policies, in Notes to Consolidated Financial Statements in Item 8 of Part II of the Annual Report on Form 10-K for the year ended December 31, 2011, and in the section entitled “Critical Accounting Policies and Estimates” included in this “Management’s Discussion and Analysis of Financial Condition and Results of Operations.” Actual results may differ from these estimates under different assumptions or conditions.

To aid in understanding our operating results for the periods covered by this Report, we have provided a summary of our business and market environment along with a financial results overview. These sections should be read in conjunction with the more detailed discussion and analysis of our consolidated financial condition and results of operations in this Item 2, our “Risk Factors” section included in Item 1A of Part II, and our unaudited condensed consolidated financial statements and notes included in Item 1 of Part I of this report.

Business and Market Environment

At Juniper Networks, we design, develop, and sell products and services that together provide our customers with a high-performance network infrastructure built on simplicity, security, openness, and scale. We serve the high-performance networking requirements of global service providers, enterprises, governments, and research and public sector organizations that view the network as critical to their success. Our core competencies in hardware systems, silicon design, network architecture, and our open cross-network software platform are helping customers achieve unmatched performance, greater choice and flexibility while reducing overall total cost of ownership.

We do business in three geographic regions: Americas, Europe, Middle East and Africa (“EMEA”), and Asia Pacific (“APAC”). Beginning in the first quarter of 2012, we aligned our organization structure to focus on our platform and software strategy, which resulted in two business segments: Platform Systems Division ("PSD") and Software Solutions Division ("SSD"). Our PSD segment primarily offers scalable routing and switching products that are used in service provider, enterprise, and public sector networks to control and direct network traffic from data centers, core, edge, aggregation, campus, wireless local area network ("WLAN"), branch, and customer premise equipment level. Our SSD segment offers solutions that address a broad

33

array of our customers' priorities, from protecting the users, applications, and data on the network to providing network services across a distributed infrastructure. Both segments offer worldwide services, including technical support and professional services, as well as educational and training programs to our customers.

Over the past three years we have aligned our organization around a common vision for the new network and the organizational structure we have in place will effectively drive our innovative portfolio and support our customers' next-generation network requirements. Together, our high-performance product and service offerings help our customers to convert legacy networks that provide commoditized services into more valuable assets that provide differentiation, value, increased performance, reliability, and security to end-users. We remain dedicated to uncovering new ideas and innovations that will serve the exponential demands of the networked world and we will continue to build solutions that center on simplification, automation, and open innovation.

We saw traction with our new product offerings during the first quarter of 2012, including our QFabric (“QFX”) solutions, T4000 Core Routers, and PTX Series Packet Transport switches. Additionally, in the first quarter of 2012, Juniper announced the new ACX Series router, which extends network intelligence closer to the subscriber and features an open, standards-based management system with SDK-enabled programmability to enable rapid third party innovation. We expect to begin shipping ACX Series routers in the second half of 2012.

In the first quarter of 2012, we continued to experience an uncertain global macroeconomic environment in which our customers exercised care and conservatism in their investment prioritization and project deployments. We expect that our customers will continue to be cautious with their capital spending in the near term. Nevertheless, we believe the underlying fundamentals of our business remain intact and we are focused on executing our strategy to address the market trends of mobile Internet and cloud computing. As part of that strategy, we extended our security portfolio with an intrusion deception system capable of detecting an attacker before an attack is in process through the acquisition of a privately-held company, Mykonos Software, Inc. ("Mykonos"), in February 2012.

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Financial Results Overview

Our financial highlights for the three months ended March 31, 2012, and 2011 are as follows (in millions, except per share amounts and percentages):

	Three Months Ended March 31,
	2012			2011			$ Change			%Change
Net revenues	$	1,032.5		$	1,101.6		$	(69.1	)	(6	)%
Operating income	$	47.7		$	177.4		$	(129.7	)	(73	)%
Percentage of net revenues	4.6		%	16.1		%
Net income attributable to Juniper Networks	$	16.3		$	129.8		$	(113.5	)	(87	)%
Percentage of net revenues	1.6		%	11.8		%
Net income per share attributable to Juniper Networks common stockholders:
Basic	$	0.03		$	0.24		$	(0.21	)	(88	)%
Diluted	$	0.03		$	0.24		$	(0.21	)	(88	)%
Operating Cash Flows	$	102.3		$	239.7		$	(137.4	)	(57	)%
Book-to-bill	<1			<1

• Net Revenues: Our net revenues decreased in Americas and APAC, offset by a slight increase in EMEA. In addition, revenue decreased in both service provider and enterprise markets for the three months ended March 31, 2012, compared to the same periods in 2011. These decreases were primarily due to decreased sales of our T, M, and MX Series routers, partially offset by the increase in sales of our High-End SRX products, EX Series, and QFX Series switching products.

• Operating Income: Our operating income decreased as a percentage of revenues in the three months ended March 31, 2012, compared to the same period in 2011, primarily due to lower net revenue, gross margin, as well as increased expenses attributable to our investments in Sales and Marketing and Research and Development ("R&D") as we continue to increase sales coverage for our new products and invest in our innovative portfolio.

• Net Income Attributable to Juniper Networks and Net Income Per Share Attributable to Juniper Networks Common Stockholders: The decrease in net income attributable to Juniper Networks in the three months ended March 31, 2012, compared to the same period in 2011, reflects the lower operating income discussed above, and the impairment of a privately-held investment that we judged to be other-than-temporary during the first quarter of 2012.

• Operating Cash Flows: Operating cash flows decreased in the three months ended March 31, 2012, compared to the same period in 2011, primarily due to lower net income and cash collections, timing of payments to our vendors, and interest payment on our debt obligations.

• Deferred Revenue:Total deferred revenue increased by $32.6 million to $999.6 million as of March 31, 2012, compared to $967.0 million as of December 31, 2011, due to an increase in deferred service revenue driven by service contract renewals, partially offset by a decrease in deferred product revenue.

• Stock Repurchase Plan Activity:Under our stock repurchase program, we repurchased approximately 2.4 million shares of our common stock on the open market at an average price of $21.75 per share for an aggregate purchase price of $51.6 million during the three months ended March 31, 2012.

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Critical Accounting Policies and Estimates

The preparation of financial statements and related disclosures in conformity with U.S. GAAP requires us to make judgments, assumptions, and estimates that affect the amounts reported in the condensed consolidated financial statements and the accompanying notes. These estimates and assumptions are based on current facts, historical experience, and various other factors that we believe are reasonable under the circumstances to determine reported amounts of assets, liabilities, revenue and expenses that are not readily apparent from other sources. To the extent there are material differences between our estimates and the actual results, our future consolidated results of operations may be affected.

An accounting policy is considered to be critical if the nature of the estimates or assumptions is material due to the levels of subjectivity and judgment necessary to account for highly uncertain matters or the susceptibility of such matters to change, and the effect of the estimates and assumptions on financial condition or operating performance is material. The accounting policies we believe to reflect our more significant estimates, judgments and assumptions and are most critical to understanding and evaluating our reported financial results are as follows:  

• Revenue recognition;

• Contract Manufacturer Liabilities;   

• Warranty Costs;   

• Goodwill and Purchased Intangible Assets;    

• Share-Based Compensation; 

• Income Taxes; and

• Loss Contingencies.  

During the three months ended March 31, 2012, there were no significant changes to our critical accounting policies and estimates. Please refer to Management's Discussion and Analysis of Financial Condition and Results of Operations contained in Part II, Item 7 of our Annual Report on Form 10-K for the year ended December 31, 2011, for a complete discussion of our critical accounting policies and estimates.

Recent Accounting Pronouncements

See Note 2, Summary of Significant Accounting Policies, in the Notes to Condensed Consolidated Financial Statements in Item 1 of Part I of this Quarterly Report on Form 10-Q, for a full description of recent accounting pronouncements, including the actual and expected dates of adoption and estimated effects on our consolidated results of operations and financial condition, which is incorporated herein by reference.

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Results of Operations

The following table presents product and service net revenues (in millions, except percentages):

	Three Months Ended March 31,
	2012			2011			$ Change			% Change
Net revenues:
Product	$	771.9		$	877.4		$	(105.5	)	(12	)%
Percentage of net revenues	74.8		%	79.6		%
Service	260.6			224.2			36.4			16	%
Percentage of net revenues	25.2		%	20.4		%
Total net revenues	$	1,032.5		$	1,101.6		$	(69.1	)	(6	)%

The decrease in product revenues in the three months ended March 31, 2012, was primarily the result of a decline in sales of our T, M and MX Series routers, partially offset by an increase in our High-End SRX products, EX Series, and QFX Series switches. The decrease was primarily due to the overall weakness in the service provider and enterprise markets during the first quarter of 2012 attributable to the timing of capital expenditures by our customers. In the three months ended March 31, 2012, the increase in service revenue was primarily driven by strong contract renewals.

Net Revenues by Market and Customer

The following table presents the total net revenues by market (in millions, except percentages):

	Three Months Ended March 31,
	2012			2011			$ Change			% Change
Service Provider	$	685.6		$	742.2		$	(56.6	)	(8	)%
Percentage of net revenues	66.4		%	67.4		%
Enterprise	346.9			359.4			(12.5		)	(3	)%
Percentage of net revenues	33.6		%	32.6		%
Total	$	1,032.5		$	1,101.6		$	(69.1	)	(6	)%

We sell our high-performance network products and service offerings from our PSD and SSD segments to two primary markets: service provider and enterprise. Determination of which market a particular revenue transaction relates to is based primarily upon the customer's industrial classification code, but may also include subjective factors such as the intended use of the product. The service provider market generally includes wireline, wireless, and cable operators, as well as major Internet content and application providers, including those that provide social networking and search engine services. The enterprise market generally comprises businesses; federal, state, and local governments; and research and education institutions.

Net revenue from sales to the service provider market in the three months ended March 31, 2012, decreased compared to the same period in 2011, primarily due to reduced routing purchases by some of our international and content service providers.

We also experienced a decrease in revenues from the enterprise market during the three months ended March 31, 2012, compared to the same period in 2011, resulting from decreased sales of our branch Firewall products and MX Series routers, partially offset by increased sale in our EX Series switches.

In the three months ended March 31, 2012, Verizon Communications, Inc. accounted for 15.3% of our net revenues. In the three months ended March 31, 2011, no single customer accounted for 10% or more of our net revenues.

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Net Revenues by Geographic Region

The following table presents the total net revenues by geographic region (in millions, except percentages):

	Three Months Ended March 31,
	2012			2011			$ Change			% Change
Americas:
United States	$	468.4		$	526.0		$	(57.6	)	(11	)%
Other	62.9			55.6			7.3			13	%
Total Americas	531.3			581.6			(50.3		)	(9	)%
Percentage of net revenues	51.5		%	52.7		%
Europe, Middle East, and Africa	307.1			299.9			7.2			2	%
Percentage of net revenues	29.7		%	27.2		%
Asia Pacific	194.1			220.1			(26.0		)	(12	)%
Percentage of net revenues	18.8		%	20.1		%
Total	$	1,032.5		$	1,101.6		$	(69.1	)	(6	)%

Net revenue in the Americas decreased in the three months ended March 31, 2012, compared to the same periods in 2011, primarily due to decreased sales to certain content service providers in the United States. The decrease was primarily due to lower sales of our T, MX, and M Series routers in the three months ended March 31, 2012.

The increase in EMEA net revenues during the three months ended March 31, 2012, were primarily due to increased sales in Eastern Europe, and to a lesser extent, Finland and UAE. We continued to see traction in revenue growth from a top service provider in Eastern Europe, which span a broad range of our product portfolio.

The decrease in net revenues in APAC in the three months ended March 31, 2012, compared to the same period in 2011, was due to decrease in both service provider and enterprise demand for our T and MX Series routers in the three months ended March 31, 2012. The decrease was primarily due to a large service provider deployment in Japan in the three months ended March 31, 2011.

Gross Margins

The following table presents gross margins (in millions, except percentages):

	Three Months Ended March 31,
	2012			2011			$ Change			% Change
Gross margin:
Product gross margin	$	491.3		$	611.7		$	(120.4	)	(20	)%
Percentage of product revenues	63.6		%	69.7		%
Service gross margin	142.8			124.2			18.6			15	%
Percentage of service revenues	54.8		%	55.4		%
Total gross margin	$	634.1		$	735.9		$	(101.8	)	(14	)%
Percentage of net revenues	61.4		%	66.8		%

Product gross margin percentage decreased in the three months ended March 31, 2012, compared to the same periods in 2011, primarily due to the shift in product mix to lower margin products, geographical mix, as well as inventory related costs. Service gross margin percentage decreased primarily due to higher material and repair costs for fulfillment of our service contract obligations.

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Operating Expenses

The following table presents operating expenses and operating expenses as a percentage of net revenues (in millions, except percentages):

	Three Months Ended March 31,
	2012			2011			$ Change			% Change
Research and development	$	269.6		$	262.0		$	7.6		3	%
Percentage of net revenues	26.1		%	23.8		%
Sales and marketing	257.7			246.3			11.4			5	%
Percentage of net revenues	25.0		%	22.4		%
General and administrative	54.7			44.9			9.8			22	%
Percentage of net revenues	5.3		%	4.1		%
Amortization of purchased intangible assets	1.2			1.5			(0.3		)	(20	)%
Percentage of net revenues	0.1		%	0.1		%
Restructuring	2.0			(0.3		)	2.3			N/M
Percentage of net revenues	0.2		%	—		%
Acquisition-related and other charges	1.1			4.1			(3.0		)	(73	)%
Percentage of net revenues	0.1		%	0.3		%
Total operating expenses	$	586.3		$	558.5		$	27.8		5	%
Percentage of net revenues	56.8		%	50.7		%

________________________

N/M = not meaningful

R&D expense increased in the three months ended March 31, 2012, compared to the same periods in 2011, was primarily due to increase personnel expenses as well as a slight increase in engineering headcount by 0.6% from 4,175 as of March 31, 2011, to 4,202 employees as of March 31, 2012, as we continue to invest in new product innovation and expansion of our product portfolio.

Sales and marketing expenses increased in the three months ended March 31, 2012, compared to the same periods in 2011, primarily due to an increase in personnel related expenses, partially offset by lower commission during the first quarter of 2012.

General and administrative expenses increased in the three months ended March 31, 2012, compared to the same periods in 2011, primarily due to an increase of outside professional services, which include legal and consulting fees, and to a lesser extent, personnel related expenses.

Amortization of purchased intangible assets was relatively flat in the three months ended March 31, 2012, compared to the same periods in 2011, primarily due to certain intangible assets which were fully amortized in 2011, partially offset by the addition of intangible assets from acquisitions completed in the first quarter of 2012. Acquisition-related charges were lower in the three months ended March 31, 2012, compared to the three months ended March 31, 2011, primarily to due higher acquisition related costs for our acquisitions completed during the fourth quarter of 2010 and in the first quarter of 2011. See Note 3, Business Combinations,in the Notes to Condensed Consolidated Financial Statements in Item 1 of Part I of this Quarterly Report on Form 10-Q, for further discussion of these acquisitions.

We incurred $2.0 million of net restructuring charges in the three months ended March 31, 2012, as we continued to execute our 2011 Restructuring Plan, which was implemented in the third quarter of 2011 to better align our business operations with macroeconomic and other market conditions. These restructuring charges were primarily related to workforce reductions, and to a lesser extent contract terminations. As we complete the alignment next quarter, we may incur additional severance and facility costs, ranging from $6 million to $10 million in the aggregate.

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Share-Based Compensation

Share-based compensation expense associated with stock options, employee stock purchases, restricted stock units ("RSUs"), and performance share awards ("PSAs") was recorded in the following cost and expense categories (in millions, except percentages):

	Three Months Ended March 31,
	2012		2011		$ Change		% Change
Cost of revenues - Product	$	1.1	$	1.0	$	0.1	10	%
Cost of revenues - Service	5.2		3.9		1.3		33	%
Research and development	25.8		22.3		3.5		16	%
Sales and marketing	21.9		13.2		8.7		66	%
General and administrative	11.0		8.6		2.4		28	%
Total	$	65.0	$	49.0	$	16.0	33	%

Share-based compensation expense increased in the three months ended March 31, 2012, compared to the same periods in 2011, primarily due to the increase in awards granted.

Effect of Foreign Currency

The change in operating expenses, including cost of service revenue, R&D, sales and marketing, and G&A expenses, due to foreign currency fluctuations was approximately 1% in the three months ended March 31, 2012 and was immaterial for the three months ended March 31, 2011.

Other Income and Expense, Net and Income Tax Provision

The following table presents other income and expense, net and income tax provision (in millions, except percentages):

	Three Months Ended March 31,
	2012			2011			$ Change			% Change
Interest income	$	2.8		$	2.4		$	0.4		17	%
Interest expense	(14.2		)	(6.5		)	(7.7		)	N/M
Other	(13.0		)	(2.4		)	(10.6		)	N/M
Total other (expense) income, net	$	(24.4	)	$	(6.5	)	$	(17.9	)	N/M
Percentage of net revenues	(2.4		)%	(0.6		)%
Income tax provision	$	7.0		$	41.3		$	(34.3	)	(83	)%
Effective tax rate	30.1		%	24.1		%

Interest income primarily includes interest income from our cash, cash equivalents, and investments. Interest expense, primarily consisting of interest on debt outstanding, increased in the three months ended March 31, 2012, compared to the same periods in 2011, primarily due to the issuance of our debt near the end of the first quarter of 2011. Other typically consists of investment and foreign exchange gains and losses and other non-operational income and expense items. In comparison to the three months ended March 31, 2011, the increase in other was primarily due to an other-than-temporary non-cash impairment on a privately-held equity investment of $14.0 million recorded in the three months ended March 31, 2012.

The effective tax rate for the three months ended March 31, 2012, differs from the federal statutory rate of 35%, primarily due to the benefit of earnings in foreign jurisdictions, which are subject to lower tax rates, partially offset by an increase in the Company's valuation allowance attributable to investment losses currently disallowed for income tax purposes. The effective rate for the period does not reflect the benefit of the federal R&D credit which expired on December 31, 2011.

The effective tax rate for the three months ended March 31, 2011 differs from the federal statutory rate of 35%  primarily due to the federal R&D credit and the benefit of earnings in foreign jurisdictions, which are subject to lower tax rates.

For a further explanation of our income tax provision, see Note 14, Income Taxes, in Notes to Condensed Consolidated Financial Statements in Item 1 of Part I of this Quarterly Report.

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Segment Information

For a description of the products and services for each segment, See Note 13, Segments, in Notes to Condensed Consolidated Financial Statement in Item I of this Form 10-Q.

Platform Systems Division:

	Three Months Ended March 31,
	2012			2011			$ Change			% Change
	(in millions except percentages)
PSD segment revenues:
PSD product revenues:
Routers	$	457.6		$	582.8		$	(125.2	)	(21	)%
Switches	123.5			100.6			22.9			23	%
Security/other	46.3			51.4			(5.1		)	(10	)%
Total PSD product revenues	$	627.4		$	734.8		$	(107.5	)	(15	)%
PSD service revenues	196.8			163.8			33.0			20	%
Total PSD revenues	824.2			898.6			(74.4		)	(8	)%
PSD contribution margin (1)	304.7			417.1			(112.4		)	(27	)%
Percentage of PSD revenues	37.0		%	46.4		%

_______________________________

(1) A reconciliation of total segment operating income to income before taxes and noncontrolling interest can be found in Note 13, Segments, in Notes to Condensed Consolidated Financial Statement in Item I of this Form 10-Q.

During the three months ended March 31, 2012, PSD product revenues decreased compared to the same period in 2011, due to lower spending by some of our international and content service provider customers in the APAC and Americas regions, partially offset by continued demand for our switching products. The decreased was attributable to the decline in sales of our T, M, and MX Series routers, partially offset by the increase in sale of our EX Series and QFX Series switching products.

During the three months ended March 31, 2012, PSD service revenues increased compared to the same period in 2011. The increase was mainly attributable to stronger contract renewal on support services during the first quarter of 2012.

PSD contribution margin as a percent of PSD revenues decreased in the three months ended March 31, 2012, compared to the same period in 2011 due to the decline in revenues and to a lesser extent, product and geographical mix, and higher R&D expenses.

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Software Solutions Divisions:

	Three Months Ended March 31,
	2012			2011			$ Change			% Change
	(in millions except percentages)
SSD segment revenues:
SSD product revenues:
Security/other	$	122.7		$	116.6		$	6.1		5	%
Routing	$	21.8		$	26.0		$	(4.2	)	(16	)%
Total SSD product revenues	$	144.5		$	142.6		$	1.9		1	%
SSD service revenues	63.8			60.4			3.4			6	%
Total SSD revenues	208.3			203.0			5.3			3	%
SSD contribution margin (1)	81.9			81.1			0.7			1	%
Percentage of SSD revenues	39.3		%	40.0		%

_______________________________

(1) A reconciliation of total segment operating income to income before taxes and noncontrolling interest can be found in Note 13, Segments, in Notes to Condensed Consolidated Financial Statement in Item I of this Form 10-Q.

During the three months ended March 31, 2012, SSD product revenues was relatively flat compared to the same period in 2011. High-End SRX products revenue remained strong driven by service provider demand. This was partially offset by the decline in sales of our High-End Firewall and Pulse products.

During the three months ended March 31, 2012, SSD service revenues increased compared to the same period in 2011. The increase was mainly attributed to stronger contract renewal on support services during the period.

SSD contribution margin as a percent of SSD revenues decreased slightly in the three months ended March 31, 2012, compared to the same period in 2011. The decrease was attributable to increasing our R&D spend, to continue to expand our product portfolio, at a higher rate than our revenues.

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Liquidity and Capital Resources

Historically, we have funded our business primarily through our operating activities and the issuance of our common stock, and more recently, the issuance of long-term debt. The following table shows our capital resources (in millions, except percentages and days sales outstanding):

	March 31, 2012		December 31, 2011		Change			% Change
Working capital	$	2,870.3	$	2,973.0	$	(102.7	)	(3	)%
Deferred revenue	999.6		967.0		32.6			3	%
Days sales outstanding ("DSO")	39		46		(7		)	(15	)%
Cash and cash equivalents	$	2,913.1	$	2,910.4	$	2.7		—	%
Short-term investments	517.4		641.3		(123.9		)	(19	)%
Long-term investments	785.3		740.7		44.6			6	%
Total cash, cash equivalents and investments	4,215.8		4,292.4		(76.6		)	(2	)%
Long-term debt	999.1		999.0		0.1			—	%
Net cash, cash equivalents, and investments	$	3,216.7	$	3,293.4	$	(76.7	)	(2	)%

The significant components of our working capital are cash and cash equivalents, short-term investments, and accounts receivable, reduced by accounts payable, accrued liabilities, and short-term deferred revenue. Working capital decreased by $102.7 million in the three months ended March 31, 2012, primarily due to cash payments for acquisitions completed during the first quarter of 2012 and repurchases of our outstanding common stock.

DSO as of March 31, 2012 decreased by 7 days, or 15% comparing to December 31, 2011. The decrease was primarily due to improvement in overall shipment linearity.

Summary of Cash Flows

In the three months ended March 31, 2012, cash and cash equivalents increased by $2.7 million. This increase was the result of cash generated by our operating of $102.3 million, offset by cash used in investing and financing activities of $93.3 million and $6.3 million, respectively.

Operating Activities

Cash flows from operations in the three months ended March 31, 2012, was $102.3 million compared to $239.7 million for the same period in 2011. The decrease of $137.4 million was primarily due to lower net income and cash collections, timing of payments to our vendors, and interest payment on our debt obligation. The decrease is also attributable to the increase of our inventory purchases.

Investing Activities

For the three months ended March 31, 2012, net cash used in investing activities was $93.3 million compared to $209.2 million in the three months ended March 31, 2011. The change was primarily due to higher spending on acquisitions and property and equipment in the three months ended March 31, 2012, as compared to the same period a year ago, partially offset by higher proceeds from sales and maturities, net of purchases, of our investments.

Financing Activities

Net cash used in financing activities was $6.3 million for the three months ended March 31, 2012 compared to net cash generated in financing activities of $1,102.1 million for the same period in 2011. The change was primarily due to the issuance of our long-term debt on March 5, 2011, and to a lesser extent, cash proceeds from common stock issued to our employees during the first quarter of 2012. These changes were partially offset by lower share repurchases of our common stock in the first quarter of 2012 in comparison to the first quarter of 2011. For further discussion of our long-term debt, see Note 10, Long-Term Debt and Financing, in the Notes to Condensed Consolidated Financial Statements in Item 1 of Part I of this Quarterly Report on Form 10-Q.

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Stock Repurchase Activities

In February 2010, our Board of Directors (the "Board") approved a stock repurchase program (the “2010 Stock Repurchase Program”), which authorized us to repurchase up to $1.0 billion of our common stock. This authorization was in addition to the stock repurchase program approved by the Board in March 2008 (the “2008 Stock Repurchase Program”), which also enabled us to repurchase up to $1.0 billion of our common stock.

We repurchased and retired approximately 2.4 million shares of our common stock at an average price of $21.75 per share for an aggregate purchase price of $51.6 million during the three months ended March 31, 2012 under our 2010 Stock Repurchase Program. As of March 31, 2012, there were no remaining authorized funds under the 2008 Stock Repurchase Program and $162.2 million remaining authorized funds under the 2010 Stock Repurchase Program.

Deferred Revenue

The following table summarizes our deferred product and service revenues (in millions):

	As of
	March 31, 2012			December 31, 2011
Deferred product revenue:
Undelivered product commitments and other product deferrals	$	286.4		$	288.1
Distributor inventory and other sell-through items	114.0			134.0
Deferred gross product revenue	400.4			422.1
Deferred cost of product revenue	(118.4		)	(136.9		)
Deferred product revenue, net	282.0			285.2
Deferred service revenue	717.6			681.8
Total	$	999.6		$	967.0

Deferred gross product revenue as of March 31, 2012, decreased $21.7 million compared to December 31, 2011, primarily due to the release of several large product commitments delivered during the three months ended March 31, 2012. Total deferred service revenue increased $35.8 million compared to December 31, 2011, primarily due to an increase in new service contracts and renewal of existing contracts.

Contractual Obligations

There have been no significant changes during the three months ended March 31, 2012, to the contractual obligations disclosed in Management's Discussion and Analysis of Financial Condition and Results of Operations, set forth in Part II, Item 7, of our Annual Report on Form 10-K for the fiscal year ended December 31, 2011. The summary of our long-term debt obligations and related interest are presented as follows (in millions):

	Total		Less than 1 year		1-3 years		3-5 years		More than 5 years		Other
Long-term debt	$	1,000.0	$	—	$	—	$	300.0	$	700.0	$	—
Interest payment on long-term debt	849.7		46.9		93.8		84.1		624.9		—

Liquidity and Capital Resource Requirements

Liquidity and capital resources may be impacted by our operating activities as well as acquisitions and investments in strategic relationships that we have made or we may make in the future. Additionally, if we were to repurchase additional shares of our common stock under the 2010 Stock Repurchase Program, our liquidity may be impacted. As of March 31, 2012, 51% of our cash and investment balances are held outside of the U.S., which may be subject to U.S. taxes if repatriated.

In August 2010, we filed a $1.5 billion shelf registration statement with the SEC. In March 2011, we issued notes in the amount of $1.0 billion under the shelf registration statement. Therefore, while we have no current plans to do so, we may issue up to

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$500 million in additional securities under the shelf registration statement. The shelf registration statement is intended to give us flexibility to take advantage of financing opportunities as needed or deemed desirable in light of market conditions. Any additional offerings of securities under the shelf registration statement will be made pursuant to a prospectus.

We have been focused on managing our annual equity usage as a percentage of the common stock outstanding to align with peer group competitive levels and have made changes in recent years to reduce the number of shares underlying the equity awards we grant. Our intention for fiscal year 2012 is to target the number of shares underlying equity awards granted on an annual basis at 2.75% or less of our common stock outstanding. Based upon shares underlying our grants to date of options, RSUs, and PSAs (counting only the on-target measure of such PSAs), we believe we are on track with respect to this goal for 2012.

Based on past performance and current expectations, we believe that our existing cash and cash equivalents, short-term, and long-term investments (which includes the proceeds of the issuance of the notes), together with cash generated from operations as well as cash generated from the exercise of employee stock options and purchases under our employee stock purchase plan will be sufficient to fund our operations and anticipated growth for at least the next 12 months. We believe our working capital is sufficient to meet our liquidity requirements for capital expenditures, commitments, and other liquidity requirements associated with our existing operations during the same period. However, our future liquidity and capital requirements may vary materially from those now planned depending on many factors, including:

• level and mix of our product, sales, and gross profit margins;

• our business, product, capital expenditures and R&D plans;

• repurchases of our common stock;

• incurrence and repayment of debt and related interest obligations;

• litigation expenses, settlements, and judgments, or similar items related to resolution of tax audits;

• volume price discounts and customer rebates;

• accounts receivable levels that we maintain;

• acquisitions and/or funding of other businesses, assets, products, or technologies;

• changes in our compensation policies;

• capital improvements for new and existing facilities;

• technological advances;

• our competitors' responses to our products and/or pricing;

• our relationships with supplies, partners, and customers;

• possible future investments in raw material and finished goods inventories;

• expenses related to future restructuring plans, if any;

• tax expense associated with share-based awards;

• issuance of share-based awards and the related payment in cash for withholding taxes in the current year and possibly during future years;

• level of exercises of stock options and stock purchases under our equity incentive plans; and

• general economic conditions and specific conditions in our industry and markets, including the effects of disruptions in global credit and financial markets, international conflicts, and related uncertainties.

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Factors That May Affect Future Results

A description of the risk factors associated with our business is included under “Risk Factors” in Item 1A of Part II of this report.

Item 3. Quantitative and Qualitative Disclosures About Market Risk

Our exposures to market risk have not changed materially since December 31, 2011. For quantitative and qualitative disclosures about market risk, see Item 7A Quantitative and Qualitative Disclosures About Market Risk, in our Annual Report on Form 10-K for the year ended December 31, 2011.

Item 4. Controls and Procedures

Evaluation of Disclosure Controls and Procedures

Attached, as exhibits to this report are certifications of our principal executive officer and principal financial officer, which are required in accordance with Rule 13a-14 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”). This “Controls and Procedures” section includes information concerning the controls and related evaluations referred to in the certifications and it should be read in conjunction with the certifications for a more complete understanding of the topics presented.

We carried out an evaluation, under the supervision and with the participation of our management, including our principal executive officer and principal financial officer, of the effectiveness of the design and operation of our disclosure controls and procedures, as defined in Rules 13a-15(e) and 15d-15(e) under the Exchange Act. Based upon that evaluation, our principal executive officer and principal financial officer concluded that, as of the end of the period covered in this report, our disclosure controls and procedures were effective to ensure that information required to be disclosed by us in reports that we file or submit under the Exchange Act is recorded, processed, summarized, and reported within the time periods specified in Securities and Exchange Commission rules and forms and is accumulated and communicated to our management, including our principal executive officer and principal financial officer, as appropriate to allow timely decisions regarding required disclosure.

Changes in Internal Controls

There were no changes in our internal control over financial reporting that occurred during the first quarter of 2012 that have materially affected, or are reasonably likely to materially affect, our internal control over financial reporting.

Inherent Limitations on Effectiveness of Controls

Our management, including the Chief Executive Officer (“CEO”) and Chief Financial Officer (“CFO”), does not expect that our disclosure controls or our internal control over financial reporting will prevent or detect all error and all fraud. A control system, no matter how well designed and operated, can provide only reasonable, not absolute, assurance that the control system’s objectives will be met. Our controls and procedures are designed to provide reasonable assurance that our control system’s objective will be met and our CEO and CFO have concluded that our disclosure controls and procedures are effective at the reasonable assurance level. The design of a control system must reflect the fact that there are resource constraints, and the benefits of controls must be considered relative to their costs. Further, because of the inherent limitations in all control systems, no evaluation of controls can provide absolute assurance that misstatements due to error or fraud will not occur or that all control issues and instances of fraud, if any, within the Company have been detected. These inherent limitations include the realities that judgments in decision-making can be faulty and that breakdowns can occur because of simple error or mistake. Controls can also be circumvented by the individual acts of some persons, by collusion of two or more people, or by management override of these controls. The design of any system of controls is based in part on certain assumptions about the likelihood of future events. Projections of any evaluation of controls effectiveness to future periods are subject to risks. Over time, controls may become inadequate because of changes in conditions or deterioration in the degree of compliance with policies or procedures.

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PART II — OTHER INFORMATION

Item 1. Legal Proceedings

The information set forth under “Legal Proceedings” section in Note 15, Commitments and Contingencies, in Notes to Condensed Consolidated Financial Statements in Item 1 Part I of this Quarterly Report on Form 10-Q, is incorporated herein by reference.

Item 1A. Risk Factors

Factors That May Affect Future Results

Investments in our securities involve significant risks. The market price of our stock has historically reflected a higher multiple of earnings than many other companies. Accordingly, even small changes in investor expectations for our future growth and earnings, whether as a result of actual or rumored financial or operating results, changes in the mix of the products and services sold, acquisitions, industry changes, or other factors, could trigger, and have triggered in the past, significant fluctuations in the market price of our common stock. Investors in our securities should carefully consider all of the relevant factors, including, but not limited to, the following factors, that could affect our stock price.

Our quarterly results are unpredictable and subject to substantial fluctuations, and, as a result, we may fail to meet the expectations of securities analysts and investors, which could adversely affect the trading price of our common stock.

Our revenues and operating results may vary significantly from quarter-to-quarter due to a number of factors, many of which are outside of our control and any of which may cause our stock price to fluctuate.

The factors that may cause our quarterly results to be unpredictable include, but are not limited to: limited visibility into customer spending plans, changes in the mix of products and services sold, changes in geographies in which our products and services are sold, changing market and economic conditions, current and potential customer consolidation, competition, customer concentration, long sales and implementation cycles, regional economic and political conditions, and seasonality. For example, many companies in our industry experience adverse seasonal fluctuations in customer spending, particularly in the first and third quarters.

As a result of these factors, we believe that quarter-to-quarter comparisons of operating results are not necessarily a good indication of what our future performance will be. It is likely that in some future quarters, our operating results may be below the expectations of securities analysts or investors, in which case the price of our common stock may decline. Such a decline could occur, and has occurred in the past, even when we have met our publicly stated revenues and/or earnings guidance.

Fluctuating economic conditions make it difficult to predict revenues for a particular period and a shortfall in revenues or increase in costs of production may harm our operating results.

Our revenues depend significantly on general economic conditions and the demand for products in the markets in which we compete. Economic weakness, customer financial difficulties, and constrained spending on network expansion and enterprise infrastructure have in the past resulted in, and may in the future result in, decreased revenues and earnings. Such factors could make it difficult to accurately forecast sales and operating results and could negatively affect our ability to provide accurate forecasts to our contract manufacturers and manage our contract manufacturer relationships and other expenses. In addition, concerns over the sovereign debt situation in certain countries in the European Union, as well as continued turmoil in the geopolitical environment in many parts of the world, may continue to put pressure on global economic conditions, which could lead to reduced demand for our products and/or higher costs of production. Economic weakness may also lead to longer collection cycles for payments due from our customers, an increase in customer bad debt, restructuring initiatives and associated expenses, and impairment of investments. Furthermore, the continued weakness and uncertainty in worldwide credit markets, including the sovereign debt situation in certain countries in the European Union, may adversely impact the ability of our customers to adequately fund their expected capital expenditures, which could lead to delays or cancellations of planned purchases of our products or services. In addition, our operating expenses are largely based on anticipated revenue trends and a high percentage of our expenses is, and will continue to be, fixed in the short and medium term.

Uncertainty about future economic conditions also makes it difficult to forecast operating results and to make decisions about future investments. Future or continued economic weakness, failure of our customers and markets to recover from such weakness, customer financial difficulties, increases in costs of production, and reductions in spending on network maintenance and expansion could have a material adverse effect on demand for our products and consequently on our business, financial

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condition, and results of operations.

A limited number of our customers comprise a significant portion of our revenues and any decrease in revenues from these customers could have an adverse effect on our net revenues and operating results.

A substantial majority of our net revenues depend on sales to a limited number of customers and distribution partners. For example, Verizon accounted for greater than 15% of our net revenues in the first quarter of 2012. Changes in the business requirements, vendor selection, financial prospects, capital resources, and expenditures, or purchasing behavior (including product mix purchased) of our key customers could significantly decrease sales to such customers or could lead to delays or cancellations of planned purchases of our products or services, which increases the risk of quarterly fluctuations in our revenues and operating results. Any of these factors could adversely affect our business, financial condition, and results of operations.

In addition, in recent years, there has been movement towards consolidation in the telecommunications industry (for example, the acquisitions of Global Crossing by Level 3 Communications and Qwest Communications by CenturyLink) and that consolidation trend has continued. If our customers or partners are parties to consolidation transactions they may suspend or indefinitely reduce their purchases of our products or other unforeseen consequences could harm our business, financial condition, and results of operations.

The long sales and implementation cycles for our products, as well as our expectation that some customers will sporadically place large orders with short lead times, may cause our revenues and operating results to vary significantly from quarter-to-quarter.

A customer's decision to purchase certain of our products, particularly new products, involves a significant commitment of its resources and a lengthy evaluation and product qualification process. As a result, the sales cycle may be lengthy. In particular, customers making critical decisions regarding the design and implementation of large network deployments may engage in very lengthy procurement processes that may delay or impact expected future orders. Throughout the sales cycle, we may spend considerable time educating and providing information to prospective customers regarding the use and benefits of our products. Even after making the decision to purchase, customers may deploy our products slowly and deliberately. Timing of deployment can vary widely and depends on the skill set of the customer, the size of the network deployment, the complexity of the customer's network environment, and the degree of hardware and operating system configuration necessary to deploy the products. Customers with large networks usually expand their networks in large increments on a periodic basis. Accordingly, we may receive purchase orders for significant dollar amounts on an irregular basis. These long cycles, as well as our expectation that customers will tend to sporadically place large orders with short lead times, may cause revenues and operating results to vary significantly and unexpectedly from quarter-to-quarter.

We face intense competition that could reduce our revenues and adversely affect our business and financial results.

Competition is intense in the markets that we address. The PSD market has historically been dominated by Cisco, with competition coming from other companies such as Alcatel-Lucent, Brocade, Extreme Networks, Hewlett Packard Company, and Huawei. In the SSD market, we face intense competition from a broader group of companies such as Check Point, Cisco, F5 Networks, Palo Alto Networks, and Riverbed. In addition, a number of other small public and private companies have products or have announced plans for new products to address the same challenges and markets that our products address.

In addition, actual or speculated consolidation among competitors, or the acquisition of our partners and/or resellers by competitors, can increase the competitive pressures faced by us as customers may delay spending decisions. In this regard, Ericsson acquired Redback in 2007, and Brocade acquired Foundry Networks in 2009. A number of our competitors have substantially greater resources and can offer a wider range of products and services for the overall network equipment market than we do. If we are unable to compete successfully against existing and future competitors on the basis of product offerings or price, we could experience a loss in market share and revenues and/or be required to reduce prices, which could reduce our gross margins, and which could materially and adversely affect our business, financial condition, and results of operations.

We expect our gross margins to vary over time, and the level of product gross margins achieved by us in recent years may not be sustainable.

We expect our product gross margins to vary from quarter-to-quarter, and the gross margins we have achieved in recent years may not be sustainable and may be adversely affected in the future by numerous factors, including customer and product mix shifts, increased price competition in one or more of the markets in which we compete, increases in material or labor costs, excess product component or obsolescence charges from our contract manufacturers, increased costs due to changes in

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component pricing or charges incurred due to component holding periods if we do not accurately forecast product demand, warranty related issues, or our introduction of new products or entry into new markets with different pricing and cost structures.

If we receive product orders late in a quarter, we may be unable to recognize revenue for these orders in the same period, which could adversely affect our quarterly revenues.

Generally, our PSD products are not stocked by distributors or resellers due to their cost and complexity and configurations required by our customers, and we generally build such products as orders are received. In recent years, the volume of orders received late in any given fiscal quarter has generally continued to increase but remains unpredictable. If orders for certain products are received late in any quarter, we may not be able to build, ship, and recognize revenue for these orders in the same period, which could adversely affect our ability to meet our expected revenues for such quarter. Additionally, we determine our operating expenses largely on the basis of anticipated revenues and a high percentage of our expenses are fixed in the short and medium term. As a result, a failure or delay in generating or recognizing revenue could cause significant variations in our operating results and operating margin from quarter-to-quarter.

We rely on value-added and other resellers, as well as distribution partners, to sell our products, and disruptions to, or our failure to effectively develop and manage our distribution channel and the processes and procedures that support it could adversely affect our ability to generate revenues from the sale of our products.

Our future success is highly dependent upon establishing and maintaining successful relationships with a variety of value-added and other reseller and distribution partners, including our worldwide strategic partners such as Ericsson, IBM, and NSN. The majority of our revenues are derived through value-added resellers and distributors, most of which also sell our competitors’ products. Our revenues depend in part on the performance of these partners. The loss of or reduction in sales to our value-added resellers or distributors could materially reduce our revenues. For example, in 2006, one of our largest resellers, Lucent, was acquired by Alcatel, a competitor of ours. As a result of the merger, Lucent became a competitor, their resale of our products declined, and we ultimately terminated our reseller agreement with Lucent. Our competitors may in some cases be effective in providing incentives to current or potential resellers and distributors to favor their products or to prevent or reduce sales of our products. If we fail to develop and maintain relationships with our partners, fail to develop new relationships with value-added resellers and distributors in new markets, or expand the number of distributors and resellers in existing markets, fail to manage, train or motivate existing value-added resellers and distributors effectively, or if these partners are not successful in their sales efforts, sales of our products may decrease, and our business, financial condition, and results of operations would suffer.

In addition, we recognize a portion of our revenues based on a sell-through model using information provided by our distributors. If those distributors provide us with inaccurate or untimely information, the amount or timing of our revenues could be adversely impacted.

Further, in order to develop and expand our distribution channel, we must continue to offer attractive channel programs to potential partners and scale and improve our processes and procedures that support the channel. As a result, our programs, processes and procedures may become increasingly complex and inherently difficult to manage. We have previously entered into OEM agreements with partners pursuant to which they rebrand and resell our products as part of their product portfolios. These types of relationships are complex and require additional processes and procedures that may be challenging and costly to implement, maintain and manage. Our failure to successfully manage and develop our distribution channel and the programs, processes and procedures that support it could adversely affect our ability to generate revenues from the sale of our products.

Our ability to process orders and ship products in a timely manner is dependent in part on our business systems and performance of the systems and processes of third parties such as our contract manufacturers, suppliers, or other partners, as well as the interfaces between our systems and the systems of such third parties. If our systems, the systems and processes of those third parties, or the interfaces between them experience delays or fail, our business processes and our ability to build and ship products could be impacted, and our financial results could be harmed.

Some of our business processes depend upon our information technology ("IT") systems, the systems, and processes of third parties, and on the interfaces of our systems with the systems of third parties. For example, our order entry system feeds information into the systems of our contract manufacturers, which enables them to build and ship our products. If those systems fail or are interrupted, our processes may function at a diminished level or not at all. This could negatively impact our ability to ship products or otherwise operate our business, and our financial results could be harmed. For example, although it did not adversely affect our shipments, an earthquake in late December of 2006 disrupted our communications with China, where a significant part of our manufacturing occurs.

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We also rely upon the performance of the systems and processes of our contract manufacturers to build and ship our products. If those systems and processes experience interruption or delay, our ability to build and ship our products in a timely manner may be harmed. For example, as we have expanded our contract manufacturing base to China, we have experienced instances where our contract manufacturer was not able to ship products in the time periods expected by us. If we are not able to ship our products or if product shipments are delayed, our ability to recognize revenue in a timely manner for those products would be affected and our financial results could be harmed.

Telecommunications companies and our other large customers generally require more onerous terms and conditions in our contracts with them. As we seek to sell more products to such customers, we may be required to agree to terms and conditions that could have an adverse effect on our business or ability to recognize revenues.

Telecommunications service provider companies and other large companies, because of their size, generally have greater purchasing power and, accordingly, have requested and received more favorable terms from others, which often translate into more onerous terms and conditions from us. Recently, France Telecom-Orange and Deutsche Telekom AG have formed a company for the purpose of purchasing products from, and negotiating more favorable contractual terms with, suppliers. As we seek to sell more products to this class of customer, we may be required to agree to such terms and conditions, which may include terms that affect the timing of our ability to recognize revenue and have an adverse effect on our business, financial condition, and results of operations. Consolidation among such large customers can further increase their buying power and ability to require onerous terms.

For example, customers in this class have purchased products from other vendors who promised but failed to deliver certain functionality and/or had products that caused problems or outages in the networks of these customers. As a result, these customers may request additional features from us and require substantial penalties for failure to deliver such features or may require substantial penalties for any network outages that may be caused by our products. These additional requests and penalties, if we are required to agree to them, may require us to defer revenue recognition from such sales, which may negatively affect our business, financial condition, and results of operations.

We are dependent on sole source and limited source suppliers for several key components, which makes us susceptible to shortages or price fluctuations in our supply chain, and we may face increased challenges in supply chain management in the future.

During periods of high demand for electronic products, component shortages are possible, and the predictability of the availability of such components may be limited. Any future growth in our business and the economy is likely to create greater pressures on us and our suppliers to accurately forecast overall component demand and to establish optimal component levels. If shortages or delays persist, the price of these components may increase, or the components may not be available at all. We may not be able to secure enough components at reasonable prices or of acceptable quality to build new products in a timely manner, and our revenues and gross margins could suffer until other sources can be developed. For example, from time to time, we have experienced component shortages that resulted in delays of product shipments. We currently purchase numerous key components, including ASICs, from single or limited sources. The development of alternate sources for those components is time-consuming, difficult, and costly. In addition, the lead times associated with certain components are lengthy and preclude rapid changes in quantities and delivery schedules. In the event of a component shortage or supply interruption from these suppliers, we may not be able to develop alternate or second sources in a timely manner. If we are unable to buy these components in quantities sufficient to meet our requirements on a timely basis, we will not be able to deliver product to our customers, which would seriously affect present and future sales, which would, in turn, adversely affect our business, financial condition, and results of operations.

In addition, the development, licensing, or acquisition of new products in the future may increase the complexity of supply chain management. Failure to effectively manage the supply of key components and products would adversely affect our business.

System security risks, data protection breaches, and cyber-attacks could compromise our proprietary information, disrupt our internal operations and harm public perception of our security products, which could cause our business and reputation to suffer and adversely affect our stock price.

In the ordinary course of business, we store sensitive data, including intellectual property, our proprietary business information and that of our customers, suppliers and business partners on our networks. The secure maintenance of this information is critical to our operations and business strategy. Increasingly, companies, including Juniper Networks, are subject to a wide variety of attacks on their networks on an ongoing basis. Despite our security measures, Juniper Networks' information technology and infrastructure may be vulnerable to penetration or attacks by computer programmers and hackers, or breached

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due to employee error, malfeasance or other disruptions. Any such breach could compromise our networks, creating system disruptions or slowdowns and exploiting security vulnerabilities of our products, and the information stored on our networks could be accessed, publicly disclosed, lost or stolen. In addition, sophisticated hardware and operating system software and applications that we produce or procure from third parties may contain defects in design or manufacture, including "bugs" and other problems that could unexpectedly interfere with the operation of our networks.

If an actual or perceived breach of network security occurs in our network or in the network of a customer of our security products, regardless of whether the breach is attributable to our products, the market perception of the effectiveness of our products could be harmed. Because the techniques used by computer programmers and hackers, many of whom are highly sophisticated and well-funded, to access or sabotage networks change frequently and generally are not recognized until after they are used, we may be unable to anticipate or immediately detect these techniques. This could impede our sales, manufacturing, distribution or other critical functions. In addition, the economic costs to us to eliminate or alleviate cyber or other security problems, bugs, viruses, worms, malicious software systems and security vulnerabilities could be significant and may be difficult to anticipate or measure because the damage may differ based on the identity and motive of the programmer or hacker, which are often difficult to identify.

Regulation of the telecommunications industry could harm our operating results and future prospects.

The traditional telecommunications industry is highly regulated, and our business and financial condition could be adversely affected by changes in regulations relating to the Internet telecommunications industry. Currently, there are few laws or regulations that apply directly to access to or commerce on IP networks, but future regulations could include sales taxes on products sold via the Internet and Internet service provider access charges. We could be adversely affected by regulation of IP networks and commerce in any country where we market equipment and services to service or content providers. Regulations governing the range of services and business models that can be offered by service providers or content providers could adversely affect those customers' needs for products designed to enable a wide range of such services or business models. For instance, the U.S. Federal Communications Commission has issued regulations governing aspects of fixed broadband networks and wireless networks; these regulations might impact service provider and content provider business models and as such, providers' needs for Internet telecommunications equipment and services. In addition, many jurisdictions are evaluating or implementing regulations relating to cyber security, supply chain integrity, privacy and data protection, which can affect the market and requirements for networking and security equipment.

In addition, environmental regulations relevant to electronic equipment manufacturing or operations may impact our business and financial condition adversely. For instance, the European Union has adopted WEEE and ROHS regulations, which require producers of electrical and electronic equipment to assume responsibility for collecting, treating, recycling and disposing of products when they have reached the end of their useful life, and REACH regulations, which regulate handling of certain chemical substances that may be used in our products. In addition, some governments have regulations prohibiting government entities from purchasing security products that do not meet specified indigenous certification criteria, even though those criteria may be in conflict with accepted international standards. Similar regulations are in effect or under consideration in several jurisdictions where we do business.

The adoption and implementation of such regulations could decrease demand for our products, increase the cost of building and selling our products and impact our ability to ship products into affected areas and recognize revenue in a timely manner. Any of these impacts could have a material adverse effect on our business, financial condition, and results of operations.

Governmental regulations affecting the import or export of products or affecting products containing encryption capabilities could negatively affect our revenues.

Certain of our products contain or use encryption technology. The United States and various foreign governments have imposed controls, export license requirements, and restrictions on the import or export, among other things, encryption technology. In addition, from time to time, governmental agencies have proposed additional regulation of encryption technology, such as requiring certification, notifications, review of source code, or the escrow and governmental recovery of private encryption keys. For example, Russia and China recently have implemented new requirements relating to products containing encryption and India has imposed special warranty and other obligations associated with technology deemed critical. Governmental regulation of encryption or IP networking technology and regulation of imports or exports, or our failure to obtain required import or export approval for our products, could harm our international and domestic sales and adversely affect our revenues. In addition, failure to comply with such regulations could result in penalties, costs, and restrictions on import or export privileges or adversely affect sales to government agencies or government-funded projects.

If we do not successfully anticipate technological shifts, market needs and opportunities, and develop products and product

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enhancements that meet those technological shifts, needs and opportunities, or if those products are not made available in a timely manner or do not gain market acceptance, we may not be able to compete effectively and our ability to generate revenues will suffer.

We cannot guarantee that we will be able to anticipate future technological shifts, market needs and opportunities or be able to develop new products or product enhancements to meet such technological shifts, needs or opportunities in a timely manner or at all. If we fail to anticipate market requirements or fail to develop and introduce new products or product enhancements to meet those needs in a timely manner, it could cause us to lose customers, and such failure could substantially decrease or delay market acceptance and sales of our present and future products, which would significantly harm our business, financial condition, and results of operations. Even if we are able to anticipate, develop, and commercially introduce new products and enhancements, there can be no assurance that new products or enhancements will achieve widespread market acceptance.

For example, in connection with the acquisitions of Altor and Trapeze in 2010, we are now offering a virtualization security product and a WLAN product. Additionally, in 2011, we announced our new data center product, the QFabric™ solution, our mobility solutions with our MobileNext^TM software and our Converged Supercore product, which converges the optical and packet layers of the network. If these or other new products do not gain market acceptance at a sufficient rate of growth, our ability to meet future financial targets may be adversely affected. In addition, if we fail to achieve market acceptance at a sufficient rate of growth, our ability to meet future financial targets and aspirations may be adversely affected. Finally, if we fail to deliver new or announced products to the market in a timely manner, it could adversely affect the market acceptance of those products and harm our competitive position and our business and financial results.

Our ability to develop, market, and sell products could be harmed if we are unable to retain or hire key personnel.

Our future success depends upon our ability to recruit and retain the services of executive, engineering, sales and marketing, and support personnel. The supply of highly qualified individuals, in particular engineers in very specialized technical areas, or sales people specializing in the service provider and enterprise markets, is limited and competition for such individuals is intense. None of our officers or key employees is bound by an employment agreement for any specific term. The loss of the services of any of our key employees, the inability to attract or retain personnel in the future or delays in hiring required personnel, particularly engineers and sales people, and the complexity and time involved in replacing or training new employees, could delay the development and introduction of new products, and negatively impact our ability to market, sell, or support our products.

Changes in effective tax rates or adverse outcomes resulting from examination of our income or other tax returns could adversely affect our results.

Our future effective tax rates could be volatile and maybe adversely affected by: earnings being lower than anticipated in countries where we have lower statutory rates and higher than anticipated earnings in countries where we have higher statutory rates; changes in the valuation of our deferred tax assets and liabilities; expiration of, or lapses in, the R&D tax credit laws applicable to us; transfer pricing adjustments related to certain acquisitions, including the license of acquired intangibles under our intercompany R&D cost sharing arrangement; tax effects of share-based compensation; costs related to intercompany restructurings; or changes in tax laws, regulations, accounting principles, or interpretations thereof. In addition, we are subject to the continuous examination of our income tax returns by the Internal Revenue Service (“IRS”) and other tax authorities. We regularly assess the likelihood of adverse outcomes resulting from these examinations to determine the adequacy of our provision for income taxes. There can be no assurance that the outcomes from these continuous examinations will not have an adverse effect on our business, financial condition, and results of operations.

From time to time, we receive preliminary notices of deficiency or notices of proposed adjustments from the IRS claiming that we owe additional taxes, plus interest and possible penalties. For example, we received a preliminary notice of deficiency in 2011 and one in 2009 for prior tax years based on transfer pricing transactions related to the license of acquired intangibles under an intercompany R&D cost sharing arrangement. As a result of the preliminary notices of deficiency received in 2011 and 2009, the incremental tax liability would be approximately $92.0 million and $807.0 million, excluding interest and penalties, respectively. We believe the IRS' position with regard to these matters is inconsistent with applicable tax laws, judicial precedent and existing Treasury regulations, and that our previously reported income tax provisions for the years in question are appropriate. However, there can be no assurance that these matters will be resolved in our favor. Regardless of whether these matters are resolved in our favor, the final resolution of these matters could be expensive and time-consuming to defend and/or settle. While we believe we have provided adequately for these matters, there is a possibility that an adverse outcome of these matters individually or in the aggregate could have a material effect on our results of operations and financial condition.

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If we fail to accurately predict our manufacturing requirements, we could incur additional costs or experience manufacturing delays, which would harm our business.

We provide demand forecasts to our contract manufacturers and the manufacturers order components and plan capacity based on these forecasts. If we overestimate our requirements, our contract manufacturers may assess charges, or we may have liabilities for excess inventory, each of which could negatively affect our gross margins. Conversely, because lead times for required materials and components vary significantly and depend on factors such as the specific supplier, contract terms, and the demand for each component at a given time, if we underestimate our requirements, as we did in the third quarter of 2010 with respect to certain components, our contract manufacturers may have inadequate time, materials, and/or components required to produce our products, which could increase costs or could delay or interrupt manufacturing of our products and result in delays in shipments and deferral or loss of revenues.

We are dependent on contract manufacturers with whom we do not have long-term supply contracts, and changes to those relationships, expected or unexpected, may result in delays or disruptions that could cause us to lose revenues and damage our customer relationships.

We depend on independent contract manufacturers (each of which is a third-party manufacturer for numerous companies) to manufacture our products. Although we have contracts with our contract manufacturers, these contracts do not require them to manufacture our products on a long-term basis in any specific quantity or at any specific price. In addition, it is time-consuming and costly to qualify and implement additional contract manufacturer relationships. Therefore, if we fail to effectively manage our contract manufacturer relationships, or if one or more of them experiences delays, disruptions, or quality control problems in our manufacturing operations, or if we had to change or add additional contract manufacturers or contract manufacturing sites, our ability to ship products to our customers could be delayed. Also, the addition of manufacturing locations or contract manufacturers would increase the complexity of our supply chain management. Moreover, an increasing portion of our manufacturing is performed in China and other countries and is therefore subject to risks associated with doing business in other countries. Each of these factors could adversely affect our business, financial condition, and results of operations.

Upgrades to key internal systems and processes, and problems with the design or implementation of these systems and processes could interfere with, and therefore harm, our business and operations.

We previously initiated a multi-year project to upgrade certain key internal systems and processes, including our company-wide human resources management system, our customer relationship management (“CRM”) system and enterprise resource planning (“ERP”) system. In the first quarter of 2010, we implemented a major upgrade of our CRM system. In 2012 and 2013, we expect to implement major changes to our ERP system. We have invested, and will continue to invest, significant capital and human resources in the design and implementation of these systems and processes. Any disruptions or delays in the design and implementation of the new systems or processes, particularly any disruptions or delays that impact our operations, could adversely affect our ability to process customer orders, ship products, provide service and support to our customers, bill and track our customers, fulfill contractual obligations, record and transfer information in a timely and accurate manner, file SEC reports in a timely manner, or otherwise run our business. Even if we do not encounter these adverse effects, the design and implementation of these new systems and processes may be much more costly than we anticipated. If we are unable to successfully design and implement these new systems and processes as planned, or if the implementation of these systems and processes is more costly than anticipated, our business, financial condition, and results of operations could be negatively impacted.

We are a party to lawsuits, proceedings, and other disputes, which are costly to defend and, if determined adversely to us, could require us to pay damages or prevent us from taking certain actions, any or all of which could harm our business, financial condition, and results of operations.

We, and certain of our current and former officers and current and former members of our Board of Directors, are subject to various lawsuits. We have been served with lawsuits related to employment matters, commercial transactions and patent infringement as well as securities laws, a description of the securities lawsuits can be found in Note 15, Commitments and Contingencies, in Notes to Consolidated Financial Statements of this Quarterly Report on Form 10-Q, under the heading “Legal Proceedings.” There can be no assurance that these or any actions that have been or may in the future be brought against us, our officers, and our directors will be resolved favorably or that tentative settlements will become final. Regardless of whether they are resolved, these lawsuits are, and any future lawsuits or threatened legal proceedings to which we, our officers, or our directors may become a party will likely be, expensive and time-consuming to defend, settle, and/or resolve. Legal proceedings, threatened legal proceedings or investigations, regardless of their ultimate outcome, could harm our reputation. Costs of defense, as well as any losses resulting from these claims or settlement of these claims, could significantly increase

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our expenses and could harm our business, financial condition, and results of operations.

We are a party to litigation and claims regarding intellectual property rights, resolution of which may be time-consuming and expensive, as well as require a significant amount of resources to prosecute, defend, or make our products non-infringing.

Third parties have asserted and may in the future assert claims or initiate litigation related to patent, copyright, trademark, and other intellectual property rights to technologies and related standards that are relevant to our products. The asserted claims and/or initiated litigation may include claims against us or our manufacturers, suppliers, partners, or customers, alleging that our products or services infringe proprietary rights. Regardless of the merit of these claims, they have been and can be time-consuming, result in costly litigation, and may require us to develop non-infringing technologies or enter into license agreements. Furthermore, because of the potential for high awards of damages or injunctive relief that are not necessarily predictable, even arguably unmeritorious claims may be settled for significant amounts of money. If any infringement or other intellectual property claim made against us by any third-party is successful, if we are required to settle litigation for significant amounts of money, or if we fail to develop non-infringing technology or license required proprietary rights on commercially reasonable terms and conditions, our business, financial condition, and results of operations could be materially and adversely affected.

Our success depends upon our ability to effectively plan and manage our resources and restructure our business through rapidly fluctuating economic and market conditions.

Our ability to successfully offer our products and services in a rapidly evolving market requires an effective planning, forecasting, and management process to enable us to effectively scale and adjust our business in response to fluctuating market opportunities and conditions. In periods of market expansion, we have increased investment in our business by, for example, increasing headcount and increasing our investment in R&D, sales and marketing, and other parts of our business as we have in the 2011 fiscal year and in the first quarter of 2012. Conversely, during 2009, in response to downward trending industry and market conditions, we restructured our business, rebalanced our workforce, and reduced our real estate portfolio. Many of our expenses, such as real estate expenses, cannot be rapidly or easily adjusted because of fluctuations in our business or numbers of employees. Moreover, rapid changes in the size of our workforce could adversely affect our ability to develop and deliver products and services as planned or impair our ability to realize our current or future business objectives.

We are subject to risks arising from our international operations, which may adversely affect our business, financial condition, and results of operations.

We derive a majority of our revenues from our international operations, and we plan to continue expanding our business in international markets in the future. We conduct significant sales and customer support operations directly and indirectly through our distributors and value-added resellers in countries throughout the world and depend on the operations of our contract manufacturers and suppliers that are located outside of the United States. In addition, a portion of our R&D and our general and administrative operations are conducted outside the United States. In some countries, we may experience reduced intellectual property protection.

As a result of our international operations, we are affected by economic, regulatory, social, and political conditions in foreign countries, including changes in general IT spending, the imposition of government controls, including critical infrastructure protection, changes or limitations in trade protection laws, other regulatory requirements, which may affect our ability to import or export our products from various countries, service provider and government spending patterns affected by political considerations, unfavorable changes in tax treaties or laws, natural disasters, epidemic disease, labor unrest, earnings expatriation restrictions, misappropriation of intellectual property, military actions, acts of terrorism, political and social unrest and difficulties in staffing and managing international operations. Any or all of these factors could have a material adverse impact on our business, financial condition, and results of operations.

Moreover, local laws and customs in many countries differ significantly from those in the United States. In many foreign countries, particularly in those with developing economies, it is common for others to engage in business practices that are prohibited by our internal policies and procedures or United States regulations applicable to us. There can be no assurance that our employees, contractors, and agents will not take actions in violation of our policies and procedures, which are designed to ensure compliance with U.S. and foreign laws and policies. Violations of laws or key control policies by our employees, contractors, or agents could result in financial reporting problems, fines, penalties, or prohibition on the importation or exportation of our products, and could have a material adverse effect on our business, financial condition and results of operations.

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We are exposed to fluctuations in currency exchange rates, which could negatively affect our financial condition and results of operations.

Because a majority of our business is conducted outside the United States, we face exposure to adverse movements in non-U.S. currency exchange rates. These exposures may change over time as business practices evolve and could have a material adverse impact on our financial condition and results of operations.

The majority of our revenues and expenses are transacted in U.S. Dollars. We also have some transactions that are denominated in foreign currencies, primarily the British Pound, Euro, Indian Rupee, and Japanese Yen related to our sales and service operations outside of the United States. An increase in the value of the U.S. Dollar could increase the real cost to our customers of our products in those markets outside the United States in which we sell in U.S. Dollars, and a weakened U.S. Dollar could increase the cost of local operating expenses and procurement of raw materials to the extent we must purchase components in foreign currencies.

Currently, we hedge only those currency exposures associated with certain assets and liabilities denominated in nonfunctional currencies and periodically hedge anticipated foreign currency cash flows. The hedging activities undertaken by us are intended to offset the impact of currency fluctuations on certain nonfunctional currency assets and liabilities. However, no amount of hedging can be effective against all circumstances, including long-term declines in the value of the U.S. Dollar. If our attempts to hedge against these risks are not successful, or if long-term declines in the value of the U.S. Dollar persist, our financial condition and results of operations could be adversely impacted.

Integration of acquisitions could disrupt our business and harm our financial condition and stock price and may dilute the ownership of our stockholders.

We have made, and may continue to make, acquisitions in order to enhance our business. For example, in February 2012, we acquired Mykonos, and in 2010 we acquired Altor, Trapeze, SMobile, and Ankeena. Acquisitions involve numerous risks, including problems combining the purchased operations, technologies or products, unanticipated costs, diversion of management's attention from our core businesses, adverse effects on existing business relationships with suppliers and customers, risks associated with entering markets in which we have no or limited prior experience, and potential loss of key employees. There can be no assurance that we will be able to integrate successfully any businesses, products, technologies, or personnel that we might acquire. The integration of businesses that we may acquire is likely to be a complex, time-consuming, and expensive process and we may not realize the anticipated revenues or other benefits associated with our acquisitions if we fail to successfully manage and operate the acquired business. If we fail in any acquisition integration efforts and are unable to efficiently operate as a combined organization utilizing common information and communication systems, operating procedures, financial controls, and human resources practices, our business, financial condition, and results of operations may be adversely affected.

Acquisitions may also require us to issue common stock or assume equity awards that dilute the ownership of our current stockholders, assume liabilities, record goodwill and amortizable intangible assets that will be subject to impairment testing on a regular basis and potential periodic impairment charges, incur amortization expenses related to certain intangible assets, and incur large and immediate write-offs and restructuring and other related expenses, all of which could harm our financial condition and results of operations.

If we fail to adequately evolve our financial and managerial control and reporting systems and processes, our ability to manage and grow our business will be negatively affected.

Our ability to successfully offer our products and implement our business plan in a rapidly evolving market depends upon an effective planning and management process. We will need to continue to improve our financial and managerial control and our reporting systems and procedures in order to manage our business effectively in the future. If we fail to continue to implement improved systems and processes, our ability to manage our business, financial condition, and results of operations may be negatively affected.

Our financial condition and results of operations could suffer if there is an additional impairment of goodwill or other intangible assets with indefinite lives.

We are required to test annually and review on an interim basis, our goodwill and intangible assets with indefinite lives, including the goodwill associated with past acquisitions and any future acquisitions, to determine if impairment has occurred. As of March 31, 2012, our goodwill was $3,987.7 million. If such assets are deemed impaired, an impairment loss equal to the amount by which the carrying amount exceeds the fair value of the assets would be recognized. This would result in

55

incremental expenses for that quarter, which would reduce any earnings or increase any loss for the period in which the impairment was determined to have occurred. For example, such impairment could occur if the market value of our common stock falls below certain levels for a sustained period, or if the portions of our business related to companies we have acquired fail to grow at expected rates or decline. In the second quarter of 2006, our impairment evaluation resulted in a reduction of $1,280.0 million to the carrying value of goodwill on our balance sheet for the SLT operating segment, primarily due to the decline in our market capitalization that occurred over a period of approximately nine months prior to the impairment review and, to a lesser extent, a decrease in forecasted future cash flows. In recent years, economic weakness contributed to extreme price and volume fluctuations in global stock markets that reduced the market price of many technology company stocks, including ours. Future declines in our stock price, as well as any marked decline in our level of revenues or gross margins, increase the risk that goodwill and intangible assets may become impaired in future periods. We cannot accurately predict the amount and timing of any impairment of assets.

Our products are highly technical and if they contain undetected errors or do not meet customer quality expectations, our business could be adversely affected, and we may be subject to lawsuits or be required to pay damages in connection with any alleged or actual failure of our products and services.

Our products are highly technical and complex, are critical to the operation of many networks, and, in the case of our security products, provide and monitor network security and may protect valuable information. Our products have contained and may contain one or more undetected errors, defects, malware, or security vulnerabilities. Some errors in our products may only be discovered after a product has been installed and used by end-customers. Any errors, defects, malware or security vulnerabilities discovered in our products after commercial release could result in loss of revenues or delay in revenue recognition, loss of customers, loss of future business and reputation, penalties, and increased service and warranty cost, any of which could adversely affect our business, financial condition, and results of operations. In addition, in the event an error, defect, malware, or vulnerability is attributable to a component supplied by a third-party vendor, we may not be able to recover from the vendor all of the costs of remediation that we may incur. In addition, we could face claims for product liability, tort, or breach of warranty. Defending a lawsuit, regardless of its merit, is costly and may divert management’s attention. If our business liability insurance coverage is inadequate, or future coverage is unavailable on acceptable terms or at all, our financial condition and results of operations could be harmed. Moreover, if our products fail to satisfy our customers' quality expectations for whatever reason, the perception of and the demand for our products could be adversely affected.

If our products do not interoperate with our customers’ networks, installations will be delayed or cancelled and could harm our business.

Our products are designed to interface with our customers’ existing networks, each of which have different specifications and utilize multiple protocol standards and products from other vendors. Many of our customers’ networks contain multiple generations of products that have been added over time as these networks have grown and evolved. Our products must interoperate with many or all of the products within these networks as well as future products in order to meet our customers’ requirements. If we find errors in the existing software or defects in the hardware used in our customers’ networks, we may need to modify our software or hardware to fix or overcome these errors so that our products will interoperate and scale with the existing software and hardware, which could be costly and could negatively affect our business, financial condition, and results of operations. In addition, if our products do not interoperate with those of our customers’ networks, demand for our products could be adversely affected or orders for our products could be cancelled. This could hurt our operating results, damage our reputation, and seriously harm our business and prospects.

Our products incorporate and rely upon licensed third-party technology, and if licenses of third-party technology do not continue to be available to us or become very expensive, our revenues and ability to develop and introduce new products could be adversely affected.

We integrate licensed third-party technology into certain of our products. From time to time, we may be required to license additional technology from third-parties to develop new products or product enhancements. Third-party licenses may not be available or continue to be available to us on commercially reasonable terms. The failure to comply with the terms of any license may result in our inability to continue to use such license. Our inability to maintain or re-license any third-party licenses required in our products or our inability to obtain third-party licenses necessary to develop new products and product enhancements, could require us, if possible, to develop substitute technology or obtain substitute technology of lower quality or performance standards or at a greater cost, any of which could delay or prevent product shipment and harm our business, financial condition, and results of operations.

We sell our products to customers that use those products to build networks and IP infrastructure, and if the demand for network and IP systems does not continue to grow, then our business, financial condition, and results of operations could be

56

adversely affected.

A substantial portion of our business and revenues depends on the growth of secure IP infrastructure and on the deployment of our products by customers that depend on the continued growth of IP services. As a result of changes in the economy capital spending or the building of network capacity in excess of demand, all of which have in the past particularly affected telecommunications service providers, spending on IP infrastructure can vary, which could have a material adverse effect on our business, financial condition, and results of operations. In addition, a number of our existing customers are evaluating the build out of their next generation networks. During the decision-making period when the customers are determining the design of those networks and the selection of the equipment they will use in those networks, such customers may greatly reduce or suspend their spending on secure IP infrastructure. Such delays in purchases can make it more difficult to predict revenues from such customers, can cause fluctuations in the level of spending by these customers and, even where our products are ultimately selected, can have a material adverse effect on our business, financial condition, and results of operations.

While we believe that we currently have adequate internal control over financial reporting, we are exposed to risks from legislation requiring companies to evaluate those internal controls.

Section 404 of the Sarbanes-Oxley Act of 2002 requires our management to report on, and our independent auditors to attest to, the effectiveness of our internal control over financial reporting. We have an ongoing program to perform the system and process evaluation and testing necessary to comply with these requirements. We have and will continue to incur significant expenses and devote management resources to Section 404 compliance on an ongoing basis. In the event that our Chief Executive Officer, Chief Financial Officer, or independent registered public accounting firm determine in the future that, our internal controls over financial reporting are not effective as defined under Section 404, investor perceptions may be adversely affected if our financial statements are not reliable and could cause a decline in the market price of our stock and otherwise negatively affect our liquidity and financial condition.

The investment of our cash balance and our investments in government and corporate debt securities are subject to risks, which may cause losses and affect the liquidity of these investments.

At March 31, 2012, we had $2,913.1 million in cash and cash equivalents and $1,302.7 million in short- and long-term investments. We have invested these amounts primarily in U.S. government securities, government-sponsored enterprise obligations, foreign government debt securities, corporate notes and bonds, commercial paper, and money market funds meeting certain criteria. Certain of these investments are subject to general credit, liquidity, market, and interest rate risks, which may be exacerbated by U.S. sub-prime mortgage defaults that have affected various sectors of the financial markets and caused credit and liquidity issues at many financial institutions. Our future investment income may fall short of expectations due to changes in interest rates or if the decline in fair value of our publicly traded debt or equity investments is judged to be other-than-temporary. These market risks associated with our investment portfolio may have a negative adverse effect on our liquidity, financial condition, and results of operations.

We may be unable to generate the cash flow to service our debt obligations, including the Senior Notes.

In March2011, we issued senior unsecured notes for an aggregate principle amount of $1.0 billion (see discussion in Note 10, Long-Term Debt and Financing, in the Notes to Condensed Consolidated Financial Statements). We may not be able to generate sufficient cash flow to enable us to service our indebtedness, including the notes, or to make anticipated capital expenditures. Our ability to pay our expenses and satisfy our debt obligations, refinance our debt obligations and fund planned capital expenditures will depend on our future performance, which will be affected by general economic, financial, competitive, legislative, regulatory and other factors beyond our control. Based upon current levels of operations, we believe cash flow from operations and available cash will be adequate for the foreseeable future to meet our anticipated requirements for working capital, capital expenditures and scheduled payments of principal and interest on our indebtedness, including the senior notes. However, if we are unable to generate sufficient cash flow from operations or to borrow sufficient funds in the future to service our debt, we may be required to sell assets, reduce capital expenditures, refinance all or a portion of our existing debt (including the senior notes) or obtain additional financing. There is no assurance that we will be able to refinance our debt, sell assets or borrow more money on terms acceptable to us, or at all.

The indenture that governs the senior notes also contains various covenants that limit our ability and the ability of our subsidiaries to, among other things:

• incur liens;

• incur sale and leaseback transactions; and

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• consolidate or merge with or into, or sell substantially all of our assets to, another person

As a result of these covenants, we are limited in the manner in which we can conduct our business, and we may be unable to engage in favorable business activities or finance future operations or capital needs. Accordingly, these restrictions may limit our ability to successfully operate our business. A failure to comply with these restrictions could lead to an event of default, which could result in an acceleration of the indebtedness. Our future operating results may not be sufficient to enable compliance with these covenants to remedy any such default. In addition, in the event of an acceleration, we may not have or be able to obtain sufficient funds to make any accelerated payments, including those under the senior notes.

Uninsured losses could harm our operating results.

We self-insure against many business risks and expenses, such as intellectual property litigation and our medical benefit programs, where we believe we can adequately self-insure against the anticipated exposure and risk or where insurance is either not deemed cost-effective or is not available. We also maintain a program of insurance coverage for various types of property, casualty, and other risks. We place our insurance coverage with various carriers in numerous jurisdictions. The types and amounts of insurance that we obtain vary from time to time and from location to location, depending on availability, cost, and our decisions with respect to risk retention. The policies are subject to deductibles, policy limits, and exclusions that result in our retention of a level of risk on a self-insurance basis. Losses not covered by insurance could be substantial and unpredictable and could adversely affect our financial condition and results of operations.

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds.

There were no unregistered sales of equity securities during the period covered by this report.

(c) Issuer Purchases of Equity Securities

Period	Total Number of Shares Purchased (2)	Average Price Paid per Share (2)		Total Number of Shares Purchased as Part of Publicly Announced Plans or Programs (1)	Maximum Dollar Value of Shares that May Yet Be Purchased Under the Plans or Programs (1)
January 1 - January 31, 2012	—	$	—	—	$	213,834,490
February 1 - February 29, 2012	2,560,725	21.90		2,373,229	162,225,622
March 1 - March 31, 2012	—	—		—	162,225,622
Total	2,560,725	$	21.90	2,373,229

________________________________

(1) Shares were repurchased under the stock repurchase program approved by the Board in February 2010 (the “2010 Stock Repurchase Program”), which authorized the Company to purchase up to an additional $1.0 billion of the Company's common stock. Future share repurchases under the Company's 2010 Stock Repurchase Program will be subject to a review of the circumstances in place at that time and will be made from time to time in private transactions or open market purchases as permitted by securities laws and other legal requirements. This program may be discontinued at any time. As of March 31, 2012, the 2010 Stock Repurchase Program had $162,225,622 remaining authorized funds available for future stock repurchases.

(2) Amounts include repurchases under the Company's stock repurchase program and repurchases of the Company's common stock from its employees in connection with net issuance of shares to satisfy the employee tax withholding obligations for the vesting of certain restricted stock units and performance share awards. We repurchased an immaterial amount of shares of common stock from our employees in connection with net issuances during the three months ended March 31, 2012. All shares of common stock that have been repurchased under the Company's stock repurchase programs and from its employees in connection with net issuances have been retired.

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Item 6. Exhibits

Exhibit Number	Description of Document
3.1	Amended and Restated Bylaws of Juniper Networks, Inc. (incorporated by reference to Exhibit 3.2 to the Company's Annual Report on Form 10-K filed with the Securities and Exchange Commission on February 24, 2012)
10.1	Description of 2012 Executive Annual Incentive Plan (incorporated by reference to Item 5.02 of the Company's Current Report on Form 8-K filed with the Securities and Exchange Commission on February 21, 2012)
10.2	Form of Severance Agreement for Certain Officers first used in April 2012*
10.3	Form of Change of Control Agreement for Certain Officers first used in April 2012*
12.1	Computation of Ratio of Earnings to Fixed Charges*
31.1	Certification of Chief Executive Officer pursuant to Rule 13a-14(a)/15d-14(a) of the Securities Exchange Act of 1934*
31.2	Certification of Chief Financial Officer pursuant to Rule 13a-14(a)/15d-14(a) of the Securities Exchange Act of 1934*
32.1	Certification of Chief Executive Officer pursuant to 18 U.S.C. Section 1350*
32.2	Certification of Chief Financial Officer pursuant to 18 U.S.C. Section 1350*
101	The following materials from Juniper Network Inc.'s Quarterly Report on Form 10-Q for the quarter ended March 31, 2012, formatted in XBRL (Extensible Business Reporting Language): (i) the Condensed Consolidated Statements of Comprehensive Income, (ii) the Condensed Consolidated Balance Sheets, and (iii) the Condensed Consolidated Statements of Cash Flows, and (iv) Notes to Condensed Consolidated Financial Statements*
101.INS	XBRL Instance Document*
101.SCH	XBRL Taxonomy Extension Schema Document*
101.CAL	XBRL Taxonomy Extension Calculation Linkbase Document*
101.DEF	XBRL Taxonomy Extension Definition Linkbase Document*
101.LAB	XBRL Taxonomy Extension Label Linkbase Document*
101.PRE	XBRL Taxonomy Extension Presentation Linkbase Document*

*Filed herewith.

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SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant had duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

	Juniper Networks, Inc.
May 9, 2012	By:	/s/ Robyn M. Denholm
		Robyn M. Denholm
		Executive Vice President and Chief Financial Officer (Duly Authorized Officer and Principal Financial Officer)
May 9, 2012	By:	/s/ Gene Zamiska
		Gene Zamiska
		Vice President, Finance and Corporate Controller (Duly Authorized Officer and Principal Accounting Officer)

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Exhibit Index

Exhibit Number	Description of Document
3.1	Amended and Restated Bylaws of Juniper Networks, Inc. (incorporated by reference to Exhibit 3.2 to the Company's Annual Report on Form 10-K filed with the Securities and Exchange Commission on February 24, 2012)
10.1	Description of 2012 Executive Annual Incentive Plan (incorporated by reference to Item 5.02 of the Company's Current Report on Form 8-K filed with the Securities and Exchange Commission on February 21, 2012)
10.2	Form of Severance Agreement for Certain Officers first used in April 2012*
10.3	Form of Change of Control Agreement for Certain Officers first used in April 2012*
12.1	Computation of Ratio of Earnings to Fixed Charges*
31.1	Certification of Chief Executive Officer pursuant to Rule 13a-14(a)/15d-14(a) of the Securities Exchange Act of 1934*
31.2	Certification of Chief Financial Officer pursuant to Rule 13a-14(a)/15d-14(a) of the Securities Exchange Act of 1934*
32.1	Certification of Chief Executive Officer pursuant to 18 U.S.C. Section 1350*
32.2	Certification of Chief Financial Officer pursuant to 18 U.S.C. Section 1350*
101	The following materials from Juniper Network Inc.'s Quarterly Report on Form 10-Q for the quarter ended March 31, 2012, formatted in XBRL (Extensible Business Reporting Language): (i) the Condensed Consolidated Statements of Comprehensive Income, (ii) the Condensed Consolidated Balance Sheets, and (iii) the Condensed Consolidated Statements of Cash Flows, and (iv) Notes to Condensed Consolidated Financial Statements*
101.INS	XBRL Instance Document*
101.SCH	XBRL Taxonomy Extension Schema Document*
101.CAL	XBRL Taxonomy Extension Calculation Linkbase Document*
101.DEF	XBRL Taxonomy Extension Definition Linkbase Document*
101.LAB	XBRL Taxonomy Extension Label Linkbase Document*
101.PRE	XBRL Taxonomy Extension Presentation Linkbase Document*

*Filed herewith.

61

EX-10.2

Exhibits 10.2

JUNIPER NETWORKS, INC.

SEVERANCE AGREEMENT

This Severance Agreement (the “Agreement”) is made and entered into by and between __________________ (the “Employee”) and Juniper Networks, Inc., a Delaware Corporation (the “Company”), effective on the last date signed below.

RECITALS

The Compensation Committee believes that it is imperative to provide the Employee with certain severance benefits upon certain terminations of employment. These benefits will provide the Employee with enhanced financial security and incentive and encouragement to remain with the Company.

Certain capitalized terms used in the Agreement are defined below.

AGREEMENT

NOW, THEREFORE, in consideration of the mutual covenants contained herein, the parties hereto agree as follows:

1.Term of Agreement. This Agreement shall terminate upon the later of (i) January 1, 2015 or (ii) if Employee is terminated involuntarily by Company without Cause prior to January 1, 2015, the date that all of the obligations of the parties hereto with respect to this Agreement have been satisfied.

2.At-Will Employment. The Company and the Employee acknowledge that the Employee's employment is and shall continue to be at-will, as defined under applicable law, except as may otherwise be specifically provided by applicable law or under the terms of any written formal employment agree-ment or offer letter between the Company and the Employee (an “Employment Agreement”). This Agreement does not constitute an agreement to employ Employee for any specific time.

3.Severance Benefits.

(a)In the event the Employee is terminated involuntarily by Company without Cause, as defined below, and provided the Employee executes and does not revoke a full release of claims with the Company (in a form satisfactory to the Company) (the “Release”), the Employee will be entitled to receive the severance benefits set out in subsections (i) and (ii). For purposes of this Agreement, “Cause” is defined as: (i) willfully engaging in gross misconduct that is demonstrably injurious to Company; (ii) willful act or acts of dishonesty or malfeasance undertaken by the individual; (iii) conviction of or a plea of nolo contendere to a felony; or (iv) willful and continued refusal or failure to substantially perform duties with Company (other than incapacity due to physical or mental illness); provided that the action or conduct described in clause (iv) above will constitute “Cause” only if such failure continues after the Company's CEO, COO or Board of Directors has provided the individual with a written demand for substantial performance setting forth in detail the specific respects in which it believes the individual has willfully and not substantially performed the individual's duties thereof and has been provided a reasonable opportunity (to be not less than 30 days) to cure the same.

(i)A cash payment in a lump sum (less any withholding taxes) equal to [12 months for Grade 15, 15 months for Grade 16, 16.5 months for Grade 17] of base salary (as in effect immediately prior to the termination).

(ii)In lieu of continuation of benefits, Employee shall receive $18,000 (whether or not Employee elects COBRA).

(b)Release Effectiveness. The receipt of any severance pursuant to Section 3(a) will be subject to Employee signing and not revoking the Release and further subject to the Release becoming effective within fifty-two (52) days following Employee's termination of employment.

(c)Timing of Severance Payments. Any cash severance payment to which Employee is entitled shall be paid by the Company to Employee in a single lump sum in cash on the fifty-third (53^rd) day after Employee's termination of employment.

(d)Change of Control Benefits. In the event the Employee receives severance and other benefits pursuant to a

change in control agreement that are greater than or equal to the amounts payable hereunder, then the Employee shall not be entitled to receive severance or any other benefits under this Agreement.

(e)Section 409A.

(i)Notwithstanding anything to the contrary in this Agreement, if Employee is a “specified employee” within the meaning of Section 409A of the Internal Revenue Code of 1986, as amended (the “Code”) and the final regulations and any guidance promulgated thereunder (“Section 409A”) at the time of Employee's termination (other than due to death) or resignation, then the severance payable to Employee, if any, pursuant to this Agreement, when considered together with any other severance payments or separation benefits that are considered deferred compensation under Section 409A (together, the “Deferred Compensation Separation Benefits”) that are payable within the first six (6) months following Employee's termination of employment, will become payable on or within ten days following the first payroll date that occurs on or after the date six (6) months and one (1) day following the date of Employee's termination of employment. All subsequent Deferred Compensation Separation Benefits, if any, will be payable in accordance with the payment schedule applicable to each payment or benefit. Notwithstanding anything herein to the contrary, if Employee dies following his termination but prior to the six (6) month anniversary of his termination, then any payments delayed in accordance with this paragraph will be payable in a lump sum as soon as administratively practicable after the date of Employee's death and all other Deferred Compensation Separation Benefits will be payable in accordance with the payment schedule applicable to each payment or benefit. Each payment and benefit payable under this Agreement is intended to constitute separate payments for purposes of Section 1.409A-2(b)(2) of the Treasury Regulations.

(ii)Any amount paid under this Agreement that satisfies the requirements of the “short-term deferral” rule set forth in Section 1.409A-1(b)(4) of the Treasury Regulations shall not constitute Deferred Compensation Separation Benefits for purposes of clause (i) above.

(iii)Any amount paid under this Agreement that qualifies as a payment made as a result of an involuntary separation from service pursuant to Section 1.409A-1(b)(9)(iii) of the Treasury Regulations that do not exceed the Section 409A Limit shall not constitute Deferred Compensation Separation Benefits for purposes of clause (i) above. “Section 409A Limit” will mean the lesser of two (2) times: (i) Employee's annualized compensation based upon the annual rate of pay paid to Employee during the Employee's taxable year preceding the Employee's taxable year of Employee's termination of employment as determined under, and with such adjustments as are set forth in, Treasury Regulation 1.409A-1(b)(9)(iii)(A)(1) and any Internal Revenue Service guidance issued with respect thereto; or (ii) the maximum amount that may be taken into account under a qualified plan pursuant to Section 401(a)(17) of the Code for the year in which Employee's employment is terminated.

(iv)The foregoing provisions are intended to comply with the requirements of Section 409A so that none of the severance payments and benefits to be provided hereunder will be subject to the additional tax imposed under Section 409A, and any ambiguities herein will be interpreted to so comply. The Company and Employee agree to work together in good faith to consider amendments to this Agreement and to take such reasonable actions which are necessary, appropriate or desirable to avoid imposition of any additional tax or income recognition prior to actual payment to Employee under Section 409A.

4.Successors.

(a)The Company's Successors. Any successor to the Company (whether direct or indirect and whether by purchase, merger, consolidation, liquidation or otherwise) to all or substantially all of the Company's business and/or assets shall assume the obligations under this Agreement and agree expressly to perform the obligations under this Agreement in the same manner and to the same extent as the Company would be required to perform such obligations in the absence of a succession. For all purposes under this Agreement, the term “Company” shall include any successor to the Company's business and/or assets which executes and delivers the assumption agreement described in this Section 4(a) or which becomes bound by the terms of this Agreement by operation of law. The term “Company” shall also include any direct or indirect that is majority owned by Juniper Networks, Inc.

(b)The Employee's Successors. The terms of this Agreement and all rights of the Employee hereunder shall inure to the benefit of, and be enforceable by, the Employee's personal or legal representatives, executors, administrators, successors, heirs, distributees, devisees and legatees.

5.Notice. All notices and other communications required or permitted here-under shall be in writing, shall be effective when given, and shall in any event be deemed to be given upon receipt or, if earlier, (a) five (5) days after deposit with the U.S. Postal Service or other applicable postal service, if delivered by first class mail, postage prepaid, (b) upon delivery, if delivered by hand, (c) one (1) business day after the business day of deposit with Federal Express or similar overnight courier,

freight prepaid or (d) one (1) business day after the business day of facsimile transmission, if delivered by facsimile transmission with copy by first class mail, postage prepaid, and shall be addressed (i) if to Employee, at his or her last known residential address and (ii) if to the Company, at the address of its principal corporate offices (attention: Secretary), or in any such case at such other address as a party may designate by ten (10) days' advance written notice to the other party pursuant to the provisions above.

6.Miscellaneous Provisions.

(a)No Duty to Mitigate. The Employee shall not be required to mitigate the amount of any payment contemplated by this Agreement, nor shall any such payment be reduced by any earnings that the Employee may receive from any other source.

(b)Waiver. No provision of this Agreement shall be modified, waived or discharged unless the modification, waiver or discharge is agreed to in writing and signed by the Employee and by an authorized officer of the Company (other than the Employee). No waiver by either party of any breach of, or of compliance with, any condition or provision of this Agreement by the other party shall be considered a waiver of any other condition or provision or of the same condition or provision at another time.

(c)Headings. All captions and section headings used in this Agreement are for convenient reference only and do not form a part of this Agreement.

(d)Entire Agreement. This Agreement constitutes the entire agreement of the parties hereto and supersedes in their entirety all prior representations, understandings, undertakings or agreements (whether oral or written and whether expressed or implied) of the parties with respect to the subject matter hereof.

(e)Choice of Law. The validity, interpretation, construction and performance of this Agreement shall be governed by the laws of the State of California. The Superior Court of Santa Clara County and/or the United States District Court for the Northern District of California shall have exclusive jurisdiction and venue over all controversies in connection with this Agreement.

(f)Severability. The invalidity or unenforceability of any provision or provisions of this Agreement shall not affect the validity or enforceability of any other provision hereof, which shall remain in full force and effect.

(g)Withholding. All payments made pursuant to this Agreement will be subject to withholding of applicable income and employment taxes.

(h)Counterparts. This Agreement may be executed in counterparts, each of which shall be deemed an original, but all of which together will constitute one and the same instrument.

IN WITNESS WHEREOF, each of the parties has executed this Agreement, in the case of the Company by its duly authorized officer, as of the day and year set forth below.

COMPANY                    JUNIPER NETWORKS, INC.

By:    ____________________________________        

Name:     ____________________________________

Title:    ____________________________________            

Date: ____________________________________

EMPLOYEE                                

Name:     ___________________________________

Date: ___________________________________

EX-10.3

Exhibit 10.3

JUNIPER NETWORKS, INC.

CHANGE OF CONTROL AGREEMENT

This Change of Control Agreement (the “Agreement”) is made and entered into by and between __________ (the “Employee”) and Juniper Networks, Inc., a Delaware Corporation (the “Company”), effective on the last date signed below.

RECITALS

1.    It is expected that the Company from time to time will consider the possibility of an acquisition by another company or other change of control. The Board of Directors of the Company (the “Board”) recognizes that such consideration can be a distraction to the Employee and can cause the Employee to consider alternative employment opportunities. The Board has determined that it is in the best interests of the Company and its stockholders to assure that the Company will have the continued dedication and objectivity of the Employee, notwithstanding the possibility, threat or occurrence of a Change of Control (as defined herein) of the Company.

2.    The Board believes that it is in the best interests of the Company and its stockholders to provide the Employee with an incentive to continue his or her employment and to motivate the Employee to maximize the value of the Company upon a Change of Control for the benefit of its stockholders.

3.    The Board believes that it is imperative to provide the Employee with certain severance benefits upon certain terminations of employment following a Change of Control. These benefits will provide the Employee with enhanced financial security and incentive and encouragement to remain with the Company notwithstanding the possibility of a Change of Control.

4.    Certain capitalized terms used in the Agreement are defined in Section 6 below.

AGREEMENT

NOW, THEREFORE, in consideration of the mutual covenants contained herein, the parties hereto agree as follows:

1.Term of Agreement. This Agreement shall terminate upon the later of (i) January 1, 2014 or (ii) if a Change of Control has occurred on or before January 1, 2014 (or if a definitive agreement relating to a Change in Control has been signed by the Company on or before January 1, 2014 and the closing of that transaction occurs on or before March 31, 2014), the date that all of the obligations of the parties hereto with respect to this Agreement have been satisfied.

2.At-Will Employment. The Company and the Employee acknowledge that the Employee's employment is and shall continue to be at-will, as defined under applicable law, except as may otherwise be specifically provided under the terms of any written formal employment agreement or offer letter between the Company and the Employee (an “Employment Agreement”). If the Employee's employment terminates for any reason, including (without limitation) any termination prior to a Change of Control, the Employee shall not be entitled to any payments, benefits, damages, awards or compensation other than as provided by this Agreement or under his or her Employment Agreement, or as may otherwise be available in accordance with the Company's established employee plans.

3.Severance Benefits.

(a)Involuntary Termination Other than for Cause or Voluntary Termination for Good Reason Following a Change of Control Period. If (i) between the date that is four (4) months following a Change of Control and the date that is twelve (12) months following a Change of Control the Employee terminates his or her employment with the Company (or any parent or subsidiary of the Company) for “Good Reason” (as defined herein), provided however, that the grounds for Good Reason may arise at anytime within the twelve (12) months following the Change of Control, or (ii) within twelve (12) months following a Change of Control the Company (or any parent or subsidiary of the Company) terminates the Employee's employment for other than “Cause” (as defined herein), and the Employee signs and does not revoke a release of claims with the Company, in substantially the form attached hereto as Exhibit A, but which may be updated to reflect changes in law and regulations (the “Release”), then the Employee shall receive the following severance from the Company:

(i)Severance Payment. The Employee shall be entitled to receive a lump-sum severance payment (less applicable withholding taxes) equal to 100% of the Employee's annual base salary (as in effect immediately prior to (A) the

Change of Control, or (B) the Employee's termination, whichever is greater) plus 100% of the Employee's target bonus for the fiscal year in which the Change of Control or the Employee's termination occurs, whichever is greater).

(ii)Equity Compensation Acceleration. One hundred percent (100%) of Employee's then unvested outstanding stock options, stock appreciation rights, performance shares, restricted stock units and other Company equity compensation awards (the “Equity Compensation Awards”) that vest based on time (such as an option that vests 25% on the first anniversary of grant and 1/48^th monthly thereafter) shall immediately vest and became exercisable (and any rights of repurchase by the Company or restriction on sale shall lapse). With respect to Equity Compensation Awards that vest wholly or in part based on factors other than time, such as performance (whether individual or based on external measures such as Company performance, market share, stock price, etc.), (i) any portion for which the measurement or performance period or performance measures have been completed and the resulting quantities have been determined or calculated, shall immediately vest and become exercisable (and any rights of repurchase by the Company or restriction on sale shall lapse) and (ii) the remaining portions shall immediately vest and become exercisable (and any rights of repurchase by the Company or restriction on sale shall lapse) in an amount equal to the number that would be calculated if the performance measures were achieved at the target level (for example, if the employee were granted 300 three-year performance shares, where (a) the amount that can be earned is determined each year based on performance against annual performance targets but the entire amount vests at the end of the three years based upon continued service, and (b) at target performance levels the employee could earn 1/3 of the amount each year and (c) the first year had been completed and the performance resulted in a calculation that 85 shares were earned and (d) the employee is terminated prior to the completion of year 2, then the amount that would vest and become immediately exercisable would be 285 shares -- representing the 85 shares calculated for year 1 and the target amount of 100 shares for each of year 2 and year 3); provided however, that if there is no “target” number, then the number that vest shall be 100% of the amounts that could vest with respect to that measurement period. Any Company stock options and stock appreciation rights shall thereafter remain exercisable following the Employee's employment termination for the period prescribed in the respective option and stock appreciation right agreements.

(iii)Continued Employee Benefits Payment. In lieu of continuation of benefits, Employee shall receive $36,000 (whether or not Employee elects COBRA).

(b)Timing of Severance Payments.

(i)Payment Timing. One half of the severance payment to which Employee is entitled shall be paid by the Company to Employee in cash on the 53rd calendar day after Employee's termination of employment, subject to any delay required to avoid additional taxation under Internal Revenue Code Section 409A and the final regulations and any guidance promulgated thereunder (“Section 409A”). The other half of the severance payment to which Employee is entitled shall be paid by the Company to Employee in cash on the first payroll date that is on or after six months and one day following Employee's termination of employment. If the Employee should die before all amounts have been paid, such unpaid amounts shall be paid in a lump-sum payment (less any withholding taxes) to the Employee's designated beneficiary, if living, or otherwise to the personal representative of the Employee's estate.

(ii)Release Effectiveness. The receipt of any severance pursuant to Section 3(a) will be subject to Employee signing and not revoking the Release and further subject to the Release becoming effective within fifty-two (52) days following Employee's termination of employment.

(c)Voluntary Resignation; Termination for Cause. If the Employee's employ-ment with the Company terminates (i) voluntarily by the Employee other than for Good Reason, or (ii) for Cause by the Company, then the Employee shall not be entitled to receive severance or other benefits except for those (if any) as may then be established under the Company's then existing severance and benefits plans and practices or pursuant to other written agreements with the Company.

(d)Termination Outside of Change of Control Period. In the event the Employee's employment is terminated for any reason, either prior to the occurrence of a Change of Control or after the twelve (12) month period following a Change of Control, or if the Employee terminates for Good Reason within four months after a Change in Control, then the Employee shall be entitled to receive severance and any other benefits only as may then be established under the Company's existing written severance and benefits plans and practices or pursuant to other written agreements with the Company.

(e)Section 409A.

(i)Notwithstanding anything to the contrary in this Agreement, if Employee is a “specified employee” within the meaning of Section 409A at the time of Employee's termination (other than due to death) or resignation, then the severance payable to Employee, if any, pursuant to this Agreement, when considered together with any other severance payments or separation benefits that are considered deferred compensation under Section 409A (together, the “Deferred Compensation Separation Benefits”) that are payable within the first six (6) months following Employee's termination of

employment, will become payable on the first payroll date that occurs on or after the date six (6) months and one (1) day following the date of Employee's termination of employment. All subsequent Deferred Compensation Separation Benefits, if any, will be payable in accordance with the payment schedule applicable to each payment or benefit. Notwithstanding anything herein to the contrary, if Employee dies following his termination but prior to the six (6) month anniversary of his termination, then any payments delayed in accordance with this paragraph will be payable in a lump sum as soon as administratively practicable after the date of Employee's death and all other Deferred Compensation Separation Benefits will be payable in accordance with the payment schedule applicable to each payment or benefit. Each payment and benefit payable under this Agreement is intended to constitute separate payments for purposes of Section 1.409A-2(b)(2) of the Treasury Regulations.

(ii)Any amount paid under this Agreement that satisfies the requirements of the “short-term deferral” rule set forth in Section 1.409A-1(b)(4) of the Treasury Regulations shall not constitute Deferred Compensation Separation Benefits for purposes of clause (i) above.

(iii)Any amount paid under this Agreement that qualifies as a payment made as a result of an involuntary separation from service pursuant to Section 1.409A-1(b)(9)(iii) of the Treasury Regulations that do not exceed the Section 409A Limit shall not constitute Deferred Compensation Separation Benefits for purposes of clause (i) above. “Section 409A Limit” will mean the lesser of two (2) times: (i) Employee's annualized compensation based upon the annual rate of pay paid to Employee during the Employee's taxable year preceding the Employee's taxable year of Employee's termination of employment as determined under, and with such adjustments as are set forth in, Treasury Regulation 1.409A-1(b)(9)(iii)(A)(1) and any Internal Revenue Service guidance issued with respect thereto; or (ii) the maximum amount that may be taken into account under a qualified plan pursuant to Section 401(a)(17) of the Code for the year in which Employee's employment is terminated.

(iv)The foregoing provisions are intended to comply with the requirements of Section 409A so that none of the severance payments and benefits to be provided hereunder will be subject to the additional tax imposed under Section 409A, and any ambiguities herein will be interpreted to so comply. The Company and Employee agree to work together in good faith to consider amendments to this Agreement and to take such reasonable actions which are necessary, appropriate or desirable to avoid imposition of any additional tax or income recognition prior to actual payment to Employee under Section 409A.

4.Conditional Nature of Severance Payments and Benefits.

(a)Noncompete. Employee acknowledges that the nature of the Company's business is such that if Employee were to become employed by, or substantially involved in, the business of a competitor of the Company during the twelve (12) months following the termination of Employee's employment with the Company, it would be very difficult for Employee not to rely on or use the Company's trade secrets and confidential information. Thus, to avoid the inevitable disclosure of the Company's trade secrets and confidential information, Employee agrees and acknowledges that Employee's right to receive the severance benefits set forth in Section 3(a) (to the extent Employee is otherwise entitled to such payments) shall be conditioned upon Employee not directly or indirectly engaging in (whether as an employee, consultant, agent, proprietor, principal, partner, stockholder, corporate officer, director or otherwise), nor having any ownership interested in or participating in the financing, operation, management or control of, any person, firm, corporation or business in Competition (as defined herein) with Company. Notwithstanding the foregoing, Employee may, without violating this Section 4, own, as a passive investment, shares of capital stock of a corporation or other entity that engages in Competition where the number of shares of such corporation's capital stock that are owned by Employee represent less than three percent of the total number of shares of such entity's capital stock outstanding.

(b)Non-Solicitation. Until the date twelve (12) months after the termination of Employee's employment with the Company for any reason, Employee agrees and acknowledges that Employee's right to receive the severance payments set forth in Section 3(a) (to the extent Employee is otherwise entitled to such payments) shall be conditioned upon Employee neither directly nor indirectly soliciting, inducing, recruiting or encouraging an employee to leave his or her employment either for Employee or for any other entity or person with which or whom Employee has a business relationship.

(c)Understanding of Covenants. Employee represents that he (i) is familiar with the foregoing covenants not to compete and not to solicit, and (ii) is fully aware of his obligations hereunder, including, without limitation, the reasonableness of the length of time, scope and geographic coverage of these covenants.

(d)Remedy for Breach. Upon any breach of this section by Employee, all severance payments and benefits pursuant to this Agreement shall immediately cease and any stock options or stock appreciation rights then held by Employee shall immediately terminate and be without further force and effect, and Employee shall return all of the consideration paid by the Company under this Section 3 and remit any shares subject to Equity Compensation Awards or shares purchased under stock options or stock appreciation rights to the extent that such Equity Compensation Awards, stock options or stock appreciation rights had their vesting accelerated under Section 3 above (or the profits from the sale of such shares if they are or have been sold).

5.Golden Parachute Excise Tax Best Results. In the event that the severance and other benefits provided for in this agreement or otherwise payable to Employee (a) constitute “parachute payments” within the meaning of Section 280G of the Internal Revenue Code of 1986, as amended (the “Code”) and (b) would be subject to the excise tax imposed by Section 4999 of the Code, then such benefits shall be either be:

(i)delivered in full, or

(ii)delivered as to such lesser extent which would result in no portion of such severance benefits being subject to excise tax under Section 4999 of the Code, whichever of the foregoing amounts, taking into account the applicable federal, state and local income and employment taxes and the excise tax imposed by Section 4999, results in the receipt by Employee, on an after-tax basis, of the greatest amount of benefits, notwithstanding that all or some portion of such benefits may be taxable under Section 4999 of the Code. Unless the Company and Employee otherwise agree in writing, any determination required under this Section 5 will be made in writing by a national “Big Four” accounting firm selected by the Company or such other person or entity to which the parties mutually agree (the “Accountants”), whose determination will be conclusive and binding upon Employee and the Company for all purposes. For purposes of making the calculations required by this Section 5, the Accountants may make reasonable assumptions and approximations concerning applicable taxes and may rely on reasonable, good faith interpretations concerning the application of Sections 280G and 4999 of the Code. The Company and the Employee shall furnish to the Accountants such information and documents as the Accountants may reasonably request in order to make a determination under this Section. The Company shall bear all costs the Accountants may reasonably incur in connection with any calculations contemplated by this Section 5. Any reduction in payments and/or benefits required by this Section 5 shall occur in the following order: (A) cash payments shall be reduced first and in reverse chronological order such that the cash payment owed on the latest date following the occurrence of the event triggering such excise tax will be the first cash payment to be reduced; and (B) accelerated vesting of stock awards shall be cancelled/reduced next and in the reverse order of the date of grant for such stock awards (i.e., the vesting of the most recently granted stock awards will be reduced first), with full-value awards reversed before any stock option or stock appreciation rights are reduced.

6.Definition of Terms. The following terms referred to in this Agreement shall have the following meanings:

(a)Cause. “Cause” shall mean:

(i)an act of personal dishonesty taken by the Employee in connection with his responsibilities as an employee and intended to result in substantial personal enrichment of the Employee; or

(ii)Employee being convicted of, or pleading nolocontendere to a felony; or

(iii)a willful act by the Employee which constitutes gross misconduct and which is injurious to the Company; or

(iv)following delivery to the Employee of a written demand for performance from the Company which describes the basis for the Company's reasonable belief that the Employee has not substantially performed his duties, continued violations by the Employee of the Employee's obligations to the Company which are demonstrably willful and deliberate on the Employee's part.

(b)Change of Control. “Change of Control” means the occurrence of any of the following events:

(i)A change in the ownership of the Companywhich occurs on the date that any one person, or more than one person acting as a group, (“Person”) acquires ownership of the stock of the Company that, together with the stock held by such Person, constitutes more than 50% of the total voting power of the stock of the Company; provided, however, that for purposes of this subsection (i), the acquisition of additional stock by any one Person, who is considered to own more than 50% of the total voting power of the stock of the Company will not be considered a Change in Control; or

(ii)A change in the effective control of the Company which occurs on the date that a majority of members of the Board is replaced during any twelve (12) month period by Directors whose appointment or election is not endorsed by a majority of the members of the Board prior to the date of the appointment or election. For purposes of this clause (ii), if any Person is considered to effectively control the Company, the acquisition of additional control of the Company by the same Person will not be considered a Change in Control; or

(iii)A change in the ownership of a substantial portion of the Company's assets which occurs on the date that any Person acquires (or has acquired during the twelve (12) month period ending on the date of the most recent acquisition by such person or persons) assets from the Company that have a total gross fair market value equal to or more than 50% of the total gross fair market value of all of the assets of the Company immediately prior to such acquisition or acquisitions;

provided, however, that for purposes of this subsection (iii), the following will not constitute a change in the ownership of a substantial portion of the Company's assets: (A) a transfer to an entity that is controlled by the Company's stockholders immediately after the transfer, or (B) a transfer of assets by the Company to: (1) a stockholder of the Company (immediately before the asset transfer) in exchange for or with respect to the Company's stock, (2) an entity, 50% or more of the total value or voting power of which is owned, directly or indirectly, by the Company, (3) a Person, that owns, directly or indirectly, 50% or more of the total value or voting power of all the outstanding stock of the Company, or (4) an entity, at least 50% of the total value or voting power of which is owned, directly or indirectly, by a Person. For purposes of this subsection (iii), gross fair market value means the value of the assets of the Company, or the value of the assets being disposed of, determined without regard to any liabilities associated with such assets.

For purposes of this Section 6(b), persons will be considered to be acting as a group if they are owners of a corporation that enters into a merger, consolidation, purchase or acquisition of stock, or similar business transaction with the Company.

Notwithstanding the foregoing, a transaction shall not be deemed a Change in Control unless the transaction qualifies as a change in the ownership of the Company, change in the effective control of the Company or a change in the ownership of a substantial portion of the Company's assets, each within the meaning of Section 409A.

(c)Competition. means the development, marketing or sale of networking equipment or network security software or products in the United. For the avoidance of doubt, Competition includes, but is not limited to, Cisco Systems, Huawei, Alcatel-Lucent, Check Point Software, Palo Alto Networks, Aruba, Hewlett-Packard, and Brocade Communications Systems, Inc.

(d)Disability. “Disability” shall mean that the Employee has been unable to perform his or her Company duties as the result of his incapacity due to physical or mental illness, and such inability, at least twenty-six (26) weeks after its commencement, is determined to be total and permanent by a physician selected by the Company or its insurers and acceptable to the Employee or the Employee's legal representative (such agreement as to acceptability not to be unreasonably withheld). Termination resulting from Disability may only be effected after at least thirty (30) days' written notice by the Company of its intention to terminate the Employee's employment. In the event that the Employee resumes the performance of substantially all of his or her duties hereunder before the termination of his or her employment becomes effective, the notice of intent to terminate shall automatically be deemed to have been revoked.

(e)Good Reason. “Good Reason” means Employee's termination of employment following the expiration of any cure period (discussed below) following the occurrence, without Employee's express written consent, of one or more of the following:

(i)a material reduction of the Employee's duties, title, authority or responsibilities, relative to the Employee's duties, title, authority or responsibilities as in effect immediately prior to such reduction; provided,however, that a reduction in duties, title, authority or responsibilities solely by virtue of the Company being acquired and made part of a larger entity (as, for example, when the Chief Financial Officer of the Company remains the Chief Financial Officer of the subsidiary or business unit substantially containing the Company's business following a Change of Control) shall not by itself constitute grounds for a “Voluntary Termination for Good Reason”; or

(ii)a substantial reduction of the facilities and perquisites (including office space and location) available to the Employee immediately prior to such reduction; or

(iii)a reduction by the Company in the base compensation or total target cash compensation of the Employee as in effect immediately prior to such reduction; or

(iv)a material reduction by the Company in the kind or level of benefits to which the Employee was entitled immediately prior to such reduction with the result that such Employee's overall benefits package is significantly reduced; or

(v)the relocation of the Employee to a facility or a location more than forty (40) miles from such Employee's then present location.

Employee will not resign for Good Reason without first providing the Company with written notice within sixty (60) days of the event that Employee believes constitutes “Good Reason” specifically identifying the acts or omissions constituting the grounds for Good Reason and a reasonable cure period of not less than thirty (30) days following the date of such notice.

7.Successors.

(a)The Company's Successors. Any successor to the Company (whether direct or indirect and whether by purchase, merger, consolidation, liquidation or otherwise) to all or substantially all of the Company's business and/or assets shall assume the obligations under this Agreement and agree expressly to perform the obligations under this Agreement in the same manner and to the same extent as the Company would be required to perform such obligations in the absence of a succession. For all purposes under this Agreement, the term “Company” shall include any successor to the Company's business and/or assets which executes and delivers the assumption agreement described in this Section 7(a) or which becomes bound by the terms of this Agreement by operation of law.

(b)The Employee's Successors. The terms of this Agreement and all rights of the Employee hereunder shall inure to the benefit of, and be enforceable by, the Employee's personal or legal representatives, executors, administrators, successors, heirs, distributees, devisees and legatees.

8.Notice.

(a)General. All notices and other communications required or permitted here-under shall be in writing, shall be effective when given, and shall in any event be deemed to be given upon receipt or, if earlier, (a) five (5) days after deposit with the U.S. Postal Service or other applicable postal service, if delivered by first class mail, postage prepaid, (b) upon delivery, if delivered by hand, (c) one (1) business day after the business day of deposit with Federal Express or similar overnight courier, freight prepaid or (d) one (1) business day after the business day of facsimile transmission, if delivered by facsimile transmission with copy by first class mail, postage prepaid, and shall be addressed (i) if to Employee, at his or her last known residential address and (ii) if to the Company, at the address of its principal corporate offices (attention: Secretary), or in any such case at such other address as a party may designate by ten (10) days' advance written notice to the other party pursuant to the provisions above.

(b)Notice of Termination. Any termination by the Company for Cause or by the Employee for Good Reason or Disability or as a result of a voluntary resignation shall be communicated by a notice of termination to the other party hereto given in accordance with Section 8(a) of this Agreement. Such notice shall indicate the specific termination provision in this Agreement relied upon, shall set forth in reasonable detail the facts and circumstances claimed to provide a basis for termination under the provision so indicated, and shall specify the termination date (which shall be not more than thirty (30) days after the giving of such notice). The failure by the Employee to include in the notice any fact or circumstance which contributes to a showing of Good Reason or Disability shall not waive any right of the Employee hereunder or preclude the Employee from asserting such fact or circumstance in enforcing his or her rights hereunder.

9.Miscellaneous Provisions.

(a)No Duty to Mitigate. The Employee shall not be required to mitigate the amount of any payment contemplated by this Agreement, nor shall any such payment be reduced by any earnings that the Employee may receive from any other source.

(b)Waiver. No provision of this Agreement shall be modified, waived or discharged unless the modification, waiver or discharge is agreed to in writing and signed by the Employee and by an authorized officer of the Company (other than the Employee). No waiver by either party of any breach of, or of compliance with, any condition or provision of this Agreement by the other party shall be considered a waiver of any other condition or provision or of the same condition or provision at another time.

(c)Headings. All captions and section headings used in this Agreement are for convenient reference only and do not form a part of this Agreement.

(d)Entire Agreement. This Agreement constitutes the entire agreement of the parties hereto and supersedes in their entirety all prior representations, understandings, undertakings or agreements (whether oral or written and whether expressed or implied) of the parties with respect to the subject matter hereof, including but not limited to the Change of Control Agreement dated October 1, 2010.

(e)Choice of Law. The validity, interpretation, construction and performance of this Agreement shall be governed by the laws of the State of California. The Superior Court of Santa Clara County and/or the United States District Court for the Northern District of California shall have exclusive jurisdiction and venue over all controversies in connection with this Agreement.

(f)Severability. The invalidity or unenforceability of any provision or provisions of this Agreement shall not affect the validity or enforceability of any other provision hereof, which shall remain in full force and effect.

(g)Withholding. All payments made pursuant to this Agreement will be subject to withholding of applicable income and employment taxes.

(h)Counterparts. This Agreement may be executed in counterparts, each of which shall be deemed an original, but all of which together will constitute one and the same instrument.

IN WITNESS WHEREOF, each of the parties has executed this Agreement, in the case of the Company by its duly authorized officer, as of the day and year set forth below.

COMPANY                    JUNIPER NETWORKS, INC.

By: ____________________________________                

Name:     ____________________________________

Title:    ____________________________________            

Date: ____________________________________    

EMPLOYEE                                

Name: ____________________________________

Date: ____________________________________    

EXHIBIT A

JUNIPER NETWORKS, INC.

RELEASE OF CLAIMS

This Release of Claims (“Agreement”) is made by and between Juniper Networks, Inc. (the “Company”) and __________________ (“Employee”).

WHEREAS, Employee has agreed to enter into a release of claims in favor of the Company upon certain events specified in the change of control agreement by and between Company and Employee (the “Change of Control Agreement”).

NOW THEREFORE, in consideration of the mutual promises made in this Agreement, the parties hereby agree as follows:

1.Termination. Employee's employment from the Company terminated on ________________ (the “Termination Date”).

2.Confidential Information. Employee shall continue to maintain the confidentiality of all confidential and proprietary information of the Company. Employee shall return all the Company property and confidential and proprietary information in Employee's possession to the Company on the Effective Date of this Agreement.

3.Payment of Salary. Employee acknowledges and represents that the Company has paid all salary, wages, bonuses, accrued vacation, commissions and any and all other benefits due to Employee.

4.Release of Claims. Employee agrees that the foregoing consideration represents settlement in full of all outstanding obligations owed to Employee by the Company. Employee, on behalf of Employee, and Employee's respective heirs, family members, executors and assigns, hereby fully and forever releases the Company and its past, present and future officers, agents, directors, employees, investors, shareholders, administrators, affiliates, divisions, subsidiaries, parents, predecessor and successor corporations, and assigns, from, and agrees not to sue or otherwise institute or cause to be instituted any legal or administrative proceedings concerning any claim, duty, obligation or cause of action relating to any matters of any kind, whether presently known or unknown, suspected or unsuspected, that Employee may possess arising from any omissions, acts or facts that have occurred up until and including the Effective Date of this Agreement including, without limitation,

(a)any and all claims relating to or arising from Employee's employment relationship with the Company and the termination of that relationship;

(b)any and all claims relating to, or arising from, Employee's right to purchase, or actual purchase of shares of stock of the Company, including, without limitation, any claims for fraud, misrepresentation, breach of fiduciary duty, breach of duty under applicable state corporate law, and securities fraud under any state or federal law;

(c)any and all claims for wrongful discharge of employment; termination in violation of public policy; discrimination; breach of contract, both express and implied; breach of a covenant of good faith and fair dealing, both express and implied; promissory estoppel; negligent or intentional infliction of emotional distress; negligent or intentional misrepresentation; negligent or intentional interference with contract or prospective economic advantage; unfair business practices; defamation; libel; slander; negligence; personal injury; assault; battery; invasion of privacy; false imprisonment; and conversion;

(d)any and all claims for violation of any federal, state or municipal statute, including, but not limited to, Title VII of the Civil Rights Act of 1964, the Civil Rights Act of 1991, the Age Discrimination in Employment Act of 1967,the Americans with Disabilities Act of 1990, the Fair Labor Standards Act, the Employee Retirement Income Security Act of 1974, The Worker Adjustment and Retraining Notification Act, the California Fair Employment and Housing Act, and Labor Code section 201, et seq. and section 970, et seq. and all amendments to each such Act as well as the regulations issued under each such Act;

(e)any and all claims for violation of the federal, or any state, constitution;

(f)any and all claims arising out of any other laws and regulations relating to employment or employment discrimination; and

(g)any and all claims for attorneys' fees and costs.

Employee agrees that the release set forth in this section shall be and remain in effect in all respects as a complete general release as to the matters released. This release does not extend to any severance obligations due Employee under the Management Retention Agreement. Nothing in this Agreement waives Employee's rights to indemnification or any payments under any fiduciary insurance policy, if any, provided by any act or agreement of the Company, state or federal law or policy of insurance.

5.Acknowledgment of Waiver of Claims under ADEA. Employee acknowledges that Employee is waiving and releasing any rights Employee may have under the Age Discrimination in Employment Act of 1967 (“ADEA”) and that this waiver and release is knowing and voluntary. Employee and the Company agree that this waiver and release does not apply to any rights or claims that may arise under the ADEA after the Effective Date of this Agreement. Employee acknowledges that the consideration given for this waiver and release Agreement is in addition to anything of value to which Employee was already entitled. Employee further acknowledges that Employee has been advised by this writing that (a) Employee should consult with an attorney prior to executing this Agreement; (b) Employee has at least twenty-one (21) days within which to consider this Agreement; (c) Employee has seven (7) days following the execution of this Agreement by the parties to revoke the Agreement; (d) this Agreement shall not be effective until the revocation period has expired; and (e) nothing in this Agreement prevents or precludes Employee from challenging or seeking a determination in good faith of the validity of this waiver under the ADEA, nor does it impose any condition precedent, penalties or costs for doing so, unless specifically authorized by federal law. Any revocation should be in writing and delivered to the Vice-President of Human Resources at the Company by close of business on the seventh day from the date that Employee signs this Agreement.

6.Civil Code Section 1542. Employee represents that Employee is not aware of any claims against the Company other than the claims that are released by this Agreement. Employee acknowledges that Employee has been advised by legal counsel and is familiar with the provisions of California Civil Code 1542, below, which provides as follows:

A GENERAL RELEASE DOES NOT EXTEND TO CLAIMS WHICH THE CREDITOR DOES NOT KNOW OR SUSPECT TO EXIST IN HIS OR HER FAVOR AT THE TIME OF EXECUTING THE RELEASE, WHICH IF KNOWN BY HIM OR HER MUST HAVE MATERIALLY AFFECTED HIS OR HER SETTLEMENT WITH THE DEBTOR.

Employee, being aware of said code section, agrees to expressly waive any rights Employee may have under such code section, as well as under any statute or common law principles of similar effect.

7.No Pending or Future Lawsuits. Employee represents that Employee has no lawsuits, claims, or actions pending in Employee's name, or on behalf of any other person or entity, against the Company or any other person or entity referred to in this Agreement. Employee also represents that Employee does not intend to bring any claims on Employee's own behalf or on behalf of any other person or entity against the Company or any other person or entity referred to herein.

8.Application for Employment. Employee understands and agrees that, as a condition of this Agreement, Employee shall not be entitled to any employment with the Company, its subsidiaries, or any successor, and Employee hereby waives any right, or alleged right, of employment or re-employment with the Company.

9.No Cooperation. Employee agrees that Employee will not counsel or assist any attorneys or their clients in the presentation or prosecution of any disputes, differences, grievances, claims, charges, or complaints by any third party against the Company and/or any officer, director, employee, agent, representative, shareholder or attorney of the Company, unless under a subpoena or other court order to do so.

10.No Admission of Liability. Employee understands and acknowledges that this Agreement constitutes a compromise and settlement of disputed claims. No action taken by the Company, either previously or in connection with this Agreement shall be deemed or construed to be (a) an admission of the truth or falsity of any claims heretofore made or (b) an acknowledgment or admission by the Company of any fault or liability whatsoever to the Employee or to any third party.

11.Costs. The parties shall each bear their own costs, expert fees, attorneys' fees and other fees incurred in connection with this Agreement.

12.Authority. Employee represents and warrants that Employee has the capacity to act on Employee's own behalf and on behalf of all who might claim through Employee to bind them to the terms and conditions of this Agreement.

13.No Representations. Employee represents that Employee has had the opportunity to consult with an attorney,

and has carefully read and understands the scope and effect of the provisions of this Agreement. Neither party has relied upon any representations or statements made by the other party which are not specifically set forth in this Agreement.

14.Severability. In the event that any provision hereof becomes or is declared by a court of competent jurisdiction to be illegal, unenforceable or void, this Agreement shall continue in full force and effect without said provision.

15.Entire Agreement. This Agreement, along with the Employee's written equity compensation agreements with the Company, represents the entire agreement and understanding between the Company and Employee concerning Employee's separation from the Company.

16.No Oral Modification. This Agreement may only be amended in writing signed by Employee and the Chairman of the Board of Directors of the Company.

17.Governing Law. This Agreement shall be governed by the internal substantive laws, but not the choice of law rules, of the State of California.

18.Effective Date. This Agreement is effective eight (8) days after it has been signed by both parties.

19.Counterparts. This Agreement may be executed in counter-parts, and each counterpart shall have the same force and effect as an original and shall constitute an effective, binding agreement on the part of each of the undersigned.

20.Voluntary Execution of Agreement. This Agreement is executed voluntarily and without any duress or undue influence on the part or behalf of the parties to this Agreement, with the full intent of releasing all claims. The parties acknowledge that:

(a)They have read this Agreement;

(b)They have been represented in the preparation, negotiation, and execution of this Agreement by legal counsel of their own choice or that they have voluntarily declined to seek such counsel;

(c)They understand the terms and consequences of this Agreement and of the releases it contains;

(d)They are fully aware of the legal and binding effect of this Agreement.

IN WITNESS WHEREOF, the parties have executed this Agreement on the respective dates set forth below.

Juniper Networks, Inc.

Dated: , 2012                    By __________________________    

Name:

Title:

_________________, an individual

Dated: , 2012                 __________________________

EX-12.1

EXHIBIT 12.1

Juniper Networks, Inc.

Statements of Computation of Ratio of Earnings to Fixed Charges
(in millions, except ratios)

	Quarter Ended			Years ended December 31,
	3/31/2012 (a)			2011 (a)			2010 (a)			2009 (a)		2008 (a)		2007 (a)
Earnings for computation of ratio:
Pre-tax income (loss) from continuing operations before adjustment for minority interests in consolidated subsidiaries or income or (loss) from equity investees	$	37.3		$	572.0		$	769.5		$	317.6	$	743.7	$	503.8
Fixed charges	19.0			69.2			16.8			17.0		23.2		17.6
Less:
Interest capitalized	(1.0		)	(1.2		)	—			—		—		—
Minority interest in pre-tax income of subsidiaries that have not incurred fixed charges	—			—			(1.3		)	—		—		—
Total earnings (loss)	$	55.3		$	640.0		$	785.0		$	334.6	$	766.9	$	521.4
Fixed charges:
Interest expensed and debt cost amortization	$	14.0		$	48.9		$	—		$	—	$	5.8	$	2.9
Amortized premiums, discounts, and capitalized expenses relating to indebtedness	0.2			0.6			—			—		—		—
Estimate of interest within rental expense	4.7			19.7			16.8			17.0		17.4		14.6
Total fixed charges	$	18.9		$	69.2		$	16.8		$	17.0	$	23.2	$	17.5
Ratio of earnings to fixed charges	2.9			9.2			46.8			19.7		33.0		29.7

(a) For these ratios, "earnings" represents income before taxes before adjustment for minority interests in equity investments and fixed charges, adjusted for interest capitalized and minority interest in pre-tax income of subsidiaries that have not incurred fixed charges.

EX-31.1

EXHIBIT 31.1

Certification of Chief Executive Officer

Pursuant to

Exchange Act Rules 13a-14(a) and 15d-14(a),

As Adopted Pursuant to

Section 302 of the Sarbanes-Oxley Act of 2002

I, Kevin R. Johnson, certify that:

1. I have reviewed this quarterly report on Form 10-Q of Juniper Networks, Inc.;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant's other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

(a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c) Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

(d) Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and

5. The registrant's other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):

(a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize, and report financial information; and

(b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.

Date: May 9, 2012

/s/ Kevin R. Johnson

Kevin R. Johnson

Chief Executive Officer

EX-31.2

EXHIBIT 31.2

Certification of Chief Financial Officer

Pursuant to

Exchange Act Rules 13a-14(a) and 15d-14(a),

As Adopted Pursuant to

Section 302 of the Sarbanes-Oxley Act of 2002

I, Robyn M. Denholm, certify that:

1. I have reviewed this quarterly report on Form 10-Q of Juniper Networks, Inc.;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant's other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

(a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c) Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

(d) Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and

5. The registrant's other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):

(a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize, and report financial information; and

(b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.

Date: May 9, 2012

/s/ Robyn M. Denholm

Robyn M. Denholm

Executive Vice President and Chief Financial Officer

EX-32.1

Exhibit 32.1

Certification of Chief Executive Officer

Pursuant to 18 U.S.C. Section 1350 As Adopted

Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002

I, Kevin R. Johnson, certify, pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that the Quarterly Report of Juniper Networks, Inc. on Form 10-Q for the three months ended March 31, 2012, fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934 and that information contained in such Quarterly Report on Form 10-Q fairly presents, in all material respects, the financial condition and results of operations of Juniper Networks, Inc.

/s/ Kevin R. Johnson

Kevin R. Johnson

Chief Executive Officer

May 9, 2012

EX-32.2

Exhibit 32.2

Certification of Chief Financial Officer

Pursuant to 18 U.S.C. Section 1350 As Adopted

Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002

I, Robyn M. Denholm, certify, pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that the Quarterly Report of Juniper Networks, Inc. on Form 10-Q for the three months ended March 31, 2012, fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934 and that information contained in such Quarterly Report on Form 10-Q fairly presents, in all material respects, the financial condition and results of operations of Juniper Networks, Inc.

/s/ Robyn M. Denholm

Robyn M. Denholm

Executive Vice President and Chief Financial Officer

May 9, 2012

XML

Net Income per Share (Details) (USD $) In Thousands, except Share data, unless otherwise specified	3 Months Ended
	Mar. 31, 2012	Mar. 31, 2011
Numerator
Net income attributable to Juniper Networks	$ 16,270	$ 129,750
Denominator
Weighted-average shares used to compute basic net income per share	527,186,000	530,789,000
Effect of dilutive securities:
Employee stock awards	6,500,000	18,000,000
Weighted-average shares used to compute diluted net income per share	533,683,000	548,825,000
Net income per share attributable to Juniper Networks common stockholders [Abstract]
Basic	$ 0.03	$ 0.24
Diluted	$ 0.03	$ 0.24
Net Income per Share Textuals
Anti-dilutive shares excluded from computation of diluted earnings per share	30,600,000	5,800,000

XML

Goodwill and Purchased Intangible Assets, Estimated Future Amortization Expense Intangible Assets (Details) (USD $) In Millions, unless otherwise specified	3 Months Ended
	Mar. 31, 2012
Finite-Lived Intangible Assets, Future Amortization Expense [Abstract]
Future Amortization Expense, Remainder of Fiscal Year	$ 26.2
Future Amortization Expense, Year Two	34.7
Future Amortization Expense, Year Three	32.8
Future Amortization Expense, Year Four	24.8
Future Amortization Expense, Year Five	11.1
Future Amortization Expense, after Year Five	16.1
Finite-Lived Intangible Assets, Future Amortization Expense	$ 145.7

XML

Fair Value Measurements, Assets and Liabilities Measured On A Nonrecurring Basis (Details) (USD $)	3 Months Ended							3 Months Ended
	Mar. 31, 2012	Mar. 31, 2012 Fair Value, Measurements, Nonrecurring [Member]	Dec. 31, 2011 Fair Value, Measurements, Nonrecurring [Member]	Mar. 31, 2012 Cost Method Investee, Privately Held Companies	Dec. 31, 2011 Cost Method Investee, Privately Held Companies	Mar. 31, 2012 Cost Method Investee, Privately Held Companies Fair Value, Measurements, Nonrecurring [Member]	Dec. 31, 2011 Cost Method Investee, Privately Held Companies Fair Value, Measurements, Nonrecurring [Member]	Mar. 31, 2012 Cost Method Investee, Privately Held Companies Fair Value, Inputs, Level 3 [Member] Fair Value, Measurements, Nonrecurring [Member]	Mar. 31, 2011 Cost Method Investee, Privately Held Companies Fair Value, Inputs, Level 3 [Member] Fair Value, Measurements, Nonrecurring [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Equity investments measured on nonrecurring basis				$ 36,000,000	$ 51,800,000	$ 6,000,000	$ 400,000
Loss due to impairment of privately held equity investments measured on a non-recurring basis	14,000,000							14,000,000	0
Fair Value Liabilities Measured On Nonrecurring Basis Liabilities		$ 0	$ 0

XML

Segments, Geographical (Details) (USD $) In Thousands, unless otherwise specified	3 Months Ended
	Mar. 31, 2012	Mar. 31, 2011
Net Revenues by Geographic Region [Line Items]
Total net revenues	$ 1,032,498	$ 1,101,612
United States
Net Revenues by Geographic Region [Line Items]
Total net revenues	468,400	526,000
Other Americas [Member]
Net Revenues by Geographic Region [Line Items]
Total net revenues	62,900	55,600
Total Americas [Member]
Net Revenues by Geographic Region [Line Items]
Total net revenues	531,300	581,600
Europe Middle East And Africa [Member]
Net Revenues by Geographic Region [Line Items]
Total net revenues	307,100	299,900
Asia Pacific [Member]
Net Revenues by Geographic Region [Line Items]
Total net revenues	$ 194,100	$ 220,100

XML

Other Financial Information Other Financial Information, Inventories (Details) (USD $) In Millions, unless otherwise specified	Mar. 31, 2012	Dec. 31, 2011
Inventory Disclosure [Abstract]
Production materials	$ 77.3	$ 52.4
Finished goods	14.7	16.7
Total inventories, net	$ 92.0	$ 69.1

XML

Fair Value Measurements (Details) (USD $) In Millions, unless otherwise specified	Mar. 31, 2012		Dec. 31, 2011
Fair Value Measurements (Textuals)
Amount of restricted investments measured at fair value included in the balance of Corporate Debt Securities	$ 1.7		$ 1.6
Amount of restricted investments measured at fair value included in the balance of Money Market Funds	79.2		75.1
Trading securities, amortized cost	11.9	[1]	9.3	[1]
Amount of Restricted Investments Measured at Fair Value Included in Balance of Mutual Funds			1.0
Estimate of Fair Value, Fair Value Disclosure [Member] | Fair Value, Measurements, Recurring [Member]
Derivative assets:
Derivative assets measured at fair value on a recurring basis	2.4		0.4
Total assets measured at fair value	2,733.6		2,810.8
Liabilities measured at fair value:
Derivative liability measured at fair value on a recurring basis	(3.1)		(9.6)
Liabilities measured at fair value	3.1		9.6
Fair Value, Inputs, Level 1 [Member] | Fair Value, Measurements, Recurring [Member]
Derivative assets:
Derivative assets measured at fair value on a recurring basis	0		0
Total assets measured at fair value	1,764.8		1,865.1
Liabilities measured at fair value:
Derivative liability measured at fair value on a recurring basis	0		0
Liabilities measured at fair value	0		0
Fair Value, Inputs, Level 2 [Member] | Fair Value, Measurements, Recurring [Member]
Derivative assets:
Derivative assets measured at fair value on a recurring basis	2.4		0.4
Total assets measured at fair value	968.8		945.7
Liabilities measured at fair value:
Derivative liability measured at fair value on a recurring basis	(3.1)		(9.6)
Liabilities measured at fair value	3.1		9.6
Fair Value, Inputs, Level 3 [Member] | Fair Value, Measurements, Recurring [Member]
Derivative assets:
Derivative assets measured at fair value on a recurring basis	0		0
Total assets measured at fair value	0		0
Liabilities measured at fair value:
Derivative liability measured at fair value on a recurring basis	0		0
Liabilities measured at fair value	0		0
Foreign Exchange Contract [Member] | Estimate of Fair Value, Fair Value Disclosure [Member] | Fair Value, Measurements, Recurring [Member]
Derivative assets:
Derivative assets measured at fair value on a recurring basis	2.4		0.4
Liabilities measured at fair value:
Derivative liability measured at fair value on a recurring basis	(3.1)		(9.6)
Foreign Exchange Contract [Member] | Fair Value, Inputs, Level 1 [Member] | Fair Value, Measurements, Recurring [Member]
Derivative assets:
Derivative assets measured at fair value on a recurring basis	0		0
Liabilities measured at fair value:
Derivative liability measured at fair value on a recurring basis	0		0
Foreign Exchange Contract [Member] | Fair Value, Inputs, Level 2 [Member] | Fair Value, Measurements, Recurring [Member]
Derivative assets:
Derivative assets measured at fair value on a recurring basis	2.4		0.4
Liabilities measured at fair value:
Derivative liability measured at fair value on a recurring basis	(3.1)		(9.6)
Foreign Exchange Contract [Member] | Fair Value, Inputs, Level 3 [Member] | Fair Value, Measurements, Recurring [Member]
Derivative assets:
Derivative assets measured at fair value on a recurring basis	0		0
Liabilities measured at fair value:
Derivative liability measured at fair value on a recurring basis	0		0
Available-for-sale Securities [Member] | Estimate of Fair Value, Fair Value Disclosure [Member] | Fair Value, Measurements, Recurring [Member]
Available-for-sale securities:
Available-for-sale securities measured at fair value on a recurring basis	2,719.3
Available-for-sale Securities [Member] | Fair Value, Inputs, Level 1 [Member] | Fair Value, Measurements, Recurring [Member]
Available-for-sale securities:
Available-for-sale securities measured at fair value on a recurring basis	1,752.9
Available-for-sale Securities [Member] | Fair Value, Inputs, Level 2 [Member] | Fair Value, Measurements, Recurring [Member]
Available-for-sale securities:
Available-for-sale securities measured at fair value on a recurring basis	966.4
Available-for-sale Securities [Member] | Fair Value, Inputs, Level 3 [Member] | Fair Value, Measurements, Recurring [Member]
Available-for-sale securities:
Available-for-sale securities measured at fair value on a recurring basis	0
Debt Securities [Member] | Estimate of Fair Value, Fair Value Disclosure [Member] | Fair Value, Measurements, Recurring [Member]
Available-for-sale securities:
Available-for-sale securities measured at fair value on a recurring basis	2,715.4		2,800.1
Debt Securities [Member] | Fair Value, Inputs, Level 1 [Member] | Fair Value, Measurements, Recurring [Member]
Available-for-sale securities:
Available-for-sale securities measured at fair value on a recurring basis	1,749.0		1,854.8
Debt Securities [Member] | Fair Value, Inputs, Level 2 [Member] | Fair Value, Measurements, Recurring [Member]
Available-for-sale securities:
Available-for-sale securities measured at fair value on a recurring basis	966.4		945.3
Debt Securities [Member] | Fair Value, Inputs, Level 3 [Member] | Fair Value, Measurements, Recurring [Member]
Available-for-sale securities:
Available-for-sale securities measured at fair value on a recurring basis	0		0
US Government Debt Securities [Member] | Estimate of Fair Value, Fair Value Disclosure [Member] | Fair Value, Measurements, Recurring [Member]
Available-for-sale securities:
Available-for-sale securities measured at fair value on a recurring basis	376.7		301.0
US Government Debt Securities [Member] | Fair Value, Inputs, Level 1 [Member] | Fair Value, Measurements, Recurring [Member]
Available-for-sale securities:
Available-for-sale securities measured at fair value on a recurring basis	187.0		149.3
US Government Debt Securities [Member] | Fair Value, Inputs, Level 2 [Member] | Fair Value, Measurements, Recurring [Member]
Available-for-sale securities:
Available-for-sale securities measured at fair value on a recurring basis	189.7		151.7
US Government Debt Securities [Member] | Fair Value, Inputs, Level 3 [Member] | Fair Value, Measurements, Recurring [Member]
Available-for-sale securities:
Available-for-sale securities measured at fair value on a recurring basis	0		0
US Government-sponsored Enterprises Debt Securities [Member] | Estimate of Fair Value, Fair Value Disclosure [Member] | Fair Value, Measurements, Recurring [Member]
Available-for-sale securities:
Available-for-sale securities measured at fair value on a recurring basis	276.2		431.0
US Government-sponsored Enterprises Debt Securities [Member] | Fair Value, Inputs, Level 1 [Member] | Fair Value, Measurements, Recurring [Member]
Available-for-sale securities:
Available-for-sale securities measured at fair value on a recurring basis	252.2		314.2
US Government-sponsored Enterprises Debt Securities [Member] | Fair Value, Inputs, Level 2 [Member] | Fair Value, Measurements, Recurring [Member]
Available-for-sale securities:
Available-for-sale securities measured at fair value on a recurring basis	24.0		116.8
US Government-sponsored Enterprises Debt Securities [Member] | Fair Value, Inputs, Level 3 [Member] | Fair Value, Measurements, Recurring [Member]
Available-for-sale securities:
Available-for-sale securities measured at fair value on a recurring basis	0		0
Commercial Paper [Member] | Estimate of Fair Value, Fair Value Disclosure [Member] | Fair Value, Measurements, Recurring [Member]
Available-for-sale securities:
Available-for-sale securities measured at fair value on a recurring basis	15.0		10.0
Commercial Paper [Member] | Fair Value, Inputs, Level 1 [Member] | Fair Value, Measurements, Recurring [Member]
Available-for-sale securities:
Available-for-sale securities measured at fair value on a recurring basis	0		0
Commercial Paper [Member] | Fair Value, Inputs, Level 2 [Member] | Fair Value, Measurements, Recurring [Member]
Available-for-sale securities:
Available-for-sale securities measured at fair value on a recurring basis	15.0		10.0
Commercial Paper [Member] | Fair Value, Inputs, Level 3 [Member] | Fair Value, Measurements, Recurring [Member]
Available-for-sale securities:
Available-for-sale securities measured at fair value on a recurring basis	0		0
Corporate Debt Securities [Member] | Estimate of Fair Value, Fair Value Disclosure [Member] | Fair Value, Measurements, Recurring [Member]
Available-for-sale securities:
Available-for-sale securities measured at fair value on a recurring basis	570.1	[2]	510.3	[3]
Corporate Debt Securities [Member] | Fair Value, Inputs, Level 1 [Member] | Fair Value, Measurements, Recurring [Member]
Available-for-sale securities:
Available-for-sale securities measured at fair value on a recurring basis	0	[2]	0	[3]
Corporate Debt Securities [Member] | Fair Value, Inputs, Level 2 [Member] | Fair Value, Measurements, Recurring [Member]
Available-for-sale securities:
Available-for-sale securities measured at fair value on a recurring basis	570.1	[2]	510.3	[3]
Corporate Debt Securities [Member] | Fair Value, Inputs, Level 3 [Member] | Fair Value, Measurements, Recurring [Member]
Available-for-sale securities:
Available-for-sale securities measured at fair value on a recurring basis	0	[2]	0	[3]
Certificates of Deposit [Member] | Estimate of Fair Value, Fair Value Disclosure [Member] | Fair Value, Measurements, Recurring [Member]
Available-for-sale securities:
Available-for-sale securities measured at fair value on a recurring basis	25.6		31.8
Certificates of Deposit [Member] | Fair Value, Inputs, Level 1 [Member] | Fair Value, Measurements, Recurring [Member]
Available-for-sale securities:
Available-for-sale securities measured at fair value on a recurring basis	0		0
Certificates of Deposit [Member] | Fair Value, Inputs, Level 2 [Member] | Fair Value, Measurements, Recurring [Member]
Available-for-sale securities:
Available-for-sale securities measured at fair value on a recurring basis	25.6		31.8
Certificates of Deposit [Member] | Fair Value, Inputs, Level 3 [Member] | Fair Value, Measurements, Recurring [Member]
Available-for-sale securities:
Available-for-sale securities measured at fair value on a recurring basis	0		0
Asset-backed Securities [Member] | Estimate of Fair Value, Fair Value Disclosure [Member] | Fair Value, Measurements, Recurring [Member]
Available-for-sale securities:
Available-for-sale securities measured at fair value on a recurring basis	142.0		124.7
Asset-backed Securities [Member] | Fair Value, Inputs, Level 1 [Member] | Fair Value, Measurements, Recurring [Member]
Available-for-sale securities:
Available-for-sale securities measured at fair value on a recurring basis	0		0
Asset-backed Securities [Member] | Fair Value, Inputs, Level 2 [Member] | Fair Value, Measurements, Recurring [Member]
Available-for-sale securities:
Available-for-sale securities measured at fair value on a recurring basis	142.0		124.7
Asset-backed Securities [Member] | Fair Value, Inputs, Level 3 [Member] | Fair Value, Measurements, Recurring [Member]
Available-for-sale securities:
Available-for-sale securities measured at fair value on a recurring basis	0		0
Mutual Funds [Member] | Estimate of Fair Value, Fair Value Disclosure [Member] | Fair Value, Measurements, Recurring [Member]
Available-for-sale securities:
Available-for-sale securities measured at fair value on a recurring basis	1.0	[4]
Trading securities:
Trading securities measured at fair value on a recurring basis	11.9	[5]	10.3	[6]
Mutual Funds [Member] | Fair Value, Inputs, Level 1 [Member] | Fair Value, Measurements, Recurring [Member]
Available-for-sale securities:
Available-for-sale securities measured at fair value on a recurring basis	1.0	[4]
Trading securities:
Trading securities measured at fair value on a recurring basis	11.9	[5]	10.3	[6]
Mutual Funds [Member] | Fair Value, Inputs, Level 2 [Member] | Fair Value, Measurements, Recurring [Member]
Available-for-sale securities:
Available-for-sale securities measured at fair value on a recurring basis	0	[4]
Trading securities:
Trading securities measured at fair value on a recurring basis	0	[5]	0	[6]
Mutual Funds [Member] | Fair Value, Inputs, Level 3 [Member] | Fair Value, Measurements, Recurring [Member]
Available-for-sale securities:
Available-for-sale securities measured at fair value on a recurring basis	0	[4]
Trading securities:
Trading securities measured at fair value on a recurring basis	0	[5]	0	[6]
Money Market Funds [Member] | Estimate of Fair Value, Fair Value Disclosure [Member] | Fair Value, Measurements, Recurring [Member]
Available-for-sale securities:
Available-for-sale securities measured at fair value on a recurring basis	1,308.8	[7]	1,391.3	[8]
Money Market Funds [Member] | Fair Value, Inputs, Level 1 [Member] | Fair Value, Measurements, Recurring [Member]
Available-for-sale securities:
Available-for-sale securities measured at fair value on a recurring basis	1,308.8	[7]	1,391.3	[8]
Money Market Funds [Member] | Fair Value, Inputs, Level 2 [Member] | Fair Value, Measurements, Recurring [Member]
Available-for-sale securities:
Available-for-sale securities measured at fair value on a recurring basis	0	[7]	0	[8]
Money Market Funds [Member] | Fair Value, Inputs, Level 3 [Member] | Fair Value, Measurements, Recurring [Member]
Available-for-sale securities:
Available-for-sale securities measured at fair value on a recurring basis	0	[7]	0	[8]
Equity Securities [Member] | Estimate of Fair Value, Fair Value Disclosure [Member] | Fair Value, Measurements, Recurring [Member]
Available-for-sale securities:
Available-for-sale securities measured at fair value on a recurring basis	3.9
Equity Securities [Member] | Fair Value, Inputs, Level 1 [Member] | Fair Value, Measurements, Recurring [Member]
Available-for-sale securities:
Available-for-sale securities measured at fair value on a recurring basis	3.9
Equity Securities [Member] | Fair Value, Inputs, Level 2 [Member] | Fair Value, Measurements, Recurring [Member]
Available-for-sale securities:
Available-for-sale securities measured at fair value on a recurring basis	0
Equity Securities [Member] | Fair Value, Inputs, Level 3 [Member] | Fair Value, Measurements, Recurring [Member]
Available-for-sale securities:
Available-for-sale securities measured at fair value on a recurring basis	0
Trading Securities [Member] | Estimate of Fair Value, Fair Value Disclosure [Member] | Fair Value, Measurements, Recurring [Member]
Trading securities:
Trading securities measured at fair value on a recurring basis	11.9		10.3
Trading Securities [Member] | Fair Value, Inputs, Level 1 [Member] | Fair Value, Measurements, Recurring [Member]
Trading securities:
Trading securities measured at fair value on a recurring basis	11.9		10.3
Trading Securities [Member] | Fair Value, Inputs, Level 2 [Member] | Fair Value, Measurements, Recurring [Member]
Trading securities:
Trading securities measured at fair value on a recurring basis	0		0
Trading Securities [Member] | Fair Value, Inputs, Level 3 [Member] | Fair Value, Measurements, Recurring [Member]
Trading securities:
Trading securities measured at fair value on a recurring basis	$ 0		$ 0

[1] Balance includes the Company's non-qualified deferred compensation plan assets. For additional information, see Note 12, Employee Benefit Plans, under the section Deferred Compensation Plan.

[2] Balance includes $1.7 million of restricted investments measured at fair market value, related to the Company's India Gratuity Trust.

[3] Balance includes $1.6 million of restricted investments measured at fair market value, related to the Company's India Gratuity Trust.

[4] Balance relates to the restricted investments measured at fair market value of the Company's India Gratuity Trust.

[5] Balance relates to investments measured at fair value related to the Company's non-qualified deferred compensation plan assets.

[6] Balance includes $9.3 million of the Company's non-qualified deferred compensation plan assets and $1.0 million of restricted investments measured at fair market value, related to the Company's India Gratuity Trust.

[7] Balance includes $79.2 million of restricted investments measured at fair market value, related to the Company's D&O trust and acquisitions related escrows.

[8] Balance includes $75.1 million of restricted investments measured at fair market value, related to the Company's D&O trust and acquisition related escrows.

XML

Segments (Tables)

3 Months Ended

Mar. 31, 2012

Segment Reporting [Abstract]

Financial information for each segment [Table Text Block]

The following table summarizes financial information for each segment used by the CODM for the three months ended March 31, 2012 and 2011 (in millions):

	Three Months Ended
	March 31,
	2012			2011
Net revenues:
PSD	$	824.2		$	898.6
SSD	208.3			203.0
Total net revenues	1,032.5			1,101.6
Segment contribution margin:
PSD	304.7			417.1
SSD	81.9			81.1
Total segment contribution margin	386.6			498.2
Corporate unallocated expenses (1)	(263.1		)	(252.4		)
Amortization of purchased intangible assets (2)	(7.3		)	(6.7		)
Share-based compensation expense	(65.0		)	(49.0		)
Share-based payroll tax expense	(0.4		)	(8.0		)
Restructuring and other charges	(2.0		)	0.3
Acquisition-related and other charges (3)	(1.1		)	(5.1		)
Total operating income	47.7			177.4
Other expense, net	(24.4		)	(6.5		)
Income before income taxes and noncontrolling interest	$	23.3		$	170.9

________________________________

(1) Amount includes unallocated costs for global functions such as sales, marketing, and G&A.

(2) Amount includes amortization expense of purchased intangible assets in operating expenses and in cost of revenues.

(3) Amount includes acquisition-related costs in operating expenses and in cost of revenues.

Net revenues by geographic region [Table Text Block]

The Company attributes revenues to geographic region based on the customer’s ship-to location. The following table shows net revenues by geographic region (in millions):

	Three Months Ended
	March 31,
	2012		2011
Americas:
United States	$	468.4	$	526.0
Other	62.9		55.6
Total Americas	531.3		581.6
Europe, Middle East, and Africa	307.1		299.9
Asia Pacific	194.1		220.1
Total	$	1,032.5	$	1,101.6

XML

Commitments and Contingencies (Details) (USD $)	3 Months Ended
	Mar. 31, 2012	Mar. 31, 2011	Dec. 31, 2011
Summarization of principal contractual obligations
Operating leases	$ 293,300,000
Purchase commitments	136,400,000
Long-term income taxes payable	111,400,000
Senior Notes	1,000,000,000
Interest Payable	849,700,000
Other contractual obligations	90,800,000
Total	2,481,600,000
Commitments Textuals [Abstract]
Rent expense	15,700,000	14,800,000
Accrual for estimated carrying charges or obsolete materials charges	15,600,000
Long-term debt	999,071,000		999,034,000
Long-term Debt, Gross	1,000,000,000
Indemnity-related and service-related escrows	29,200,000
Campus Build Out Commitments	47,600,000
Principal Contractual Obligations Maturity Period Current Year [Member]
Summarization of principal contractual obligations
Operating leases	42,900,000
Purchase commitments	136,400,000
Long-term income taxes payable	0
Senior Notes	0
Interest Payable	23,500,000
Other contractual obligations	81,000,000
Total	283,800,000
Principal Contractual Obligations Maturity Period Year One [Member]
Summarization of principal contractual obligations
Operating leases	47,000,000
Purchase commitments	0
Long-term income taxes payable	0
Senior Notes	0
Interest Payable	46,900,000
Other contractual obligations	4,800,000
Total	98,700,000
Principal Contractual Obligations Maturity Period Year Two [Member]
Summarization of principal contractual obligations
Operating leases	41,300,000
Purchase commitments	0
Long-term income taxes payable	0
Senior Notes	0
Interest Payable	46,900,000
Other contractual obligations	3,000,000
Total	91,200,000
Principal Contractual Obligations Maturity Period Year Three [Member]
Summarization of principal contractual obligations
Operating leases	34,800,000
Purchase commitments	0
Long-term income taxes payable	0
Senior Notes	0
Interest Payable	46,900,000
Other contractual obligations	2,000,000
Total	83,700,000
Principal Contractual Obligations Maturity Period Year Four [Member]
Summarization of principal contractual obligations
Operating leases	26,900,000
Purchase commitments	0
Long-term income taxes payable	0
Senior Notes	300,000,000
Interest Payable	41,900,000
Other contractual obligations	0
Total	368,800,000
Principal Contractual Obligations Maturity Period After Year Four [Member]
Summarization of principal contractual obligations
Operating leases	100,400,000
Purchase commitments	0
Long-term income taxes payable	0
Senior Notes	700,000,000
Interest Payable	643,600,000
Other contractual obligations	0
Total	1,444,000,000
Principal Contractual Obligations Other [Member]
Summarization of principal contractual obligations
Operating leases	0
Purchase commitments	0
Long-term income taxes payable	111,400,000
Senior Notes	0
Interest Payable	0
Other contractual obligations	0
Total	111,400,000
Fixed Rate Note Due 2016 [Member]
Commitments Textuals [Abstract]
Long-term Debt, Gross	300,000,000
Debt Instrument, Interest Rate, Stated Percentage	3.10%
Fixed Rate Note Due 2021 [Member]
Commitments Textuals [Abstract]
Long-term Debt, Gross	300,000,000
Debt Instrument, Interest Rate, Stated Percentage	4.60%
Fixed Rate Note Due 2041 [Member]
Commitments Textuals [Abstract]
Long-term Debt, Gross	$ 400,000,000
Debt Instrument, Interest Rate, Stated Percentage	5.95%

XML

Other Financial Information, Deferred Revenue (Details) (USD $)	Mar. 31, 2012	Dec. 31, 2011
Deferred Product Revenue [Abstract]
Deferred revenue, net	$ 999,600,000	$ 967,000,000
Deferred Revenue Reported as [Abstract]
Deferred Revenue, Current	760,621,000	712,663,000
Deferred Revenue, Noncurrent	238,964,000	254,364,000
Sales Revenue, Goods, Net [Member]
Deferred Product Revenue [Abstract]
Undelivered product commitments and other product deferrals	286,400,000	288,100,000
Distributor inventory and other sell-through items	114,000,000	134,000,000
Deferred gross product revenue	400,400,000	422,100,000
Deferred cost of product revenue	(118,400,000)	(136,900,000)
Deferred revenue, net	282,000,000	285,200,000
Sales Revenue, Services, Net [Member]
Deferred Product Revenue [Abstract]
Deferred revenue, net	$ 717,600,000	$ 681,800,000

XML

Subsequent Events (Details) (USD $) In Millions, except Per Share data, unless otherwise specified	3 Months Ended		1 Months Ended
	Mar. 31, 2012	Mar. 31, 2011	May 09, 2012 Repurchase of Equity [Member]
Subsequent Event [Line Items]
Stock Repurchased During Period, Shares			2.2
Stock Repurchased During Period, Value			$ 44.0
Common Stock Average Purchase Price			$ 20.09
Stock Repurchased and Retired During Period, Shares	2.4	4.8	2.0
Stock Repurchase Program, Remaining Authorized Repurchase Amount			$ 122.2

XML

Segments, Major Customers (Details)	3 Months Ended
	Mar. 31, 2012 Customer Concentration Risk [Member]	Mar. 31, 2011 Customer Concentration Risk [Member] Customer	Mar. 31, 2012 Property, Plant, and Equipment [Member] Geographic Concentration Risk [Member] UNITED STATES	Dec. 31, 2011 Property, Plant, and Equipment [Member] Geographic Concentration Risk [Member] UNITED STATES
Concentration Risk [Line Items]
Major Customers Revenues As Percentage Of Net Revenues	15.30%
Number of Customers Accounting for Ten Percent or More of Net Revenues		0
Concentration Risk, Percentage			80.00%	80.00%

XML

Cash, Cash Equivalents and Investments (Tables)

3 Months Ended

Mar. 31, 2012

Cash Cash Equivalents And Investments [Abstract]

Cash and cash equivalents [Table Text Block]

The following table summarizes the Company's cash and cash equivalents (in millions):

	As of
	March 31, 2012		December 31, 2011
Cash:
Demand deposits	$	680.6	$	633.7
Time deposits	885.9		926.0
Total cash	1,566.5		1,559.7
Cash equivalents:
U.S. government securities	102.0		—
Government-sponsored enterprise obligations	—		24.5
Commercial paper	15.0		10.0
Money market funds	1,229.6		1,316.2
Total cash equivalents	1,346.6		1,350.7
Total cash and cash equivalents	$	2,913.1	$	2,910.4

Unrealized gains and losses, and fair value of available-for-sale and trading securities [Text Block]

The following table summarizes the Company's unrealized gains and losses, based on the specific identification method, and fair value of investments designated as available-for-sale and trading securities, as of March 31, 2012, and December 31, 2011 (in millions):

	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses			Estimated Fair Value
As of March 31, 2012:
Fixed income securities:
U.S. government securities	$	376.9	$	—	$	(0.2	)	$	376.7
Government-sponsored enterprise obligations	275.7		0.5		—			276.2
Certificates of deposit	25.6		—		—			25.6
Commercial paper	15.0		—		—			15.0
Asset-backed securities	141.8		0.2		—			142.0
Corporate debt securities	566.9		1.7		(0.2		)	568.4
Money market funds	1,229.6		—		—			1,229.6
Total fixed income securities	2,631.5		2.4		(0.4		)	2,633.5
Publicly-traded equity securities	2.6		1.3		—			3.9
Total available-for-sale securities	2,634.1		3.7		(0.4		)	2,637.4
Trading securities (1)	11.9		—		—			11.9
Total	$	2,646.0	$	3.7	$	(0.4	)	$	2,649.3
Reported as:
Cash equivalents	$	1,346.6	$	—	$	—		$	1,346.6
Short-term investments	515.8		1.6		—			517.4
Long-term investments	783.6		2.1		(0.4		)	785.3
Total	$	2,646.0	$	3.7	$	(0.4	)	$	2,649.3

________________________________

(1) Balance includes the Company's non-qualified deferred compensation plan assets. For additional information, see Note 12, Employee Benefit Plans, under the section Deferred Compensation Plan.

	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses			Estimated Fair Value
As of December 31, 2011:
Fixed income securities:
U.S. government securities	$	301.1	$	—	$	(0.1	)	$	301.0
Government-sponsored enterprise obligations	430.8		0.3		(0.1		)	431.0
Certificates of deposit	31.8		—		—			31.8
Commercial paper	10.0		—		—			10.0
Asset-backed securities	124.7		0.1		(0.1		)	124.7
Corporate debt securities	508.2		1.0		(0.5		)	508.7
Money market funds	1,316.2		—		—			1,316.2
Total fixed income securities	2,722.8		1.4		(0.8		)	2,723.4
Total available-for-sale securities	2,722.8		1.4		(0.8		)	2,723.4
Trading securities (1)	9.3		—		—			9.3
Total	$	2,732.1	$	1.4	$	(0.8	)	$	2,732.7
Reported as:
Cash equivalents	$	1,350.7	$	—	$	—		$	1,350.7
Short-term investments	640.9		0.4		—			641.3
Long-term investments	740.5		1.0		(0.8		)	740.7
Total	$	2,732.1	$	1.4	$	(0.8	)	$	2,732.7

________________________________

(1) Balance includes the Company's non-qualified deferred compensation plan assets. For additional information, see Note 12, Employee Benefit Plans, under the section Deferred Compensation Plan.

Maturities of available-for-sale investments and publicly-traded securities [Text Block]

The following table presents the maturities of the Company's available-for-sale and trading securities, as of March 31, 2012 (in millions):

	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses			Estimated Fair Value
Due within one year	$	1,847.9	$	0.3	$	—		$	1,848.2
Due between one and five years	783.6		2.1		(0.4		)	785.3
No contractual maturity	14.5		1.3		—			15.8
Total	$	2,646.0	$	3.7	$	(0.4	)	$	2,649.3

Trading and available-for-sale investments in an unrealized loss position [Text Block]

The following tables present the Company's available-for-sale investments that are in an unrealized loss position as of March 31, 2012, and December 31, 2011 (in millions):

	Less than 12 Months					12 Months or Greater				Total
	Fair Value		Unrealized Loss			Fair Value		Unrealized Loss		Fair Value		Unrealized Loss
As of March 31, 2012
Corporate debt securities	$	117.8	$	(0.2	)	$	—	$	—	$	117.8	$	(0.2	)
U.S. government securities	207.2		(0.2		)	—		—		207.2		(0.2		)
Government-sponsored enterprise obligations (1)	34.5		—			—		—		34.5		—
Asset-backed securities (1)	23.5		—			0.4		—		23.9		—
Total	$	383.0	$	(0.4	)	$	0.4	$	—	$	383.4	$	(0.4	)

________________________________

(1) Balance includes investments that were in an immaterial unrealized loss position as of March 31, 2012.

	Less than 12 Months					12 Months or Greater				Total
	Fair Value		Unrealized Loss			Fair Value		Unrealized Loss		Fair Value		Unrealized Loss
As of December 31, 2011
Corporate debt securities	$	189.9	$	(0.5	)	$	—	$	—	$	189.9	$	(0.5	)
U.S. government securities	186.7		(0.1		)	—		—		186.7		(0.1		)
Government-sponsored enterprise obligations	146.0		(0.1		)	—		—		146.0		(0.1		)
Asset-backed securities (1)	76.8		(0.1		)	0.3		—		77.1		(0.1		)
Total	$	599.4	$	(0.8	)	$	0.3	$	—	$	599.7	$	(0.8	)

 ________________________________

(1) Balance includes investments that were in an immaterial unrealized loss position as of December 31, 2011.

Restricted cash and investments [Text Block]

The following table summarizes the Company's cash and investments that are classified as restricted cash and investments in the condensed consolidated balance sheets (in millions):

	As of
	March 31, 2012		December 31, 2011
Restricted cash:
Demand deposits	$	0.6	$	0.6
Total restricted cash	0.6		0.6
Restricted investments:
Corporate debt securities	1.7		1.6
Mutual funds	1.0		1.0
Money market funds	79.2		75.1
Total restricted investments	81.9		77.7
Total restricted cash and investments	$	82.5	$	78.3

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Derivative Instruments, Non-Designated Hedges (Details) (Foreign Exchange Contract [Member], USD $) In Millions, unless otherwise specified	3 Months Ended
	Mar. 31, 2012	Mar. 31, 2011
Derivative Instruments, Gain (Loss) [Line Items]
Maturity Period Of Non Designated Hedges Derivatives	approximately two months
Interest And Other Income, Net [Member]
Derivative Instruments, Gain (Loss) [Line Items]
Derivative instruments not designated as hedging instruments, loss	$ 0.1	$ (0.2)

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Cash, Cash Equivalents, and Investments - Maturities of Available for Sale Investments (Details) (USD $) In Millions, unless otherwise specified	3 Months Ended	12 Months Ended
	Mar. 31, 2012	Dec. 31, 2011
Available-for-sale and Trading Investments [Abstract]
Amortized cost due within one year	$ 1,847.9
Gross unrealized gains due within one year	0.3
Gross unrealized losses due within one year	0
Estimated fair value due within one year	1,848.2
Amortized cost due between one and five years	783.6
Gross unrealized gains due between one and five years	2.1
Gross unrealized losses due between one and five years	(0.4)
Estimated fair value due between one and five year	785.3
Estimated fair value, no contractual maturity	14.5
Gross unrealized gains, no contractual maturity	1.3
Gross unrealized losses, no contractual maturity	0
Amortized cost, no contractual maturity	15.8
Total investments, amortized cost	2,646.0	2,732.1
Total investments, gross unrealized gains	3.7	1.4
Total investments, gross unrealized losses	0.4	0.8
Total investments, estimated fair value	$ 2,649.3	$ 2,732.7

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Commitments and Contingencies, Legal Proceedings (Details) (USD $) In Millions, unless otherwise specified	Mar. 31, 2012
Loss Contingencies [Line Items]
Estimated Incremental Tax Liability Excluding Interest And Penalties Related to PNOD	$ 92
Estimated incremental tax liability excluding interest and penalties related to NOPA	$ 807
2011 California State Derivative Lawsuits [Member]
Loss Contingencies [Line Items]
Number of purported shareholder derivative actions	4
2011 Federal Derivative Lawsuit [Member]
Loss Contingencies [Line Items]
Number of purported shareholder derivative actions	2

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Business Combination, Intangible Assets Acquired (Details) (USD $) In Millions, unless otherwise specified			3 Months Ended		3 Months Ended			3 Months Ended		3 Months Ended
	Mar. 31, 2012	Feb. 13, 2012 Business Acquisition Acquired Entity Mykonos [Member] Business Acquisitions - 2012 [Member]	Mar. 31, 2012 Business Acquisition Acquired Entity Mykonos [Member] Business Acquisitions - 2012 [Member] Existing or Core Technology [Member] Y	Feb. 13, 2012 Business Acquisition Acquired Entity Mykonos [Member] Business Acquisitions - 2012 [Member] Existing or Core Technology [Member]	Mar. 31, 2012 Business Acquisition Acquired Entity Mykonos [Member] Business Acquisitions - 2012 [Member] Trade Name and Trademarks [Member] Y	Feb. 13, 2012 Business Acquisition Acquired Entity Mykonos [Member] Business Acquisitions - 2012 [Member] Trade Name and Trademarks [Member]	Mar. 08, 2012 Business Acquisition Acquired Entity BitGravity [Member] Business Acquisitions - 2012 [Member]	Mar. 31, 2012 Business Acquisition Acquired Entity BitGravity [Member] Business Acquisitions - 2012 [Member] Existing or Core Technology [Member] Y	Mar. 08, 2012 Business Acquisition Acquired Entity BitGravity [Member] Business Acquisitions - 2012 [Member] Existing or Core Technology [Member]	Mar. 31, 2012 Business Acquisition Acquired Entity BitGravity [Member] Business Acquisitions - 2012 [Member] Trade Name and Trademarks [Member] Y	Mar. 08, 2012 Business Acquisition Acquired Entity BitGravity [Member] Business Acquisitions - 2012 [Member] Trade Name and Trademarks [Member]
Business Acquisition [Line Items]
Acquired finite-lived intangible asset, estimated useful life (in years)			6		7			3		0
Acquired finite-lived intangible assets, amount				$ 19.3		$ 1.0			$ 12.4		$ 0
Acquired Indefinite-lived Intangible Asset, Amount		4.0					0
Acquired Finite and Indefinite Lived intangible Assets, Amount	$ 36.7	$ 24.3					$ 12.4

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Goodwill and Purchased Intangible Assets (Details) (USD $)	3 Months Ended
	Mar. 31, 2012	Mar. 31, 2011
Goodwill [Roll Forward]
Goodwill, beginning of period	$ 3,928,144,000
Goodwill acquired	59,600,000
Goodwill, end of period	3,987,707,000
Goodwill, Translation and Purchase Accounting Adjustments	0
Goodwill, Impairment Loss	0	0
PSD Segment [Member]
Goodwill [Roll Forward]
Goodwill, beginning of period	1,795,600,000
Goodwill acquired	0
Goodwill, end of period	1,795,600,000
SSD Segment [Member]
Goodwill [Roll Forward]
Goodwill, beginning of period	2,132,500,000
Goodwill acquired	59,600,000
Goodwill, end of period	$ 2,192,100,000

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Employee Benefit Plans, Share Based Compensation by Cost and Expense Categories (Details) (USD $) In Millions, unless otherwise specified	3 Months Ended
	Mar. 31, 2012	Mar. 31, 2011
Stock Based Compensation Expense Recorded in Cost and Expense Categories
Share-Based Compensation Expense	$ 65.0	$ 49.0
Cost of Revenues, Product [Member]
Stock Based Compensation Expense Recorded in Cost and Expense Categories
Share-Based Compensation Expense	1.1	1.0
Cost of Revenues, Service [Member]
Stock Based Compensation Expense Recorded in Cost and Expense Categories
Share-Based Compensation Expense	5.2	3.9
Research and Development Expense [Member]
Stock Based Compensation Expense Recorded in Cost and Expense Categories
Share-Based Compensation Expense	25.8	22.3
Selling and Marketing Expense [Member]
Stock Based Compensation Expense Recorded in Cost and Expense Categories
Share-Based Compensation Expense	21.9	13.2
General and Administrative Expense [Member]
Stock Based Compensation Expense Recorded in Cost and Expense Categories
Share-Based Compensation Expense	$ 11.0	$ 8.6

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Equity, Stock Repurchase Activities (Details) (USD $) Share data in Millions, except Per Share data, unless otherwise specified	3 Months Ended
	Mar. 31, 2012	Mar. 31, 2011
Stock Repurchased and Retired During Period, Shares	2.4	4.8
Common Stock Repurchased Under Stock Repurchase Program Average Purchase Price	$ 21.75	$ 42.14
Common stock repurchased and retired under stock repurchase programs, value	$ 51,600,000	$ 200,200,000
Stock Repurchase Program 2008 [Member]
Common stock authorized for repurchase under the 2010 and 2008 Stock Repurchase Programs	1,000,000,000
Stock Repurchase Program, Remaining Authorized Repurchase Amount	0
Stock Repurchase Program 2010 [Member]
Common stock authorized for repurchase under the 2010 and 2008 Stock Repurchase Programs	1,000,000,000
Stock Repurchase Program, Remaining Authorized Repurchase Amount	$ 162,200,000

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Fair Value Measurements by Balance Sheet Grouping (Details) (Fair Value, Measurements, Recurring [Member], USD $) In Millions, unless otherwise specified	Mar. 31, 2012	Dec. 31, 2011
Fair Value, Inputs, Level 1 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash equivalents measured at fair value	$ 1,229.6	$ 1,316.2
Short-term investments measured at fair value	185.5	168.9
Long-term investments measured at fair value	269.5	303.9
Restricted cash and investments measured at fair value	80.2	76.1
Prepaid expenses and other current assets measured at fair value	0	0
Total assets measured at fair value	1,764.8	1,865.1
Other accrued liabilities measured at fair value	0	0
Liabilities measured at fair value	0	0
Fair Value, Inputs, Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash equivalents measured at fair value	117.0	34.5
Short-term investments measured at fair value	331.9	472.4
Long-term investments measured at fair value	515.8	436.8
Restricted cash and investments measured at fair value	1.7	1.6
Prepaid expenses and other current assets measured at fair value	2.4	0.4
Total assets measured at fair value	968.8	945.7
Other accrued liabilities measured at fair value	3.1	9.6
Liabilities measured at fair value	3.1	9.6
Fair Value, Inputs, Level 3 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash equivalents measured at fair value	0	0
Short-term investments measured at fair value	0	0
Long-term investments measured at fair value	0	0
Restricted cash and investments measured at fair value	0	0
Prepaid expenses and other current assets measured at fair value	0	0
Total assets measured at fair value	0	0
Other accrued liabilities measured at fair value	0	0
Liabilities measured at fair value	0	0
Estimate of Fair Value, Fair Value Disclosure [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash equivalents measured at fair value	1,346.6	1,350.7
Short-term investments measured at fair value	517.4	641.3
Long-term investments measured at fair value	785.3	740.7
Restricted cash and investments measured at fair value	81.9	77.7
Prepaid expenses and other current assets measured at fair value	2.4	0.4
Total assets measured at fair value	2,733.6	2,810.8
Other accrued liabilities measured at fair value	3.1	9.6
Liabilities measured at fair value	$ 3.1	$ 9.6

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Net Income per Share (Notes)

3 Months Ended

Mar. 31, 2012

Earnings Per Share [Abstract]

Earnings Per Share [Text Block]

Net Income per Share

The Company computed basic and diluted net income per share attributable to Juniper Networks common stockholders as follows (in millions, except per share amounts):

	Three Months Ended March 31,
	2012		2011
Numerator:
Net income attributable to Juniper Networks	$	16.3	$	129.8
Denominator:
Weighted-average shares used to compute basic net income per share	527.2		530.8
Dilutive effect of employee stock awards	6.5		18.0
Weighted-average shares used to compute diluted net income per share	533.7		548.8
Net income per share attributable to Juniper Networks common stockholders:
Basic	$	0.03	$	0.24
Diluted	$	0.03	$	0.24

Basic net income per share is computed using net income available to common stockholders and the weighted-average number of common shares outstanding for the period. Diluted net income per share is computed using net income available to common stockholders and the weighted-average number of common shares outstanding plus potentially dilutive common shares outstanding during the period. Dilutive potential common shares consist of common shares issuable upon exercise of stock options, employee stock purchase plan, vesting of restricted stock units ("RSUs"), and vesting of performance share awards ("PSAs").

The Company excludes both outstanding stock options with exercise prices that are greater than the average market price and RSUs with grant date fair market value that are greater than the average market price from the calculation of diluted net income per share because their effect would be anti-dilutive. The Company includes the common shares underlying PSAs in the calculation of diluted net income per share when they become contingently issuable and excludes such shares when they are not contingently issuable. Potentially dilutive common shares of approximately 30.6 million and 5.8 million shares were outstanding but were not included in the computation of diluted net income per share for the three months ended March 31, 2012 and 2011, respectively.

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Equity, Comprehensive Income (Details) (USD $)	3 Months Ended
	Mar. 31, 2012	Mar. 31, 2011
Consolidated net income	$ 16,270,000	$ 129,660,000
Other Comprehensive Income (Loss), Net of Tax:
Change in net unrealized (loss) gain on investments, net of tax of nil	12,300,000	4,400,000
Change in foreign currency translation adjustment, net of tax of nil	4,600,000	6,600,000
Other Comprehensive Income (Loss), Tax [Abstract]
Other comprehensive income (loss), unrealized holding gain (loss) on securities arising during period, tax
Other comprehensive income (loss), foreign currency translation adjustment, tax
Total other comprehensive income (loss), net of tax	16,900,000	11,000,000
Consolidated comprehensive income	33,200,000	140,700,000
Adjust for comprehensive loss attributable to noncontrolling interest	0	100,000
Comprehensive income attributable to Juniper Networks	$ 33,148,000	$ 140,847,000

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Cash, Cash Equivalents, and Investments - Unrealized Loss for Trading and Available for Sale Investments (Details) (USD $) In Millions, unless otherwise specified	Mar. 31, 2012		Dec. 31, 2011
Schedule of Available-for-sale Securities [Line Items]
Fair value, less than 12 months	$ 383.0		$ 599.4
Unrealized loss, less than 12 months	(0.4)		(0.8)
Fair value, 12 months or greater	0.4		0.3
Unrealized loss, 12 months or greater	0		0
Total fair value, Available-for-sale investments in continuous unrealized loss position	383.4		599.7
Total unrealized loss, Available-for-sale investments in continuous unrealized loss position	(0.4)		(0.8)
Corporate Debt Securities [Member]
Schedule of Available-for-sale Securities [Line Items]
Fair value, less than 12 months	117.8		189.9
Unrealized loss, less than 12 months	(0.2)		(0.5)
Fair value, 12 months or greater	0		0
Unrealized loss, 12 months or greater	0		0
Total fair value, Available-for-sale investments in continuous unrealized loss position	117.8		189.9
Total unrealized loss, Available-for-sale investments in continuous unrealized loss position	(0.2)		(0.5)
US Government Debt Securities [Member]
Schedule of Available-for-sale Securities [Line Items]
Fair value, less than 12 months	207.2		186.7
Unrealized loss, less than 12 months	(0.2)		(0.1)
Fair value, 12 months or greater	0		0
Unrealized loss, 12 months or greater	0		0
Total fair value, Available-for-sale investments in continuous unrealized loss position	207.2		186.7
Total unrealized loss, Available-for-sale investments in continuous unrealized loss position	(0.2)		(0.1)
US Government-sponsored Enterprises Debt Securities [Member]
Schedule of Available-for-sale Securities [Line Items]
Fair value, less than 12 months	34.5	[1]	146.0
Unrealized loss, less than 12 months	0	[1]	(0.1)
Fair value, 12 months or greater	0	[1]	0
Unrealized loss, 12 months or greater	0	[1]	0
Total fair value, Available-for-sale investments in continuous unrealized loss position	34.5	[1]	146.0
Total unrealized loss, Available-for-sale investments in continuous unrealized loss position	0	[1]	(0.1)
Asset-backed Securities [Member]
Schedule of Available-for-sale Securities [Line Items]
Fair value, less than 12 months	23.5	[1]	76.8	[2]
Unrealized loss, less than 12 months	0	[1]	(0.1)	[2]
Fair value, 12 months or greater	0.4	[1]	0.3	[2]
Unrealized loss, 12 months or greater	0	[1]	0	[2]
Total fair value, Available-for-sale investments in continuous unrealized loss position	23.9	[1]	77.1	[2]
Total unrealized loss, Available-for-sale investments in continuous unrealized loss position	$ 0	[1]	$ (0.1)	[2]

[1] Balance includes investments that were in an immaterial unrealized loss position as of March 31, 2012.

[2] Balance includes investments that were in an immaterial unrealized loss position as of December 31, 2011.

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Other Financial Information (Tables)

3 Months Ended

Mar. 31, 2012

Other Financial Information [Abstract]

Schedule of Inventory, Current [Table Text Block]

Inventories, net are reported within prepaid expenses and other current assets on the condensed consolidated balance sheet, and consist of the following (in millions):

	As of
	March 31, 2012		December 31, 2011
Inventories, net
Production materials	$	77.3	$	52.4
Finished goods	14.7		16.7
Total inventories, net	$	92.0	$	69.1

Warranties [Table Text Block]

Changes in the Company’s warranty reserve were as follows (in millions):

	Three Months Ended
	March 31,
	2012			2011
Beginning balance	$	28.3		$	35.9
Provisions made during the period, net	8.9			15.3
Change in estimate	—			(0.8		)
Actual costs incurred during the period	(7.9		)	(12.1		)
Ending balance	$	29.3		$	38.3

Deferred revenue [Table Text Block]

Details of the Company's deferred revenue, as reported on the condensed consolidated balance sheets, were as follows (in millions):

	As of
	March 31, 2012			December 31, 2011
Deferred product revenue:
Undelivered product commitments and other product deferrals	$	286.4		$	288.1
Distributor inventory and other sell-through items	114.0			134.0
Deferred gross product revenue	400.4			422.1
Deferred cost of product revenue	(118.4		)	(136.9		)
Deferred product revenue, net	282.0			285.2
Deferred service revenue	717.6			681.8
Total	$	999.6		$	967.0
Reported as:
Current	$	760.6		$	712.6
Long-term	239.0			254.4
Total	$	999.6		$	967.0

Changes in restructuring liability [Table Text Block]

The following table provides a summary of changes in the Company’s restructuring liability (in millions):

	Remaining Liability as of December 31, 2011		Charges			Cash payments			Non-cash Settlements and Other Adjustments		Remaining Liability as of March 31, 2012
Facilities	$	1.0	$	(0.2	)	$	(0.2	)	$	—	$	0.6
Severance, contractual commitments, and other charges	3.1		2.2			(1.7		)	0.9		4.5
Total	$	4.1	$	2.0		$	(1.9	)	$	0.9	$	5.1

Interest and other income, net [Table Text Block]

Other expense and income, net consists of the following (in millions):

	Three Months Ended
	March 31,
	2012			2011
Interest income	$	2.8		$	2.4
Interest expense	(14.2		)	(6.5		)
Other	(13.0		)	(2.4		)
Other (expense) income, net	$	(24.4	)	$	(6.5	)

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Goodwill and Purchased Intangible Assets (Tables)

3 Months Ended

Mar. 31, 2012

Goodwill and Intangible Assets Disclosure [Abstract]

Schedule of finite lived and indefinite lived intangible assets by major class [Text Block]

Changes to the Company’s purchased intangible assets were as follows (in millions):

	Gross		Accumulated Amortization			Net
As of March 31, 2012:
Intangible assets with finite lives:
Technologies and patents	$	531.2	$	(410.5	)	$	120.7
Other	92.5		(67.5		)	25.0
Total intangible assets with finite lives	623.7		(478.0		)	145.7
IPR&D with indefinite lives	6.8		—			6.8
Total purchased intangible assets	$	630.5	$	(478.0	)	$	152.5
As of December 31, 2011:
Intangible assets with finite lives:
Technologies and patents	$	499.5	$	(404.2	)	$	95.3
Other	91.5		(66.5		)	25.0
Total intangible assets with finite lives	591.0		(470.7		)	120.3
IPR&D with indefinite lives	2.8		—			2.8
Total purchased intangible assets	$	593.8	$	(470.7	)	$	123.1

Schedule of Goodwill [Table Text Block]

The following table presents the goodwill allocated to the Company's reportable segments as of and during the three months ended March 31, 2012 (in millions):

	PSD		SSD		Total
Balance as of January 1, 2012	$	1,795.6	$	2,132.5	$	3,928.1
Additions due to business combinations	—		59.6		59.6
Balance as of March 31, 2012	1,795.6		2,192.1		3,987.7

Estimated future amortization expense of purchased intangible assets with definite lives [Text Block]

The estimated future amortization expense of purchased intangible assets with finite lives is as follows (in millions):

Years Ending December 31,	Amount
2012 (remaining nine months)	$	26.2
2013	34.7
2014	32.8
2015	24.8
2016	11.1
Thereafter	16.1
Total	$	145.7

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Other Financial Information, Warranties (Details) (USD $) In Millions, unless otherwise specified	3 Months Ended
	Mar. 31, 2012	Mar. 31, 2011
Movement in Standard Product Warranty Accrual [Roll Forward]
Beginning balance	$ 28.3	$ 35.9
Provisions made during the period, net	8.9	15.3
Change in estimate	0	(0.8)
Actual costs incurred during the period	(7.9)	12.1
Ending balance	$ 29.3	$ 38.3

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Cash, Cash Equivalents, and Investments - Restricted Cash (Details) (USD $)	Mar. 31, 2012	Dec. 31, 2011
Restricted Cash and Investments [Abstract]
Restricted cash and investments	$ 82,504,000	$ 78,307,000
Restricted Cash [Member]
Restricted Cash and Investments [Abstract]
Restricted cash	600,000	600,000
Demand Deposits [Member]
Restricted Cash and Investments [Abstract]
Restricted cash	600,000	600,000
Restricted Investments [Member]
Restricted Cash and Investments [Abstract]
Restricted investments	81,900,000	77,700,000
Corporate Debt Securities [Member]
Restricted Cash and Investments [Abstract]
Restricted investments	1,700,000	1,600,000
Mutual Funds [Member]
Restricted Cash and Investments [Abstract]
Restricted investments	1,000,000	1,000,000
Money Market Funds [Member]
Restricted Cash and Investments [Abstract]
Restricted investments	$ 79,200,000	$ 75,100,000

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Long-Term Debt and Financing (Tables)

3 Months Ended

Mar. 31, 2012

Debt Instruments [Abstract]

Long-term Debt [Table Text Block]

The following table summarizes the Company's long-term debt (in millions, except percentages):

	As of
	March 31, 2012
	Amount			Effective Interest Rates
Senior notes:
3.10% fixed-rate notes, due 2016	$	300.0		3.12	%
4.60% fixed-rate notes, due 2021	300.0			4.63	%
5.95% fixed-rate notes, due 2041	400.0			6.01	%
Total senior notes	1,000.0
Unaccreted discount	(0.9		)
Total	$	999.1

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Equity (Tables)

3 Months Ended

Mar. 31, 2012

Stockholders' Equity Note [Abstract]

Comprehensive Income (Loss) Note [Table Text Block]

Comprehensive income attributable to Juniper Networks consists of the following (in millions):

	Three Months Ended
	March 31,
	2012		2011
Consolidated net income	$	16.3	$	129.7
Other comprehensive income, net of tax:
Change in unrealized gain on investments, net of tax of nil	12.3		4.4
Change in foreign currency translation adjustment, net of tax of nil	4.6		6.6
Total other comprehensive income, net of tax	16.9		11.0
Consolidated comprehensive income	33.2		140.7
Adjust for comprehensive loss attributable to noncontrolling interest, net of tax	—		0.1
Comprehensive income attributable to Juniper Networks	$	33.2	$	140.8

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Business Combination (Notes)

3 Months Ended

Mar. 31, 2012

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.

Q1'12 Acquisitions

In the three months ended March 31, 2012, the Company completed two acquisitions. The fair values of certain tangible assets and liabilities acquired, income based taxes, and residual goodwill are not yet finalized and subject to change. The Company expects to continue to obtain information to assist in determining the fair value of the net assets acquired at the acquisition date during the measurement period. Measurement period adjustments determined to be material will be applied retrospectively to the period of acquisition.

On February 13, 2012, the Company acquired 100% of the equity securities of Mykonos Software, Inc ("Mykonos") for $82.6 million in cash. The acquisition of Mykonos is intended to extend Juniper's security portfolio with an intrusion deception system capable of detecting an attacker before an attack is in process. In connection with this acquisition, the Company acquired net liabilities of $0.8 million, and recognized goodwill of $59.1 million, which was assigned to the SSD segment.

On March 8, 2012, the Company acquired a source code license and patent joint-ownership related to the service management layer of BitGravity, Inc ("BitGravity") Content Delivery Network ("CDN") technology for $13.0 million in cash. The transaction complements the Company's Media Flow Solution and content and media delivery strategy, to enables service providers, on-line media companies, and content delivery networks to deliver on-line content more cost-effectively while simultaneously improving the end-user experience.In connection with this acquisition, the Company acquired net assets of $0.1 million, and recognized goodwill of $0.5 million, which was assigned to the SSD segment.

The following table presents the preliminary purchase consideration allocations for these acquisitions, including cash and cash equivalents acquired (in millions):

	Q1'12 Acquisitions
	Mykonos			BitGravity		Total
Net tangible assets/(liabilities) acquired	$	(0.8	)	$	0.1	$	(0.7	)
Intangible assets acquired	24.3			12.4		36.7
Goodwill	59.1			0.5		59.6
Total	$	82.6		$	13.0	$	95.6

The Company recognized $1.1 million and $5.1 million of acquisition-related costs during the first quarter of 2012 and 2011, respectively. These acquisition related charges were expensed in the period incurred and reported in the Company's condensed consolidated statements of comprehensive income within cost of revenues and operating expenses.

The goodwill recognized is attributable primarily to expected synergies. None of the goodwill is deductible for U.S. federal income tax purposes for the acquisitions completed during the first quarter of 2012.

Intangible Assets Acquired

The following table presents details of the intangible assets acquired through the business combinations completed during the first quarter of 2012 (in millions, except years):

	Q1'12 Acquisitions
	Mykonos			BitGravity
	Estimated Useful Life (In Years)	Amount		Estimated Useful Life (In Years)	Amount
Existing technology	6	$	19.3	3	$	12.4
Trade name and trademarks	7	1.0		—	—
In-process research and development	—	4.0		—	—
Total		$	24.3		$	12.4

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.

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Employee Benefit Plans (Tables)

3 Months Ended

Mar. 31, 2012

Employee Benefits and Share-based Compensation [Abstract]

Schedule of Share-based Compensation, Stock Options, Activity [Table Text Block]

The following table summarizes the Company’s stock option activity and related information as of and for the three months ended March 31, 2012 (in millions, except for per share amounts and years):

	Outstanding Options
	Number of Shares		Weighted Average Exercise Price per Share		Weighted Average Remaining Contractual Term (In Years)	Aggregate Intrinsic Value
Balance at January 1, 2012	38.6		$	23.98
Options granted	3.0		22.93
Options canceled	(0.5	)	28.48
Options exercised	(0.7	)	12.67
Options expired	(0.2	)	26.18
Balance at March 31, 2012	40.2		$	24.02	3.7	$	106.4
As of March 31, 2012:
Vested or expected-to-vest options	38.3		$	23.80	3.6	$	104.5
Exercisable options	27.7		$	22.47	2.9	$	87.7

Schedule of Nonvested Share Activity [Table Text Block]

The following table summarizes the Company’s RSU and PSA activity and related information as of and for the three months ended March 31, 2012 (in millions, except per share amounts and years):

	Outstanding RSUs and PSAs
	Number of Shares		Weighted Average Grant-Date Fair Value per Share		Weighted Average Remaining Contractual Term (In Years)	Aggregate Intrinsic Value
Balance at January 1, 2012	19.6		$	30.27
RSUs granted	6.5		22.04
RSUs assumed	0.2		22.47
PSAs granted (1)	2.2		23.22
RSUs vested	(1.6	)	27.55
PSAs vested	(1.4	)	15.63
RSUs canceled	(0.4	)	30.20
PSAs canceled	(0.4	)	31.73
Balance at March 31, 2012	24.7		$	28.54	1.6	$	558.3
As of March 31, 2012:
Vested and expected-to-vest RSUs and PSAs	28.8		$	—	1.4	$	456.5

________________________________

(1) The number of shares subject to PSAs granted represents the aggregate maximum number of shares that may be issued pursuant to the award over its full term. The aggregate number of shares subject to these PSAs that would be issued if performance goals determined by the Compensation Committee are achieved at target is 0.9 million shares. Depending on achievement of such performance goals, the range of shares that could be issued under these awards is 0 to 2.2 million shares.

Shares available for grant [Table Text Block]

The following table presents the stock grant activity and the total number of shares available for grant under the 2006 Plan as of March 31, 2012 (in millions):

	Number of Shares
Balance at January 1, 2012	41.1
RSUs and PSAs granted (1)	(18.3	)
Options granted	(3.0	)
RSUs and PSAs canceled (1)	1.7
Options canceled (2)	0.5
Options expired (2)	0.2
Balance at March 31, 2012	22.2

________________________________

(1) RSUs and PSAs with a per share or unit purchase price lower than 100% of the fair market value of the Company's common stock on the day of the grant under the 2006 Plan are counted against shares authorized under the plan as two and one-tenth shares of common stock for each share subject to such award. The number of shares subject to PSAs granted represents the maximum number of shares that may be issued pursuant to the award over its full term.

(2) Includes canceled or expired options under the 1996 Plan and the 2000 Plan that expired unexercised after May 18, 2006, which become available for grant under the 2006 Plan according to its terms.

Estimates of Weighted Average Fair Value Per Share Under Employee Purchase Plan And Stock Purchase Plan [Table Text Block]

The weighted average assumptions used and the resulting estimates of fair value for employee stock options and the employee stock purchase plan during the three months ended March 31, 2012 and 2011 were:

	Three Months Ended March 31,
	2012	2011
Employee Stock Options:
Volatility factor	46%	41%
Risk-free interest rate	0.8%	1.7%
Expected life (years)	4.2	4.1
Dividend yield	—	—
Fair value per share	$8.51	$14.43
Employee Stock Purchase Plan:
Volatility factor	51%	33%
Risk-free interest rate	0.1%	1.8%
Expected life (years)	0.5	0.5
Dividend yield	—	—
Weighted-average fair value per share	$6.38	$9.07

Schedule of Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Table Text Block]

The Company’s share-based compensation expense associated with stock options, employee stock purchases, RSUs, and PSAs is recorded in the following cost and expense categories for the three months ended March 31, 2012, and 2011 (in millions):

	Three Months Ended
	March 31,
	2012		2011
Cost of revenues - Product	$	1.1	$	1.0
Cost of revenues - Service	5.2		3.9
Research and development	25.8		22.3
Sales and marketing	21.9		13.2
General and administrative	11.0		8.6
Total	$	65.0	$	49.0

Disclosure of Share-based Compensation Arrangements by Share-based Payment Award [Table Text Block]

The following table summarizes share-based compensation expense by award type (in millions):

	Three Months Ended March 31,
	2012		2011
Options	$	17.7	$	19.7
RSUs and PSAs	41.6		23.4
Assumed RSUs	0.2		—
Employee stock purchase plan	5.5		4.4
Other acquisition-related compensation	—		1.5
Total	$	65.0	$	49.0

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Cash, Cash Equivalents and Investments (Details) (USD $) In Thousands, unless otherwise specified	Mar. 31, 2012	Dec. 31, 2011	Mar. 31, 2011	Dec. 31, 2010
Cash and cash equivalents	$ 2,913,095	$ 2,910,420	$ 2,944,383	$ 1,811,887
Cash [Member]
Cash and cash equivalents	1,566,500	1,559,700
Demand Deposits [Member]
Cash and cash equivalents	680,600	633,700
Bank Time Deposits [Member]
Cash and cash equivalents	885,900	926,000
Cash Equivalents [Member]
Cash and cash equivalents	1,346,600	1,350,700
US Treasury Securities [Member]
Cash and cash equivalents	102,000	0
US Government-sponsored Enterprises Debt Securities [Member]
Cash and cash equivalents	0	24,500
Commercial Paper [Member]
Cash and cash equivalents	15,000	10,000
Money Market Funds [Member]
Cash and cash equivalents	$ 1,229,600	$ 1,316,200

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Goodwill and Purchased Intangible Assets, Finite Lived Intangible Assets by Class (Details) (USD $)	3 Months Ended
	Mar. 31, 2012		Mar. 31, 2011		Dec. 31, 2011
Purchased Intangible Assets [Line Items]
Finite-Lived Intangible Assets, Gross	$ 623,700,000				$ 591,000,000
Finite-Lived Intangible Assets, Accumulated Amortization	(478,000,000)				(470,700,000)
Finite-Lived Intangible Assets, Net	145,700,000				120,300,000
Intangible Assets Gross Excluding Goodwill	630,500,000				593,800,000
Purchased Intangible Assets, Accumulated Amortization	(478,000,000)				(470,700,000)
Intangible Assets, Net (Excluding Goodwill)	152,541,000				123,114,000
Amortization Of Purchased Intangible Assets	7,300,000	[1]	6,700,000	[1]
Impairment of finite-lived intangible assets	0		0
In Process Research And Development [Member]
Purchased Intangible Assets [Line Items]
Indefinite-lived Intangible Assets	6,800,000				2,800,000
Technologies and Patents [Member]
Purchased Intangible Assets [Line Items]
Finite-Lived Intangible Assets, Gross	531,200,000				499,500,000
Finite-Lived Intangible Assets, Accumulated Amortization	(410,500,000)				(404,200,000)
Finite-Lived Intangible Assets, Net	120,700,000				95,300,000
Other Intangible Assets [Member]
Purchased Intangible Assets [Line Items]
Finite-Lived Intangible Assets, Gross	92,500,000				91,500,000
Finite-Lived Intangible Assets, Accumulated Amortization	(67,500,000)				(66,500,000)
Finite-Lived Intangible Assets, Net	$ 25,000,000				$ 25,000,000

[1] Amount includes amortization expense of purchased intangible assets in operating expenses and in cost of revenues.

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Income Taxes (Details) (USD $)	3 Months Ended
	Mar. 31, 2012	Mar. 31, 2011
Income Tax Contingency [Line Items]
Income tax provision	$ 7,008,000	$ 41,271,000
Effective Income Tax Rate, Continuing Operations, Tax Rate Reconciliation [Abstract]
Effective tax rate	30.10%	24.10%
Federal statutory rate	35.00%	35.00%
Unrecognized Tax Benefits, Reductions Resulting from Lapse of Applicable Statute of Limitations	3,400,000
Possible decrease in gross unrecognized tax benefits within next 12 months	2,700,000
Domestic Country [Member]
Effective Income Tax Rate, Continuing Operations, Tax Rate Reconciliation [Abstract]
Unrecognized Tax Benefits, Increases Resulting from Current Period Tax Positions	2,900,000
Foreign Country [Member]
Effective Income Tax Rate, Continuing Operations, Tax Rate Reconciliation [Abstract]
Number of Ongoing Tax Examinations	2
Interest and penalties recorded	$ 4,600,000

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Condensed Consolidated Statements of Comprehensive Income (Unaudited) (USD $) In Thousands, except Per Share data, unless otherwise specified	3 Months Ended
	Mar. 31, 2012	Mar. 31, 2011
Net revenues:
Product	$ 771,873	$ 877,440
Service	260,625	224,172
Total net revenues	1,032,498	1,101,612
Cost of revenues:
Product	280,629	265,746
Service	117,814	99,981
Total cost of revenues	398,443	365,727
Gross margin	634,055	735,885
Operating expenses:
Research and development	269,602	261,979
Sales and marketing	257,719	246,291
General and administrative	54,666	44,924
Amortization of purchased intangible assets	1,178	1,544
Restructuring	2,039	(347)
Acquisition-related	1,142	4,101
Total operating expenses	586,346	558,492
Operating income	47,709	177,393
Other expense, net	(24,431)	(6,462)
Income before income taxes and noncontrolling interest	23,278	170,931
Income tax provision	7,008	41,271
Consolidated net income	16,270	129,660
Adjust for net loss attributable to noncontrolling interest	0	90
Net income attributable to Juniper Networks	16,270	129,750
Net income per share attributable to Juniper Networks common stockholders:
Basic	$ 0.03	$ 0.24
Diluted	$ 0.03	$ 0.24
Shares used in computing net income per share:
Basic	527,186	530,789
Diluted	533,683	548,825
Comprehensive income	$ 33,148	$ 140,847

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Cash, Cash Equivalents, and Investments - Textuals (Details) (USD $)	3 Months Ended				3 Months Ended					3 Months Ended
	Mar. 31, 2012 investments	Dec. 31, 2011 investments	Apr. 08, 2010	Mar. 31, 2012 Business Acquisition Acquired Entity Ankeena [Member] month	Mar. 31, 2012 Cost Method Investee, Privately Held Companies	Mar. 31, 2011 Cost Method Investee, Privately Held Companies	Dec. 31, 2011 Cost Method Investee, Privately Held Companies	Mar. 31, 2012 Fair Value, Measurements, Nonrecurring [Member] Cost Method Investee, Privately Held Companies	Dec. 31, 2011 Fair Value, Measurements, Nonrecurring [Member] Cost Method Investee, Privately Held Companies	Mar. 31, 2012 Fair Value, Measurements, Nonrecurring [Member] Fair Value, Inputs, Level 3 [Member] Cost Method Investee, Privately Held Companies	Mar. 31, 2011 Fair Value, Measurements, Nonrecurring [Member] Fair Value, Inputs, Level 3 [Member] Cost Method Investee, Privately Held Companies
Total investments In unrealized loss position	89	135
Decrease in Restricted Cash	$ 79,000,000
Business Acquisition, Cash Value of Unvested Restricted Shares			10,700,000	100,000
Business Acquisition, Payments for Restricted Shares That Have Vested				10,600,000
Vesting Period For Restricted Shares				6
Minority equity investment					36,000,000		51,800,000	6,000,000	400,000
Investment in privately-held companies					1,100,000	6,000,000
Cost-method Investments, Other than Temporary Impairment	$ 14,000,000									$ 14,000,000	$ 0

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Basis of Presentation (Notes)

3 Months Ended

Mar. 31, 2012

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Basis of Presentation [Text Block]

Basis of Presentation

The unaudited Condensed Consolidated Financial Statements of Juniper Networks, Inc. (“Juniper Networks” or the “Company”) have been prepared in accordance with U.S. generally accepted accounting principles (“U.S. GAAP”) for interim financial information as well as the instructions to Form 10-Q and the rules and regulations of the U.S. Securities and Exchange Commission (“SEC”). Accordingly, they do not include all of the information and footnotes required by U.S. GAAP for complete financial statements. The Condensed Consolidated Balance Sheet as of December 31, 2011, is derived from the audited consolidated financial statements for the year ended December 31, 2011. In the opinion of management, all adjustments, including normal recurring accruals, considered necessary for a fair presentation have been included. The results of operations for the three months ended March 31, 2012, are not necessarily indicative of the results that may be expected for the year ending December 31, 2012, or any future period. The information included in this Quarterly Report on Form 10-Q should be read in conjunction with “Management's Discussion and Analysis of Financial Condition and Results of Operations,” “Risk Factors,” “Quantitative and Qualitative Disclosures About Market Risk,” and the Consolidated Financial Statements and footnotes thereto included in the Company's Annual Report on Form 10-K for the year ended December 31, 2011.

The preparation of financial statements in accordance with U.S. GAAP requires management to make estimates and assumptions that affect the amounts reported in the Consolidated Condensed Financial Statements and accompanying notes. Actual results could differ materially from those estimates.

Beginning in the first quarter of 2012, the Company aligned its organizational structure to focus on its platform and software strategy, which resulted in two reportable segments organized principally by product families: Platform Systems Division ("PSD") and Software Solutions Division ("SSD"). In fiscal 2011, the Company was organized into two reportable segments, Infrastructure and Service Layer Technology ("SLT"). The Company has reclassified the segment data for the prior period to conform to the current period's presentation. The segment change did not impact previously reported consolidated net revenues, operating income, net income, and net income per share. See Note 13, Segments for further discussion of the Company's segment reorganization.

As of March 31, 2012, the Company owned a 60 percent interest in a joint venture with Nokia Siemens Networks B.V. (“NSN”). Given the Company's majority ownership interest in the joint venture, the accounts of the joint venture have been consolidated with the accounts of the Company, and a noncontrolling interest has been recorded for the noncontrolling investor's interests in the net assets and operations of the joint venture. In July 2011, NSN and the Company entered into an agreement to cease operation of and terminate the joint venture. NSN has assumed the activities of the joint venture. The Company is in the process of winding down this joint venture and the termination of this joint venture is not expected to have a material effect on the Company's financial position or results of operations.

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Other Financial Information, Interest and Other Income Net (Details) (USD $)	3 Months Ended
	Mar. 31, 2012	Mar. 31, 2011
Component of Other Income, Nonoperating [Line Items]
Interest income	$ 2,800,000	$ 2,400,000
Interest expense	(14,200,000)	(6,500,000)
Other	(13,000,000)	(2,400,000)
Other income (expense), net	(24,431,000)	(6,462,000)
Cost-method Investments, Other than Temporary Impairment	$ (14,000,000)

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Basis of Presentation (Details)	Mar. 31, 2012
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Company's interest in the joint venture - NSN	60.00%

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Employee Benefit Plans, Shares Available For Grant (Details) In Millions, unless otherwise specified	1 Months Ended		3 Months Ended
	May 31, 2011	May 31, 2010	Mar. 31, 2012
Shares Available For Grant
Options Granted, Number of Shares			(3.0)
Options Canceled, Number of Shares			0.5
Options Expired, Number of Shares			0.2
Common Stock, Capital Shares Reserved for Future Issuance			93.0
Employee Stock Purchase Plan [Member]
Shares Available For Grant
Common Stock, Capital Shares Reserved for Future Issuance			4.3
Restricted Stock Units and Performance Share Awards [Member]
Shares Available For Grant
Fair Market Value on Date of Grant For RSUS And PSAS Issued at Discount, Maximum Percentage			100.00%
Common Stock for Each Share Subject to RSUs and PSAs			2.1
Equity Incentive Plan 2006 [Member]
Shares Available For Grant
Beginning Balance, Number of Shares			41.1
Additional Authorized Share Reserve Approved By Shareholders	30.0	30.0
Awards Granted, Number of Shares			(18.3)	[1]
Options Granted, Number of Shares			(3.0)
Awards Canceled, Number of Shares			1.7	[1]
Options Canceled, Number of Shares			0.5	[2]
Options Expired, Number of Shares			0.2	[2]
Ending Balance, Number of Shares			22.2

[1] RSUs and PSAs with a per share or unit purchase price lower than 100% of the fair market value of the Company's common stock on the day of the grant under the 2006 Plan are counted against shares authorized under the plan as two and one-tenth shares of common stock for each share subject to such award. The number of shares subject to PSAs granted represents the maximum number of shares that may be issued pursuant to the award over its full term.

[2] Includes canceled or expired options under the 1996 Plan and the 2000 Plan that expired unexercised after May 18, 2006, which become available for grant under the 2006 Plan according to its terms.

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Summary of Significant Accounting Policies (Policies)

3 Months Ended

Mar. 31, 2012

New Accounting Pronouncements and Changes in Accounting Principles [Abstract]

Recent Accounting Pronouncements

Recent Accounting Pronouncements

In September 2011, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") No. 2011-08, Topic 350 - Intangibles - Goodwill and Other ("ASU 2011-08"), which amends Topic 350 and provides entities an option to perform a qualitative assessment to determine whether further impairment testing on goodwill is necessary. Specifically, an entity has the option to first assess qualitative factors to determine whether it is necessary to perform the current two-step test. If an entity believes, as a result of its qualitative assessment, that it is more-likely-than-not that the fair value of a reporting unit is less than its carrying amount, the quantitative impairment test is required. Otherwise, no further testing is required. The Company adopted this standard in the first quarter of 2012. The Company’s adoption of the standard during the first quarter of 2012 did not impact its consolidated results of operations or financial condition.

In June 2011, the FASB issued ASU No. 2011-05, Topic 220 - Presentation of Comprehensive Income (“ASU 2011-05”), which requires companies to present net income and other comprehensive income in one continuous statement or in two separate, but consecutive, statements. In addition, in December 2011, the FASB issued Accounting Standards Update ("ASU") No. 2011-12, Topic 220 - Comprehensive Income ("ASU 2011-12"), which defers the requirement to present components of reclassifications of other comprehensive income on the face of the income statement. The Company adopted both standards in the first quarter of 2012. The Company’s adoption of the standard during the first quarter of 2012 did not impact its consolidated results of operations or financial condition.

In May 2011, the FASB issued ASU No. 2011-04, Topic 820 - Amendments to Achieve Common Fair Value Measurement and Disclosure Requirements in U.S. GAAP and IFRSs (“ASU 2011-04”), which amends the fair value measurement guidance and includes some enhanced disclosure requirements. The most significant change in disclosures is an expansion of the information required for Level 3 measurements based on unobservable inputs. The Company adopted this standard in the first quarter of 2012. The Company’s adoption of the standard during the first quarter of 2012 did not impact its consolidated results of operations or financial condition.

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Business Combination, Purchase Price Allocation (Details) (USD $) In Millions, unless otherwise specified	Mar. 31, 2012	Mar. 08, 2012 Business Acquisition Acquired Entity BitGravity [Member] Business Acquisitions - 2012 [Member]	Feb. 13, 2012 Business Acquisition Acquired Entity Mykonos [Member] Business Acquisitions - 2012 [Member]
Business Acquisition [Line Items]
Net tangible assets acquired	$ (0.7)	$ 0.1	$ (0.8)
Acquired Finite and Indefinite Lived intangible Assets, Amount	36.7	12.4	24.3
Goodwill	59.6	0.5	59.1
Business Acquisition, Cost of Acquired Entity, Purchase Price	$ 95.6	$ 13.0	$ 82.6

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Net Income per Share (Tables)

3 Months Ended

Mar. 31, 2012

Earnings Per Share [Abstract]

Schedule of Calculation of Numerator and Denominator in Earnings Per Share [Table Text Block]

The Company computed basic and diluted net income per share attributable to Juniper Networks common stockholders as follows (in millions, except per share amounts):

	Three Months Ended March 31,
	2012		2011
Numerator:
Net income attributable to Juniper Networks	$	16.3	$	129.8
Denominator:
Weighted-average shares used to compute basic net income per share	527.2		530.8
Dilutive effect of employee stock awards	6.5		18.0
Weighted-average shares used to compute diluted net income per share	533.7		548.8
Net income per share attributable to Juniper Networks common stockholders:
Basic	$	0.03	$	0.24
Diluted	$	0.03	$	0.24

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Employee Benefit Plans, Share Based Compensation by Share Based Payment Award Types (Details) (USD $) In Millions, unless otherwise specified	3 Months Ended
	Mar. 31, 2012	Mar. 31, 2011	Dec. 31, 2011
Share-based Compensation Expense by Award Type
Share-Based Compensation Expense, Total	$ 65.0	$ 49.0
Employee Benefit Textuals [Abstract]
Employee Contribution Matched in Percent	25.00%
Matching Contributions to Plan	6.6	5.1
Deferred Compensation Liability	11.9		9.3
Stock Options [Member]
Share-based Compensation Expense by Award Type
Share-Based Compensation Expense, Total	17.7	19.7
Employee Benefit Textuals [Abstract]
Unrecognized Compensation Cost Related to Unvested Stock Options - Adjusted for Forfeitures	98.4
Weighted Average Period that Unrecognized Compensation Cost Will be Recognized (years)	2.6
RSU's and PSA's
Share-based Compensation Expense by Award Type
Share-Based Compensation Expense, Total	41.6	23.4
Employee Benefit Textuals [Abstract]
Unrecognized Compensation Cost Related to Unvested Stock Options - Adjusted for Forfeitures	353.7
Weighted Average Period that Unrecognized Compensation Cost Will be Recognized (years)	2.4
Assumed Restricted Stock Units [Member]
Share-based Compensation Expense by Award Type
Share-Based Compensation Expense, Total	0.2	0
Employee Stock Purchase Plan [Member]
Share-based Compensation Expense by Award Type
Share-Based Compensation Expense, Total	5.5	4.4
Other Acquisition Related Compensation [Member]
Share-based Compensation Expense by Award Type
Share-Based Compensation Expense, Total	$ 0	$ 1.5

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Summary of Significant Accounting Policies (Notes)

3 Months Ended

Mar. 31, 2012

Accounting Policies [Abstract]

Summary of Significant Accounting Policies [Text Block]

Summary of Significant Accounting Policies

Recent Accounting Pronouncements

In September 2011, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") No. 2011-08, Topic 350 - Intangibles - Goodwill and Other ("ASU 2011-08"), which amends Topic 350 and provides entities an option to perform a qualitative assessment to determine whether further impairment testing on goodwill is necessary. Specifically, an entity has the option to first assess qualitative factors to determine whether it is necessary to perform the current two-step test. If an entity believes, as a result of its qualitative assessment, that it is more-likely-than-not that the fair value of a reporting unit is less than its carrying amount, the quantitative impairment test is required. Otherwise, no further testing is required. The Company adopted this standard in the first quarter of 2012. The Company’s adoption of the standard during the first quarter of 2012 did not impact its consolidated results of operations or financial condition.

In June 2011, the FASB issued ASU No. 2011-05, Topic 220 - Presentation of Comprehensive Income (“ASU 2011-05”), which requires companies to present net income and other comprehensive income in one continuous statement or in two separate, but consecutive, statements. In addition, in December 2011, the FASB issued Accounting Standards Update ("ASU") No. 2011-12, Topic 220 - Comprehensive Income ("ASU 2011-12"), which defers the requirement to present components of reclassifications of other comprehensive income on the face of the income statement. The Company adopted both standards in the first quarter of 2012. The Company’s adoption of the standard during the first quarter of 2012 did not impact its consolidated results of operations or financial condition.

In May 2011, the FASB issued ASU No. 2011-04, Topic 820 - Amendments to Achieve Common Fair Value Measurement and Disclosure Requirements in U.S. GAAP and IFRSs (“ASU 2011-04”), which amends the fair value measurement guidance and includes some enhanced disclosure requirements. The most significant change in disclosures is an expansion of the information required for Level 3 measurements based on unobservable inputs. The Company adopted this standard in the first quarter of 2012. The Company’s adoption of the standard during the first quarter of 2012 did not impact its consolidated results of operations or financial condition.

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Condensed Consolidated Balance Sheets (Unaudited) (USD $) In Thousands, unless otherwise specified	Mar. 31, 2012	Dec. 31, 2011
Current assets:
Cash and cash equivalents	$ 2,913,095	$ 2,910,420
Short-term investments	517,403	641,323
Accounts receivable, net of allowances	450,987	577,386
Deferred tax assets, net	168,214	154,310
Prepaid expenses and other current assets	181,319	156,222
Total current assets	4,231,018	4,439,661
Property and equipment, net	647,414	598,581
Long-term investments	785,285	740,659
Restricted cash and investments	82,504	78,307
Purchased intangible assets, net	152,541	123,114
Goodwill	3,987,707	3,928,144
Other long-term assets	58,554	75,354
Total assets	9,945,023	9,983,820
Current liabilities:
Accounts payable	195,420	324,843
Accrued compensation	209,263	223,018
Accrued warranty	29,276	28,276
Deferred revenue	760,621	712,663
Income taxes payable	2,566	12,545
Other accrued liabilities	163,610	165,358
Total current liabilities	1,360,756	1,466,703
Long-term debt	999,071	999,034
Long-term deferred revenue	238,964	254,364
Long-term income taxes payable	111,368	108,471
Other long-term liabilities	61,905	65,590
Commitments and Contingencies
Juniper Networks stockholders' equity:
Convertible preferred stock, $0.00001 par value; 10,000 shares authorized; none issued and outstanding	0	0
Common stock, $0.00001 par value; 1,000,000 shares authorized; 529,177 shares and 526,409 shares issued and outstanding at March 31, 2012, and December 31, 2011, respectively	5	5
Additional paid-in capital	10,147,785	10,079,169
Accumulated other comprehensive loss	(712)	(17,590)
Accumulated deficit	(2,974,595)	(2,972,402)
Total Juniper Networks stockholders' equity	7,172,483	7,089,182
Noncontrolling interest	476	476
Total equity	7,172,959	7,089,658
Total liabilities and equity	$ 9,945,023	$ 9,983,820

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Employee Benefit Plans (Notes)

3 Months Ended

Mar. 31, 2012

Employee Benefits and Share-based Compensation [Abstract]

Employee Benefit Plans [Text Block]

Employee Benefit Plans

Share-Based Compensation Plans

The Company’s share-based compensation plans include the 2006 Equity Incentive Plan (the “2006 Plan”), 2000 Nonstatutory Stock Option Plan (the “2000 Plan”), Amended and Restated 1996 Stock Plan (the “1996 Plan”), as well as various equity incentive plans assumed through acquisitions. Under these plans, the Company has granted (or in the case of acquired plans, assumed) stock options, RSUs, and PSAs. In addition, the Company’s 2008 Employee Stock Purchase Plan (the “2008 Purchase Plan”) permits eligible employees to acquire shares of the Company’s common stock at a 15% discount to the offering price (as determined in the 2008 Purchase Plan) through periodic payroll deductions of up to 10% of base compensation, subject to individual purchase limits of 6,000 shares in any twelve-month period or $25,000 worth of stock, determined at the fair market value of the shares at the time the stock purchase option is granted, in one calendar year.

The 2006 Plan, adopted and approved by the Company’s stockholders in May 2006, had an initial authorized share reserve of 64.5 million shares of common stock plus the addition of any shares subject to options under the 2000 Plan and the 1996 Plan that were outstanding as of May 18, 2006, and that subsequently expire unexercised, up to a maximum of an additional 75.0 million shares. In addition, the Company’s stockholders’ approved amendments to the 2006 Plan that increased the number of shares reserved for issuance under the 2006 Plan, thereby increasing the authorized share reserve by 30.0 million shares in each of May 2010 and 2011. As of March 31, 2012, the 2006 Plan had 64.9 million shares subject to currently outstanding equity awards and 22.2 million shares available for future issuance.

In connection with past acquisitions, the Company assumed stock option and RSU awards under the stock plans of the acquired companies. The Company exchanged those awards for Juniper Networks' stock options and RSUs. As of March 31, 2012, stock options and RSUs covering approximately 1.6 million shares of common stock were outstanding under awards assumed through the Company's past acquisitions.

Stock Option Activities

Since 2006, the Company has granted stock option awards that have a maximum contractual life of seven years from the date of grant. Prior to 2006, stock option awards generally had a ten-year contractual life from the date of grant. The following table summarizes the Company’s stock option activity and related information as of and for the three months ended March 31, 2012 (in millions, except for per share amounts and years):

	Outstanding Options
	Number of Shares		Weighted Average Exercise Price per Share		Weighted Average Remaining Contractual Term (In Years)	Aggregate Intrinsic Value
Balance at January 1, 2012	38.6		$	23.98
Options granted	3.0		22.93
Options canceled	(0.5	)	28.48
Options exercised	(0.7	)	12.67
Options expired	(0.2	)	26.18
Balance at March 31, 2012	40.2		$	24.02	3.7	$	106.4
As of March 31, 2012:
Vested or expected-to-vest options	38.3		$	23.80	3.6	$	104.5
Exercisable options	27.7		$	22.47	2.9	$	87.7

Aggregate intrinsic value represents the difference between the Company’s closing stock price on the last trading day of the period, which was $22.88 per share as of March 31, 2012, and the exercise price multiplied by the number of related options. The pre-tax intrinsic value of options exercised, representing the difference between the fair market value of the Company’s common stock on the date of the exercise and the exercise price of each option, was $6.9 million for the three months ended March 31, 2012. Total fair value of options vested for the three months ended March 31, 2012, was $27.9 million.

Restricted Stock Units and Performance Share Awards Activities

RSUs generally vest over a period of three to four years from the date of grant, and PSAs generally vest after three years provided that certain annual performance targets and other vesting criteria are met. Until vested, RSUs and PSAs do not have the voting and dividend participation rights of common stock and the shares underlying the awards are not considered issued and outstanding.

The following table summarizes the Company’s RSU and PSA activity and related information as of and for the three months ended March 31, 2012 (in millions, except per share amounts and years):

	Outstanding RSUs and PSAs
	Number of Shares		Weighted Average Grant-Date Fair Value per Share		Weighted Average Remaining Contractual Term (In Years)	Aggregate Intrinsic Value
Balance at January 1, 2012	19.6		$	30.27
RSUs granted	6.5		22.04
RSUs assumed	0.2		22.47
PSAs granted (1)	2.2		23.22
RSUs vested	(1.6	)	27.55
PSAs vested	(1.4	)	15.63
RSUs canceled	(0.4	)	30.20
PSAs canceled	(0.4	)	31.73
Balance at March 31, 2012	24.7		$	28.54	1.6	$	558.3
As of March 31, 2012:
Vested and expected-to-vest RSUs and PSAs	28.8		$	—	1.4	$	456.5

________________________________

(1) The number of shares subject to PSAs granted represents the aggregate maximum number of shares that may be issued pursuant to the award over its full term. The aggregate number of shares subject to these PSAs that would be issued if performance goals determined by the Compensation Committee are achieved at target is 0.9 million shares. Depending on achievement of such performance goals, the range of shares that could be issued under these awards is 0 to 2.2 million shares.

Shares Available for Grant

The following table presents the stock grant activity and the total number of shares available for grant under the 2006 Plan as of March 31, 2012 (in millions):

	Number of Shares
Balance at January 1, 2012	41.1
RSUs and PSAs granted (1)	(18.3	)
Options granted	(3.0	)
RSUs and PSAs canceled (1)	1.7
Options canceled (2)	0.5
Options expired (2)	0.2
Balance at March 31, 2012	22.2

________________________________

(1) RSUs and PSAs with a per share or unit purchase price lower than 100% of the fair market value of the Company's common stock on the day of the grant under the 2006 Plan are counted against shares authorized under the plan as two and one-tenth shares of common stock for each share subject to such award. The number of shares subject to PSAs granted represents the maximum number of shares that may be issued pursuant to the award over its full term.

(2) Includes canceled or expired options under the 1996 Plan and the 2000 Plan that expired unexercised after May 18, 2006, which become available for grant under the 2006 Plan according to its terms.

Employee Stock Purchase Plan

The Company's 2008 Purchase Plan is implemented in a series of offering periods, each six months in duration, or a shorter period as determined by the Board. Under the 2008 Purchase Plan, employees purchased approximately 1.7 million shares at an average per share price of $17.79 for the three months ended March 31, 2012, and 1.0 million shares at an average price of $23.89 for the three months ended March 31, 2011.

As of March 31, 2012, approximately 7.7 million shares had been issued and 4.3 million shares remained available for future issuance under the 2008 Purchase Plan.

Common Stock Reserved for Future Issuance

As of March 31, 2012, the Company had reserved an aggregate of approximately 93.0 million shares of common stock for future issuance under its equity incentive plans and the 2008 Purchase Plan.

Share-Based Compensation Expense

The Company determines the fair value of its stock options utilizing the Black-Scholes-Merton (“BSM”) option-pricing model, which incorporates various assumptions including volatility, risk-free interest rate, expected life, and dividend yield. The expected volatility is based on the implied volatility of market-traded options on the Company’s common stock, adjusted for other relevant factors including historical volatility of the Company’s common stock over the most recent period commensurate with the estimated expected life of the Company’s stock options. The expected life of a stock option award is based on historical experience and on the terms and conditions of the stock awards granted to employees, as well as the potential effect from stock options that had not been exercised at the time. The Company determines the fair value of its RSUs and PSAs based upon the fair market value of the shares of the Company’s common stock at the date of grant.

The weighted average assumptions used and the resulting estimates of fair value for employee stock options and the employee stock purchase plan during the three months ended March 31, 2012 and 2011 were:

	Three Months Ended March 31,
	2012	2011
Employee Stock Options:
Volatility factor	46%	41%
Risk-free interest rate	0.8%	1.7%
Expected life (years)	4.2	4.1
Dividend yield	—	—
Fair value per share	$8.51	$14.43
Employee Stock Purchase Plan:
Volatility factor	51%	33%
Risk-free interest rate	0.1%	1.8%
Expected life (years)	0.5	0.5
Dividend yield	—	—
Weighted-average fair value per share	$6.38	$9.07

The Company expenses the cost of its stock options on a straight-line basis over the vesting period and expenses the cost of its RSUs ratably over the vesting period. With respect to PSAs, for the portion of the award attributable to each performance year, the Company recognizes PSA expense ratably over the remaining vesting period starting in the period in which the annual performance targets are set for each such performance year.

The Company’s share-based compensation expense associated with stock options, employee stock purchases, RSUs, and PSAs is recorded in the following cost and expense categories for the three months ended March 31, 2012, and 2011 (in millions):

	Three Months Ended
	March 31,
	2012		2011
Cost of revenues - Product	$	1.1	$	1.0
Cost of revenues - Service	5.2		3.9
Research and development	25.8		22.3
Sales and marketing	21.9		13.2
General and administrative	11.0		8.6
Total	$	65.0	$	49.0

The following table summarizes share-based compensation expense by award type (in millions):

	Three Months Ended March 31,
	2012		2011
Options	$	17.7	$	19.7
RSUs and PSAs	41.6		23.4
Assumed RSUs	0.2		—
Employee stock purchase plan	5.5		4.4
Other acquisition-related compensation	—		1.5
Total	$	65.0	$	49.0

As of March 31, 2012, approximately $98.4 million of unrecognized compensation cost, adjusted for estimated forfeitures, related to unvested stock options will be recognized over a weighted-average period of approximately 2.6 years while approximately $353.7 million of unrecognized compensation cost, adjusted for estimated forfeitures, related to unvested RSUs and PSAs will be recognized over a weighted-average period of approximately 2.4 years.

401(k) Plan

The Company maintains a savings and retirement plan qualified under Section 401(k) of the Internal Revenue Code of 1986, as amended. Employees meeting the eligibility requirements, as defined, may contribute up to the statutory limits of the year. The Company has matched employee contributions since January 1, 2001, currently matching 25% of all eligible employee contributions. All matching contributions vest immediately. The Company’s matching contributions to the plan totaled $6.6 million and $5.1 million in the three months ended March 31, 2012 and March 31, 2011, respectively.

Deferred Compensation Plan

The Company’s non-qualified deferred compensation (“NQDC”) plan is an unfunded and unsecured deferred compensation arrangement. Under the NQDC plan, officers and other senior employees may elect to defer a portion of their compensation and contribute such amounts to one or more investment funds. The NQDC plan assets are included within short-term investments, and offsetting obligations are included within accrued compensation on the condensed consolidated balance sheet. The investments are considered trading securities and are reported at fair value. The realized and unrealized holding gains and losses related to these investments are recorded in interest and other income, net, and the offsetting compensation expense are recorded as operating expenses in the condensed consolidated results of operations. The deferred compensation liability under the NQDC plan was approximately $11.9 million and $9.3 million as of March 31, 2012, and December 31, 2011, respectively. For additional information regarding the Company's NQDC, see Note 5, Cash, Cash Equivalents, and Investments.

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Document and Entity Information In Thousands, unless otherwise specified	3 Months Ended
	Mar. 31, 2012	Apr. 30, 2012
Document Information [Line Items]
Entity Registrant Name	JUNIPER NETWORKS INC
Entity Central Index Key	0001043604
Document Type	10-Q
Document Period End Date	Mar. 31, 2012
Amendment Flag	false
Document Fiscal Year Focus	2012
Document Fiscal Period Focus	Q1
Current Fiscal Year End Date	--12-31
Entity Well-known Seasoned Issuer	Yes
Entity Voluntary Filers	No
Entity Current Reporting Status	Yes
Entity Filer Category	Large Accelerated Filer
Entity Common Stock, Shares Outstanding		529,548

XML

Segments (Notes)

3 Months Ended

Mar. 31, 2012

Segment Reporting [Abstract]

Segments [Text Block]

Segments

The Company’s chief operating decision maker (“CODM”) allocates resources and assesses performance based on financial information of the Company’s divisions. In fiscal 2012, the Company reorganized its operations into two reportable segments principally by product families: PSD and SSD. As a result of the change, product families and services were organized within the two divisions based on homogeneity of products and technology.

To provide improved visibility and comparability the Company has reclassified segment operating results for 2011 to conform with certain 2012 organizational realignments.

The Company’s PSD segment primarily offers scalable routing and switching products that are used in service provider, enterprise, and public sector networks to control and direct network traffic from data centers, core, edge, aggregation, campus, WANs, branch, and customer premise equipment level. The Company's PSD segment consists of routing, switching, and security/other products and services. Routing includes products and services from the E, M, MX, PTX and T Series. Switching primarily consists of products and services for EX Series and wireless local area network solutions, as well as QFabric™. Security/other includes products and services from the branch SRX, branch firewall, and J Series, as well as the network application platform, Junos® Space.

The Company's SSD segment offers solutions that meet a broad array of our customers’ priorities, from protecting the users, applications and data on the network to providing network services across a distributed infrastructure. The SSD segment primarily consists of security/other and routing products and services. Security/other includes High-End SRX services and vGW Virtual Gateways, High-End Firewall virtual private network systems and appliances, secure socket layer virtual private network appliances, intrusion detection and prevention appliances, wide area network optimization platforms, and Junos Pulse. Routing primarily consists of Routing Services Software and Mobile Applications (such as MobileNext^TM).

The CODM does not allocate to its business segments certain operating expenses managed separately at the corporate level. Direct costs and operating expenses, such as standard COGS, R&D, and product marketing expenses, are generally applied to each segment. Indirect costs, such as manufacturing overhead and other cost of revenues, are allocated based on factors including headcount, usage, and revenue. Corporate unallocated charges includes: sales, marketing, and G&A costs, as well as share-based compensation, amortization of purchased intangible assets, restructuring and impairment charges, gains or losses on equity investments, other net income and expense, income taxes, or certain other charges. Segment contribution margin excludes these corporate unallocated charges.

The following table summarizes financial information for each segment used by the CODM for the three months ended March 31, 2012 and 2011 (in millions):

	Three Months Ended
	March 31,
	2012			2011
Net revenues:
PSD	$	824.2		$	898.6
SSD	208.3			203.0
Total net revenues	1,032.5			1,101.6
Segment contribution margin:
PSD	304.7			417.1
SSD	81.9			81.1
Total segment contribution margin	386.6			498.2
Corporate unallocated expenses (1)	(263.1		)	(252.4		)
Amortization of purchased intangible assets (2)	(7.3		)	(6.7		)
Share-based compensation expense	(65.0		)	(49.0		)
Share-based payroll tax expense	(0.4		)	(8.0		)
Restructuring and other charges	(2.0		)	0.3
Acquisition-related and other charges (3)	(1.1		)	(5.1		)
Total operating income	47.7			177.4
Other expense, net	(24.4		)	(6.5		)
Income before income taxes and noncontrolling interest	$	23.3		$	170.9

________________________________

(1) Amount includes unallocated costs for global functions such as sales, marketing, and G&A.

(2) Amount includes amortization expense of purchased intangible assets in operating expenses and in cost of revenues.

(3) Amount includes acquisition-related costs in operating expenses and in cost of revenues.

Depreciation expense allocated to the PSD segment was $28.2 million and $26.0 million in the three months ended March 31, 2012 and March 31, 2011, respectively. Depreciation expense allocated to the SSD segment was $7.9 million and $8.0 million in the three months ended March 31, 2012 and March 31, 2011, respectively.

The Company attributes revenues to geographic region based on the customer’s ship-to location. The following table shows net revenues by geographic region (in millions):

	Three Months Ended
	March 31,
	2012		2011
Americas:
United States	$	468.4	$	526.0
Other	62.9		55.6
Total Americas	531.3		581.6
Europe, Middle East, and Africa	307.1		299.9
Asia Pacific	194.1		220.1
Total	$	1,032.5	$	1,101.6

During the three months ended March 31, 2012, Verizon Communications, Inc. accounted for 15.3% of net revenues. During the three months ended March 31, 2011, no single customer accounted for 10% or more of net revenues.

The Company tracks assets by physical location. The majority of the Company’s assets, excluding cash and cash equivalents and investments, as of March 31, 2012, and December 31, 2011, were attributable to U.S. operations. As of March 31, 2012, and December 31, 2011, gross property and equipment held in the U.S., as a percentage of total property and equipment, was approximately 80%. Although management reviews asset information on a corporate level and allocates depreciation expense by segment, the CODM does not review asset information on a segment basis.

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Condensed Consolidated Balance Sheets Parentheticals (Unaudited) (USD $)	Mar. 31, 2012	Dec. 31, 2011
Convertible preferred stock, par value	$ 0.00001	$ 0.00001
Convertible preferred stock, shares authorized	10,000,000	10,000,000
Convertible preferred stock, shares issued	0	0
Convertible preferred stock, shares outstanding	0	0
Common stock, par value	$ 0.00001	$ 0.00001
Common stock, shares authorized	1,000,000,000	1,000,000,000
Common stock, shares issued	529,177,000	526,409,000
Common stock, shares outstanding	529,177,000	526,409,000

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Derivative Instruments (Notes)

3 Months Ended

Mar. 31, 2012

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Derivative Instruments [Text Block]

Derivative Instruments

The Company uses derivatives to partially offset its market exposure to fluctuations in certain foreign currencies and does not enter into derivatives for speculative or trading purposes.

The notional amount of Company's foreign currency derivatives are summarized as follows (in millions):

	As of
	March 31, 2012		December 31, 2011
Cash flow hedges	$	122.4	$	184.3
Non-designated hedges	122.9		122.7
Total	$	245.3	$	307.0

Cash Flow Hedges

The Company uses foreign currency forward or option contracts to hedge certain forecasted foreign currency transactions relating to cost of services and operating expenses. The derivatives are intended to protect the U.S. Dollar equivalent of the Company's planned cost of services and operating expenses denominated in foreign currencies. These derivatives are designated as cash flow hedges. Execution of these cash flow hedge derivatives typically occurs every month with maturities of one year or less. The effective portion of the derivative's gain or loss is initially reported as a component of accumulated other comprehensive income (loss), and upon occurrence of the forecasted transaction, is subsequently reclassified into the cost of services or operating expense line item to which the hedged transaction relates. The Company records any ineffectiveness of the hedging instruments in interest and other income, net in its consolidated statements of comprehensive income. Cash flows from such hedges are classified as operating activities. All amounts within other comprehensive income (loss) are expected to be reclassified into earnings within the next 12 months.

The total fair value of the Company’s derivative assets recorded in other current assets on the condensed consolidated balance sheet as of March 31, 2012, and December 31, 2011, was $2.3 million and $0.4 million, respectively. The total fair value of the Company’s derivative liabilities located in other accrued liabilities on the condensed consolidated balance sheet as of March 31, 2012, and December 31, 2011, was $3.1 million and $9.6 million, respectively.

During the three months ended March 31, 2012 and 2011, the Company recognized a gain of $6.0 million and $5.2 million, respectively, in accumulated other comprehensive income for the effective portion of its derivative instruments and reclassified a loss of $3.5 million and a gain of $0.5 million, respectively, from other comprehensive income to operating expense in the condensed consolidated statements of comprehensive income.

The ineffective portion of the Company's derivative instruments recognized in its condensed consolidated statements of comprehensive income was immaterial during the three months ended March 31, 2012, and 2011.

Non-Designated Hedges

The Company also uses foreign currency forward contracts to mitigate variability in gains and losses generated from the re-measurement of certain monetary assets and liabilities denominated in foreign currencies. These hedges do not qualify for special hedge accounting treatment. These derivatives are carried at fair value with changes recorded in other income and expense, net. Changes in the fair value of these derivatives are largely offset by re-measurement of the underlying assets and liabilities. Cash flows from such derivatives are classified as operating activities. The derivatives have maturities of approximately two months.

During the three months ended March 31, 2012 and 2011, the Company recognized a net loss of $0.1 million and $0.2 million, respectively, within other expense and income, net, on its condensed consolidated statements of comprehensive income from non-designated derivative instruments.

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Fair Value Measurements (Notes)

3 Months Ended

Mar. 31, 2012

Fair Value Disclosures [Abstract]

Fair Value Disclosures [Text Block]

Fair Value Measurements

Assets and Liabilities Measured at Fair Value on a Recurring Basis

The following tables provide a summary of assets and liabilities measured at fair value on a recurring basis and as reported in the condensed consolidated balance sheets (in millions):

	Fair Value Measurements at March 31, 2012 Using:
	Quoted Prices in Active Markets For Identical Assets		Significant Other Observable Remaining Inputs		Significant Other Unobservable Remaining Inputs
	(Level 1)		(Level 2)		(Level 3)		Total
Available-for-sale debt securities:
U.S. government securities	$	187.0	$	189.7	$	—	$	376.7
Government-sponsored enterprise obligations	252.2		24.0		—		276.2
Commercial paper	—		15.0		—		15.0
Corporate debt securities (1)	—		570.1		—		570.1
Certificate of deposit	—		25.6		—		25.6
Asset-backed securities	—		142.0		—		142.0
Mutual funds (2)	1.0		—		—		1.0
Money market funds (3)	1,308.8		—		—		1,308.8
Total available-for-sale debt securities	1,749.0		966.4		—		2,715.4
Available-for-sale equity securities:
Publicly-traded equity securities	3.9		—		—		3.9
Total available-for-sale securities	1,752.9		966.4		—		2,719.3
Trading securities:
Mutual funds (4)	11.9		—		—		11.9
Total trading securities	11.9		—		—		11.9
Derivative assets:
Foreign exchange contracts	—		2.4		—		2.4
Total derivative assets	—		2.4		—		2.4
Total assets measured at fair value	$	1,764.8	$	968.8	$	—	$	2,733.6
Liabilities measured at fair value:
Derivative liabilities:
Foreign exchange contracts	$	—	$	3.1	$	—	$	3.1
Total derivative liabilities	—		3.1		—		3.1
Total liabilities measured at fair value	$	—	$	3.1	$	—	$	3.1

________________________________

(1) Balance includes $1.7 million of restricted investments measured at fair market value, related to the Company's India Gratuity Trust.

(2) Balance relates to the restricted investments measured at fair market value of the Company's India Gratuity Trust.

(3) Balance includes $79.2 million of restricted investments measured at fair market value, related to the Company's D&O trust and acquisitions related escrows.

(4) Balance relates to investments measured at fair value related to the Company's non-qualified deferred compensation plan assets.

	Fair Value Measurements at March 31, 2012 Using:
	Quoted Prices in Active Markets For Identical Assets		Significant Other Observable Remaining Inputs		Significant Other Unobservable Remaining Inputs
	(Level 1)		(Level 2)		(Level 3)		Total
Reported as:
Cash equivalents	$	1,229.6	$	117.0	$	—	$	1,346.6
Short-term investments	185.5		331.9		—		517.4
Long-term investments	269.5		515.8		—		785.3
Restricted investments	80.2		1.7		—		81.9
Prepaid expenses and other current assets	—		2.4		—		2.4
Total assets measured at fair value	$	1,764.8	$	968.8	$	—	$	2,733.6
Total liabilities measured at fair value, reported as:
Other accrued liabilities	$	—	$	3.1	$	—	$	3.1
Total liabilities measured at fair value	$	—	$	3.1	$	—	$	3.1

	Fair Value Measurements at December 31, 2011 Using:
	Quoted Prices in Active Markets For Identical Assets		Significant Other Observable Remaining Inputs		Significant Other Unobservable Remaining Inputs
	(Level 1)		(Level 2)		(Level 3)		Total
Assets measured at fair value:
Available-for-sale debt securities:
U.S. government securities	$	149.3	$	151.7	$	—	$	301.0
Government-sponsored enterprise obligations	314.2		116.8		—		431.0
Commercial paper	—		10.0		—		10.0
Corporate debt securities (1)	—		510.3		—		510.3
Certificate of deposit	—		31.8		—		31.8
Asset-backed securities	—		124.7		—		124.7
Money market funds (2)	1,391.3		—		—		1,391.3
Total available-for-sale debt securities	1,854.8		945.3		—		2,800.1
Total available-for-sale securities	1,854.8		945.3		—		2,800.1
Trading securities:
Mutual funds (3)	10.3		—		—		10.3
Total trading securities	10.3		—		—		10.3
Derivative assets:
Foreign exchange contracts	—		0.4		—		0.4
Total derivative assets	—		0.4		—		0.4
Total assets measured at fair value	$	1,865.1	$	945.7	$	—	$	2,810.8
Liabilities measured at fair value:
Derivative liabilities:
Foreign exchange contracts	$	—	$	9.6	$	—	$	9.6
Total derivative liabilities	—		9.6		—		9.6
Total liabilities measured at fair value	$	—	$	9.6	$	—	$	9.6

________________________________

(1) Balance includes $1.6 million of restricted investments measured at fair market value, related to the Company's India Gratuity Trust.

(2) Balance includes $75.1 million of restricted investments measured at fair market value, related to the Company's D&O trust and acquisition related escrows.

(3) Balance includes $9.3 million of the Company's non-qualified deferred compensation plan assets and $1.0 million of restricted investments measured at fair market value, related to the Company's India Gratuity Trust.

	Fair Value Measurements at December 31, 2011 Using:
	Quoted Prices in Active Markets For Identical Assets		Significant Other Observable Remaining Inputs		Significant Other Unobservable Remaining Inputs
	(Level 1)		(Level 2)		(Level 3)		Total
Total assets measured at fair value, reported as:
Cash equivalents	$	1,316.2	$	34.5	$	—	$	1,350.7
Short-term investments	168.9		472.4		—		641.3
Long-term investments	303.9		436.8		—		740.7
Restricted investments	76.1		1.6		—		77.7
Prepaid expenses and other current assets	—		0.4		—		0.4
Total assets measured at fair value	$	1,865.1	$	945.7	$	—	$	2,810.8
Total liabilities measured at fair value, reported as:
Other accrued liabilities	$	—	$	9.6	$	—	$	9.6
Total liabilities measured at fair value	$	—	$	9.6	$	—	$	9.6

The Company's policy is to recognize asset or liability transfers among Level 1, Level 2, and Level 3 as of the actual date of the events or change in circumstances that caused the transfer. During the three months ended March 31, 2012, and 2011, the Company had no transfers between levels of the fair value hierarchy of its assets or liabilities measured at fair value.

Assets and Liabilities Measured at Fair Value on a Nonrecurring Basis

As of March 31, 2012, and December 31, 2011, the carrying value of privately-held equity investments measured at fair value on a nonrecurring basis was $6.0 million and $0.4 million, respectively. These privately-held equity investments, which are normally carried at cost, were measured at fair value due to events and circumstances that the Company identified during the quarter as significantly impacting the fair value of the investments. The Company measured the fair value of its privately-held equity investments using an analysis of the financial condition and near-term prospects of the investee, including recent financing activities, cash flow projections, and probability-weighted expected value based on the expected recoverability of the investments. As a result, the Company recognized an other-than-temporary non-cash impairment of $14.0 million in the three months ended March 31, 2012, and classified the investment as Level 3 assets due to the absence of quoted market prices and inherent lack of liquidity. The Company had no impairment charges against its privately-held equity investments in the three months ended March 31, 2011. The Company had no liabilities measured at fair value on a nonrecurring basis as of March 31, 2012 and December 31, 2011.

Assets and Liabilities Not Measured at Fair Value

The carrying amounts of the Company's accounts receivable, financing receivables, accounts payable, and other accrued liabilities approximate fair value due to their short maturities. The fair value of the Company’s long-term debt is disclosed in Note 10, Long-Term Debt and Financing, and was determined using quoted market prices (Level 1).

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Business Combination (Tables)

3 Months Ended

Mar. 31, 2012

Business Combinations [Abstract]

Schedule of Purchase Price Allocation [Table Text Block]

The following table presents the preliminary purchase consideration allocations for these acquisitions, including cash and cash equivalents acquired (in millions):

	Q1'12 Acquisitions
	Mykonos			BitGravity		Total
Net tangible assets/(liabilities) acquired	$	(0.8	)	$	0.1	$	(0.7	)
Intangible assets acquired	24.3			12.4		36.7
Goodwill	59.1			0.5		59.6
Total	$	82.6		$	13.0	$	95.6

Schedule of Acquired Finite-Lived Intangible Assets by Major Class [Table Text Block]

The following table presents details of the intangible assets acquired through the business combinations completed during the first quarter of 2012 (in millions, except years):

	Q1'12 Acquisitions
	Mykonos			BitGravity
	Estimated Useful Life (In Years)	Amount		Estimated Useful Life (In Years)	Amount
Existing technology	6	$	19.3	3	$	12.4
Trade name and trademarks	7	1.0		—	—
In-process research and development	—	4.0		—	—
Total		$	24.3		$	12.4

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Income Taxes (Notes)

3 Months Ended

Mar. 31, 2012

Income Tax Disclosure [Abstract]

Income Tax [Text Block]

Income Taxes

The Company recorded a tax provision of $7.0 million and $41.3 million, or effective tax rates of 30.1% and 24.1% for the three months ended March 31, 2012 and 2011, respectively.

The effective tax rates for the three months ended March 31, 2012, differ from the federal statutory rate of 35% primarily due to the benefit of earnings in foreign jurisdictions, which are subject to lower tax rates, partially offset by an increase in the Company's valuation allowance attributable to investment losses currently disallowed for income tax purposes. The effective rate for the period does not reflect the benefit of the federal R&D credit which expired on December 31, 2011.

The effective tax rate for the three months ended March 31, 2011, differs from the federal statutory rate of 35% primarily due to the federal R&D credit and the benefit of earnings in foreign jurisdictions, which are subject to lower tax rates.

The gross unrecognized tax benefits increased by approximately $2.9 million for the three months ended March 31, 2012. In the same period, a benefit primarily related to expiration of statutes of limitation in the amount of approximately $3.4 million, including interest and penalties, impacted the effective tax rate.

The Company is currently under examination by the Internal Revenue Service ("IRS") for the 2004 through 2009 tax years. The Company is also subject to two separate ongoing examinations by the India tax authorities for the 2004 tax year and 2004 through 2008 tax years, respectively. Additionally, the Company has not reached a final resolution with the IRS on an adjustment it proposed for the 1999 and 2000 tax years. The Company is not aware of any other examination by taxing authorities in any other major jurisdictions in which it files income tax returns as of March 31, 2012.

In 2011, as part of the 2005 and 2006 IRS audit, the Company received a proposed adjustment related to its intercompany R&D cost sharing arrangement for the license of intangibles acquired in 2005. In 2009, as part of the 2004 IRS audit, the Company received a similar proposed adjustment related to the license of intangibles acquired in 2004.

In 2008, the Company received a proposed adjustment from the India tax authorities related to the 2004 tax year. In 2009, the India tax authorities commenced a separate investigation of our 2004 through 2008 tax returns and are disputing the Company's determination of taxable income due to the cost basis of certain fixed assets. The Company accrued $4.6 million in penalties and interest in 2009 related to this matter. The Company understands that the India tax authorities may issue an initial assessment that is substantially higher than this amount. As a result, in accordance with the administrative and judicial process in India, the Company may be required to make payments that are substantially higher than the amount accrued in order to ultimately settle this issue. The Company strongly believes that any assessment it may receive in excess of the amount accrued would be inconsistent with applicable India tax laws and intends to defend this position vigorously.

The Company is pursuing all available administrative procedures relative to the matters referenced above. The Company believes that it has adequately provided for any reasonably foreseeable outcomes related to these proposed adjustments and the ultimate resolution of these matters is unlikely to have a material effect on its consolidated financial condition or results of operations; however there is still a possibility that an adverse outcome of these matters could have a material effect on its consolidated financial condition and results of operations. For more information, please see Note 15, Commitments and Contingencies, under the heading “IRS Notices of Proposed Adjustments.”

The Company engages in continuous discussions and negotiations with tax authorities regarding tax matters in various jurisdictions. It is reasonably possible that the balance of the gross unrecognized tax benefits will decrease by approximately $2.7 million within the next twelve months due to lapses of applicable statutes of limitation in multiple jurisdictions that the Company operated in. However, at this time, the Company is unable to make a reasonably reliable estimate of the timing of payments related to the remaining unrecognized tax liabilities due to uncertainties in the timing of tax audit outcomes.

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Long-Term Debt and Financing (Notes)

3 Months Ended

Mar. 31, 2012

Debt Instruments [Abstract]

Long-Term Debt and Financing [Text Block]

Long-Term Debt and Financing

Long-Term Debt

The following table summarizes the Company's long-term debt (in millions, except percentages):

	As of
	March 31, 2012
	Amount			Effective Interest Rates
Senior notes:
3.10% fixed-rate notes, due 2016	$	300.0		3.12	%
4.60% fixed-rate notes, due 2021	300.0			4.63	%
5.95% fixed-rate notes, due 2041	400.0			6.01	%
Total senior notes	1,000.0
Unaccreted discount	(0.9		)
Total	$	999.1

The effective interest rates for the notes include the interest on the notes, accretion of the discount, and amortization of issuance costs. At March 31, 2012 and December 31, 2011, the estimated fair value of the notes included in long-term debt was approximately $1,097.6 million and $1,069.8 million, respectively, based on quoted market prices (Level 1).

Customer Financing Arrangements

The Company has customer financing arrangements to sell its accounts receivable to a major third-party financing provider. The program does not and is not intended to affect the timing of revenue recognition because the Company only recognizes revenue upon sell-through. Under the financing arrangements, proceeds from the financing provider are due to the Company 30 days from the sale of the receivable. In these transactions with the financing provider, the Company surrendered control over the transferred assets. The accounts receivable were isolated from the Company and put beyond the reach of creditors, even in the event of bankruptcy. The Company does not maintain effective control over the transferred assets through obligations or rights to redeem, transfer, or repurchase the receivables after they have been transferred.

Pursuant to the financing arrangements for the sale of receivables, the Company sold net receivables of $120.6 million and $174.8 million during the three months ended March 31, 2012, and 2011, respectively.

The Company received cash proceeds from the financing provider of $178.5 million and $194.3 million during the three months ended March 31, 2012, and 2011, respectively. The amounts owed by the financing provider were recorded as accounts receivable on the Company’s condensed consolidated balance sheets as of March 31, 2012, and December 31, 2011, was $101.3 million and $162.9 million, respectively.

The portion of the receivable financed that has not been recognized as revenue is accounted for as a financing arrangement and is included in other accrued liabilities and other long-term liabilities in the condensed consolidated balance sheets. As of March 31, 2012, and December 31, 2011, the estimated cash received from the financing provider not recognized as revenue from distributors was $40.9 million and $33.3 million, respectively.

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Long-Term Debt and Financing (Details) (USD $)	3 Months Ended
	Mar. 31, 2012 D	Mar. 31, 2011	Dec. 31, 2011
Long-Term Debt [Line Items]
Long-term Debt, Gross	$ 1,000,000,000
Unaccreted Discount	(900,000)
Long-term debt	999,071,000		999,034,000
Debt Instrument, Fair Value	1,097,600,000		1,069,800,000
Financing Arrangements [Abstract]
Number of days due from receivable	30
Sale of receivables	120,600,000	174,800,000
Proceeds from sale and collection of receivables	178,500,000	194,300,000
Receivables from sale of receivables	101,300,000		162,900,000
Cash received from financing provider that has not been recognized as revenue	40,900,000		33,300,000
Fixed Rate Note Due 2016 [Member]
Long-Term Debt [Line Items]
Long-term Debt, Gross	300,000,000
Debt Instrument, Interest Rate, Effective Percentage	3.12%
Debt Instrument, Interest Rate, Stated Percentage	3.10%
Fixed Rate Note Due 2021 [Member]
Long-Term Debt [Line Items]
Long-term Debt, Gross	300,000,000
Debt Instrument, Interest Rate, Effective Percentage	4.63%
Debt Instrument, Interest Rate, Stated Percentage	4.60%
Fixed Rate Note Due 2041 [Member]
Long-Term Debt [Line Items]
Long-term Debt, Gross	$ 400,000,000
Debt Instrument, Interest Rate, Effective Percentage	6.01%
Debt Instrument, Interest Rate, Stated Percentage	5.95%

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Goodwill and Purchased Intangible Assets (Notes)

3 Months Ended

Mar. 31, 2012

Goodwill and Intangible Assets Disclosure [Abstract]

Goodwill and Intangible Assets Disclosure [Text Block]

Goodwill and Purchased Intangible Assets

Goodwill

The following table presents the goodwill allocated to the Company's reportable segments as of and during the three months ended March 31, 2012 (in millions):

	PSD		SSD		Total
Balance as of January 1, 2012	$	1,795.6	$	2,132.5	$	3,928.1
Additions due to business combinations	—		59.6		59.6
Balance as of March 31, 2012	1,795.6		2,192.1		3,987.7

The Company had no adjustments to goodwill during the three months ended March 31, 2012. The additions to goodwill during the three months ended March 31, 2012 were based on preliminary allocations of the purchase prices. There were no impairments to goodwill during the three months ended March 31, 2012, and 2011.

Purchased Intangible Assets

Changes to the Company’s purchased intangible assets were as follows (in millions):

	Gross		Accumulated Amortization			Net
As of March 31, 2012:
Intangible assets with finite lives:
Technologies and patents	$	531.2	$	(410.5	)	$	120.7
Other	92.5		(67.5		)	25.0
Total intangible assets with finite lives	623.7		(478.0		)	145.7
IPR&D with indefinite lives	6.8		—			6.8
Total purchased intangible assets	$	630.5	$	(478.0	)	$	152.5
As of December 31, 2011:
Intangible assets with finite lives:
Technologies and patents	$	499.5	$	(404.2	)	$	95.3
Other	91.5		(66.5		)	25.0
Total intangible assets with finite lives	591.0		(470.7		)	120.3
IPR&D with indefinite lives	2.8		—			2.8
Total purchased intangible assets	$	593.8	$	(470.7	)	$	123.1

Amortization of purchased intangible assets included in operating expenses and cost of product revenues totaled $7.3 million and $6.7 million for the three months ended March 31, 2012 and 2011, respectively. There were no impairment charges with respect to the purchased intangible assets in the three months ended March 31, 2012, and 2011.

The purchased intangible assets balance as of March 31, 2012, includes intangible assets acquired through acquisitions completed during the first quarter of 2012. Refer to Note 3, Business Combinations, for further details.

The estimated future amortization expense of purchased intangible assets with finite lives is as follows (in millions):

Years Ending December 31,	Amount
2012 (remaining nine months)	$	26.2
2013	34.7
2014	32.8
2015	24.8
2016	11.1
Thereafter	16.1
Total	$	145.7

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Other Financial Information (Notes)

3 Months Ended

Mar. 31, 2012

Other Financial Information [Abstract]

Other Financial Information [Text Block]

Other Financial Information

Inventories, net

The Company's inventories are stated at the lower of standard cost or market, which approximates actual cost. Inventories, net are reported within prepaid expenses and other current assets on the condensed consolidated balance sheet, and consist of the following (in millions):

	As of
	March 31, 2012		December 31, 2011
Inventories, net
Production materials	$	77.3	$	52.4
Finished goods	14.7		16.7
Total inventories, net	$	92.0	$	69.1

Warranties

The Company accrues for warranty costs as part of its cost of sales based on associated material costs, labor costs for customer support, and overhead at the time revenue is recognized. This provision is reported as accrued warranty within current liabilities on the condensed consolidated balance sheets. Changes in the Company’s warranty reserve were as follows (in millions):

	Three Months Ended
	March 31,
	2012			2011
Beginning balance	$	28.3		$	35.9
Provisions made during the period, net	8.9			15.3
Change in estimate	—			(0.8		)
Actual costs incurred during the period	(7.9		)	(12.1		)
Ending balance	$	29.3		$	38.3

Deferred Revenue

Details of the Company's deferred revenue, as reported on the condensed consolidated balance sheets, were as follows (in millions):

	As of
	March 31, 2012			December 31, 2011
Deferred product revenue:
Undelivered product commitments and other product deferrals	$	286.4		$	288.1
Distributor inventory and other sell-through items	114.0			134.0
Deferred gross product revenue	400.4			422.1
Deferred cost of product revenue	(118.4		)	(136.9		)
Deferred product revenue, net	282.0			285.2
Deferred service revenue	717.6			681.8
Total	$	999.6		$	967.0
Reported as:
Current	$	760.6		$	712.6
Long-term	239.0			254.4
Total	$	999.6		$	967.0

Deferred product revenue represents unrecognized revenue related to shipments to distributors that have not sold through to end-users, undelivered product commitments, and other shipments that have not met all revenue recognition criteria. Deferred product revenue is recorded net of the related costs of product revenue. Deferred service revenue represents customer payments made in advance for services, which include technical support, hardware and software maintenance, professional services, and training.

Restructuring Liabilities

In the third quarter of 2011, the Company implemented a restructuring plan (the "2011 Restructuring Plan") in an effort to better align its business operations with the current market and macroeconomic conditions. The 2011 Restructuring Plan primarily consisted of certain workforce reductions, and to a lesser extent, contract terminations.

During 2009, the Company implemented a restructuring plan (the "2009 Restructuring Plan") in an effort to better align its business operations with the market and macroeconomic conditions. The 2009 Restructuring Plan included restructuring of certain business functions that resulted in reductions of workforce and facilities. The Company recorded the majority of the restructuring charges associated with this plan during the years ended 2010 and 2009.

The Company recorded net restructuring charges of $2.0 million in the three months ended March 31, 2012, related to remaining restructuring activities from the 2011 Restructuring Plan, and recorded an adjustment of $0.3 million within restructuring in the condensed consolidated statements of comprehensive income during the three months ended March 31, 2011 in connection with the restructuring plan implemented in 2009. As of March 31, 2012, the remaining restructuring liability under the 2011 Restructuring Plan relates to severance costs to be paid out in 2012, as well as facilities-related charges under the two Restructuring Plans, which are expected to be completed by February 2015.

Restructuring charges were based on the Company's restructuring plans that were committed by management. Any changes in the estimates of executing the approved plans will be reflected in the Company's results of operations. Restructuring liabilities are reported within other accrued liabilities and other long-term liabilities on the condensed consolidated balance sheets. The following table provides a summary of changes in the Company’s restructuring liability (in millions):

	Remaining Liability as of December 31, 2011		Charges			Cash payments			Non-cash Settlements and Other Adjustments		Remaining Liability as of March 31, 2012
Facilities	$	1.0	$	(0.2	)	$	(0.2	)	$	—	$	0.6
Severance, contractual commitments, and other charges	3.1		2.2			(1.7		)	0.9		4.5
Total	$	4.1	$	2.0		$	(1.9	)	$	0.9	$	5.1

Other Expense and Income, Net

Other expense and income, net consists of the following (in millions):

	Three Months Ended
	March 31,
	2012			2011
Interest income	$	2.8		$	2.4
Interest expense	(14.2		)	(6.5		)
Other	(13.0		)	(2.4		)
Other (expense) income, net	$	(24.4	)	$	(6.5	)

Interest income primarily includes interest earned on the Company’s cash, cash equivalents, and investments. Interest expense primarily includes interest expense from long-term debt and customer financing arrangements. Other income and expense typically consists of investment and foreign exchange gains and losses and other non-operational income and expense items. In the three months ended March 31, 2012, the Company recognized an other-than-temporary non-cash impairment of $14.0 million, related to one of the Company's privately-held equity investments. The Company had no such charges during the three months ended March 31, 2011.

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Equity (Notes)

3 Months Ended

Mar. 31, 2012

Stockholders' Equity Note [Abstract]

Equity [Text Block]

Equity

Stock Repurchase Activities

In February 2010, the Company’s Board of Directors (the “Board”) approved a stock repurchase program (the “2010 Stock Repurchase Program”) which authorized the Company to repurchase up to $1.0 billion of its common stock. This authorization was in addition to the stock repurchase program approved by the Board in March 2008 (the “2008 Stock Repurchase Program”), which also enabled the Company to repurchase up to $1.0 billion of the Company’s common stock.

The Company repurchased and retired approximately 2.4 million shares of its common stock at an average price of $21.75 per share for an aggregate purchase price of $51.6 million during the three months ended March 31, 2012 under the 2010 Stock Repurchase Program. The Company repurchased and retired approximately 4.8 million shares of its common stock at an average price of $42.14 per share for an aggregate purchase price of $200.2 million during the three months ended March 31, 2011 under the two stock repurchase programs. There were no remaining authorized funds under the 2008 Stock Repurchase Program and $162.2 million remaining authorized funds under the 2010 Stock Repurchase Program as of March 31, 2012.

Comprehensive Income Attributable to Juniper Networks

Comprehensive income attributable to Juniper Networks consists of the following (in millions):

	Three Months Ended
	March 31,
	2012		2011
Consolidated net income	$	16.3	$	129.7
Other comprehensive income, net of tax:
Change in unrealized gain on investments, net of tax of nil	12.3		4.4
Change in foreign currency translation adjustment, net of tax of nil	4.6		6.6
Total other comprehensive income, net of tax	16.9		11.0
Consolidated comprehensive income	33.2		140.7
Adjust for comprehensive loss attributable to noncontrolling interest, net of tax	—		0.1
Comprehensive income attributable to Juniper Networks	$	33.2	$	140.8

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Employee Benefit Plans, Share Based Compensation, Equity Instruments Other Than Options (Details) (USD $) In Millions, except Share data, unless otherwise specified	3 Months Ended		3 Months Ended							3 Months Ended
	Mar. 31, 2012 Y	Dec. 31, 2011	Mar. 31, 2012 Restricted Stock Units (RSUs) [Member]	Mar. 31, 2012 Restricted Stock Units (RSUs) [Member] Minimum [Member] Y	Mar. 31, 2012 Restricted Stock Units (RSUs) [Member] Maximum [Member] Y	Mar. 31, 2012 Performance Share Awards [Member]		Mar. 31, 2012 Restricted Stock Units and Performance Share Awards [Member]	Dec. 31, 2011 Restricted Stock Units and Performance Share Awards [Member]	Mar. 31, 2012 Employee Stock Purchase Plan 2008 [Member]	Mar. 31, 2011 Employee Stock Purchase Plan 2008 [Member]	Mar. 31, 2012 Employee Stock Purchase Plan [Member] M
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Restricted Stock Units Vest From Grant Date In Years				3	4
Share-Based Compensation Arrangement Vesting Period PSA in Years	3
Restricted Stock Units And Performance Share Awards Activities
Beginning Balance, Number of Shares								24,700,000	19,600,000
Beginning Balance, Weighted Average Grant-Date Fair Value								$ 28.54	$ 30.27
Awards Granted, Number of Shares			6,500,000			2,200,000	[1]
Awards Granted, Weighted Average Grant-Date Fair Value			$ 22.04			$ 23.22
share-based compensation arrangement by share based payment award, assumed awards			200,000
Share-based Compensation Arrangement by Share-based Payment Award, Equity INstruments Other than Options, Assumed Awards, Weighted AVerage Grant Date Fair Value			$ 22.47
Awards Vested, Number of Shares			(1,600,000)			(1,400,000)
Awards Vested, Weighted Average Grant-Date Fair Value			$ 27.55			$ 15.63
Awards Canceled, Number of Shares			(400,000)			(400,000)
Awards Canceled, Weighted Average Grant-Date Fair Value			$ 30.20			$ 31.73
Ending Balance, Number of Shares								24,700,000	19,600,000
Ending Balance, Weighted Average Grant-Date Fair Value								$ 28.54	$ 30.27
RSUs and PSAs, Weighted Average Remaining Contractual Term at Period End	1.6
RSUs and PSAs, Aggregate Intrinsic Value at Period End	$ 558.3
Vested and Expected-to-Vest RSUs and PSAs, Number of Shares at Period End	28,800,000
Vested and Expected-to-Vest RSUs and PSAs, Weighted Average Grant-Date Fair Value at Period End	$ 0.00
Vested and Expected-to-Vest RSUs and PSAs, Weighted Average Remaining Contractual Term at Period End	1.4
Vested and Expected-to-Vest RSUs and PSAs, Aggregate Intrinsic Value at Period End	$ 456.5
Aggregate Number Of Shares Subject to PSAs Granted						900,000
Minimum shares to be Issued on achievement of performance goals in respect of PSAs						0
Maximum shares to be issued on achievement of performance goals in respect of PSAs						2,200,000
Employee Stock Purchase Plan
Stock based compensation incremental Board approved offering period in months												6
Stock Issued During Period, Shares, Employee Stock Purchase Plans										1,700,000	1,000,000
Average Price of Common Stock, Per Share										$ 17.79	$ 23.89
Common Stock, Shares, Issued	529,177,000	526,409,000										7,700,000
Common Stock, Capital Shares Reserved for Future Issuance	93,000,000											4,300,000

[1] The number of shares subject to PSAs granted represents the aggregate maximum number of shares that may be issued pursuant to the award over its full term. The aggregate number of shares subject to these PSAs that would be issued if performance goals determined by the Compensation Committee are achieved at target is 0.9 million shares. Depending on achievement of such performance goals, the range of shares that could be issued under these awards is 0 to 2.2 million shares.

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Employee Benefit Plans, Assumptions and Resulting Estimates of Fair Value (Details) (USD $)	3 Months Ended
	Mar. 31, 2012 Y	Mar. 31, 2011 Y
Stock Options [Member]
Estimates of Fair Value
Expected Volatility Rate	46.00%	41.00%
Risk Free Interest Rate	0.80%	1.70%
Expected Term	4.2	4.1
Dividend yield	0.00%	0.00%
Weighted-average fair value per share	$ 8.51	$ 14.43
Employee Stock Purchase Plan 2008 [Member]
Estimates of Fair Value
Expected Volatility Rate	51.00%	33.00%
Risk Free Interest Rate	0.10%	1.80%
Expected Term	0.5	0.5
Dividend yield	0.00%	0.00%
Weighted-average fair value per share	$ 6.38	$ 9.07

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Employee Benefit Plans (Details) (USD $)	1 Months Ended		3 Months Ended
	May 31, 2011	May 31, 2010	Mar. 31, 2012		Dec. 31, 2011
Share-Based Compensation Plans
Maximum Additional Shares Expire Unexercised, Under 1996 and 2000 Plan			75,000,000
Outstanding Stock Options and RSU's Covering Shares of Common Stock			1,600,000
Stock Option Activities
Beginning Balance, Number of Shares			38,600,000
Beginning Balance, Weighted Average Exercise Price			23.98
Options Granted, Number of Shares			3,000,000
Options Granted, Weighted Average Exercise Price			22.93
Options Canceled, Number of Shares			(500,000)
Options Canceled, Weighted Average Exercise Price			28.48
Options Exercised, Number of Shares			(700,000)
Options Exercised, Weighted Average Exercise Price			12.67
Options Expired, Number of Shares			(200,000)
Options Expired, Weighted Average Exercise Price			26.18
Ending Balance, Number of Shares			40,200,000
Ending Balance, Weighted Average Exercise Price			24.02
Weighted Average Remaining Contractual Term at Period End			3.7
Aggregate Intrinsic Value at Period End			106,400,000
Vested or Expected-to-Vest Options, Number of Shares at Period End			38,300,000
Vested or Expected-to-Vest Options, Weighted Average Exercise Price at Period End			23.80
Vested and Expected-to-Vest Options, Weighted Average Remaining Contractual Term at Period End			3.6
Vested or Expected-to-Vest Options, Aggregate Intrinsic Value at Period End			104,500,000
Exercisable Options, Number of Shares at Period End			27,700,000
Exercisable Options, Weighted Average Exercise Price at Period End			22.47
Exercisable Options, Weighted Average Remaining Contractual Term at Period End			2.9
Exercisable Options, Aggregate Intrinsic Value at Period End			87,700,000
Closing Stock Price At Plan Period End			22.88
Intrinsic Value of Options Exercise, Pre-Tax			6,900,000
Total Fair Value of Options Vested			27,900,000
Employee Stock Purchase Plan 2008 [Member]
Share-Based Compensation Plans
Share-based Compensation Arrangement by Share-based Payment Award, Discount from Market Price			15.00%
Periodic Payroll Deduction - Percentage of Base Salary			10.00%
Maximum Purchase of Common Stock, Shares			6,000
Maximum Purchase of Common Stock, Value			25,000
Stock Options [Member]
Stock Option Activities
Share-based compensation stock option contractual life from grant date since 2006, in years			7
Employee Stock Purchase Plan [Member]
Share-Based Compensation Plans
ESPP purchase period, share limitation (in months)			12
ESPP purchase period, value limitation (in calendar years)			1
Stock Option Activities
Share-based compensation stock option contractual life from grant date, prior to 2006, in years			10
Equity Incentive Plan 2006 [Member]
Share-Based Compensation Plans
Number of Shares in Authorized			64,500,000
Additional Authorized Share Reserve Approved By Shareholders	30,000,000	30,000,000
Number of Shares Outstanding			64,900,000
Number of Shares Available for Future Issuance			22,200,000		41,100,000
Stock Option Activities
Options Granted, Number of Shares			3,000,000
Options Canceled, Number of Shares			(500,000)	[1]
Options Expired, Number of Shares			(200,000)	[1]

[1] Includes canceled or expired options under the 1996 Plan and the 2000 Plan that expired unexercised after May 18, 2006, which become available for grant under the 2006 Plan according to its terms.

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Commitments and Contingencies (Tables)

3 Months Ended

Mar. 31, 2012

Commitments and Contingencies Disclosure [Abstract]

Summary of principal contractual obligations [Table Text Block]

The following table summarizes the Company’s future principal contractual obligations as of March 31, 2012 (in millions):

	Total		2012		2013		2014		2015		2016		Thereafter		Other
Operating leases	$	293.3	$	42.9	$	47.0	$	41.3	$	34.8	$	26.9	$	100.4	$	—
Purchase commitments	136.4		136.4		—		—		—		—		—		—
Tax liabilities	111.4		—		—		—		—		—		—		111.4
Long-term debt	1,000.0		—		—		—		—		300.0		700.0		—
Interest payment on long-term debt	849.7		23.5		46.9		46.9		46.9		41.9		643.6		—
Other contractual obligations	90.8		81.0		4.8		3.0		2.0		—		—		—
Total	$	2,481.6	$	283.8	$	98.7	$	91.2	$	83.7	$	368.8	$	1,444.0	$	111.4

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Derivative Instruments (Details) (USD $) In Millions, unless otherwise specified	Mar. 31, 2012	Dec. 31, 2011
Derivative [Line Items]
Cash flow hedges	$ 122.4	$ 184.3
Non-designated hedges	122.9	122.7
Total	$ 245.3	$ 307.0

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Subsequent Events

3 Months Ended

Mar. 31, 2012

Subsequent Events [Abstract]

Subsequent Events [Text Block]

Subsequent Event

Stock Repurchases

Subsequent to March 31, 2012, through the filing of this report, the Company repurchased 2.2 million shares of its common stock, for $44.0 million at an average purchase price of $20.09 per share, under its 2010 Stock Repurchase Program. Repurchases of 2.0 million shares were settled prior to the filing of this report and the remaining shares will be settled after the filing date. The Company's 2010 Stock Repurchase Program had remaining authorized funds of $122.2 million as of the filing date. Purchases under the Company's 2010 Stock Repurchase Program are subject to a review of the circumstances in place at the time and will be made from time to time as permitted by securities laws and other legal requirements. This program may be discontinued at any time.

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Fair Value Measurements (Tables)

3 Months Ended

12 Months Ended

Mar. 31, 2012

Dec. 31, 2011

Fair Value Disclosures [Abstract]

Assets measured at fair value on a recurring basis [Text Block]

The following tables provide a summary of assets and liabilities measured at fair value on a recurring basis and as reported in the condensed consolidated balance sheets (in millions):

	Fair Value Measurements at March 31, 2012 Using:
	Quoted Prices in Active Markets For Identical Assets		Significant Other Observable Remaining Inputs		Significant Other Unobservable Remaining Inputs
	(Level 1)		(Level 2)		(Level 3)		Total
Available-for-sale debt securities:
U.S. government securities	$	187.0	$	189.7	$	—	$	376.7
Government-sponsored enterprise obligations	252.2		24.0		—		276.2
Commercial paper	—		15.0		—		15.0
Corporate debt securities (1)	—		570.1		—		570.1
Certificate of deposit	—		25.6		—		25.6
Asset-backed securities	—		142.0		—		142.0
Mutual funds (2)	1.0		—		—		1.0
Money market funds (3)	1,308.8		—		—		1,308.8
Total available-for-sale debt securities	1,749.0		966.4		—		2,715.4
Available-for-sale equity securities:
Publicly-traded equity securities	3.9		—		—		3.9
Total available-for-sale securities	1,752.9		966.4		—		2,719.3
Trading securities:
Mutual funds (4)	11.9		—		—		11.9
Total trading securities	11.9		—		—		11.9
Derivative assets:
Foreign exchange contracts	—		2.4		—		2.4
Total derivative assets	—		2.4		—		2.4
Total assets measured at fair value	$	1,764.8	$	968.8	$	—	$	2,733.6
Liabilities measured at fair value:
Derivative liabilities:
Foreign exchange contracts	$	—	$	3.1	$	—	$	3.1
Total derivative liabilities	—		3.1		—		3.1
Total liabilities measured at fair value	$	—	$	3.1	$	—	$	3.1

________________________________

(1) Balance includes $1.7 million of restricted investments measured at fair market value, related to the Company's India Gratuity Trust.

(2) Balance relates to the restricted investments measured at fair market value of the Company's India Gratuity Trust.

(3) Balance includes $79.2 million of restricted investments measured at fair market value, related to the Company's D&O trust and acquisitions related escrows.

(4) Balance relates to investments measured at fair value related to the Company's non-qualified deferred compensation plan assets.

	Fair Value Measurements at December 31, 2011 Using:
	Quoted Prices in Active Markets For Identical Assets		Significant Other Observable Remaining Inputs		Significant Other Unobservable Remaining Inputs
	(Level 1)		(Level 2)		(Level 3)		Total
Assets measured at fair value:
Available-for-sale debt securities:
U.S. government securities	$	149.3	$	151.7	$	—	$	301.0
Government-sponsored enterprise obligations	314.2		116.8		—		431.0
Commercial paper	—		10.0		—		10.0
Corporate debt securities (1)	—		510.3		—		510.3
Certificate of deposit	—		31.8		—		31.8
Asset-backed securities	—		124.7		—		124.7
Money market funds (2)	1,391.3		—		—		1,391.3
Total available-for-sale debt securities	1,854.8		945.3		—		2,800.1
Total available-for-sale securities	1,854.8		945.3		—		2,800.1
Trading securities:
Mutual funds (3)	10.3		—		—		10.3
Total trading securities	10.3		—		—		10.3
Derivative assets:
Foreign exchange contracts	—		0.4		—		0.4
Total derivative assets	—		0.4		—		0.4
Total assets measured at fair value	$	1,865.1	$	945.7	$	—	$	2,810.8
Liabilities measured at fair value:
Derivative liabilities:
Foreign exchange contracts	$	—	$	9.6	$	—	$	9.6
Total derivative liabilities	—		9.6		—		9.6
Total liabilities measured at fair value	$	—	$	9.6	$	—	$	9.6

________________________________

(1) Balance includes $1.6 million of restricted investments measured at fair market value, related to the Company's India Gratuity Trust.

(2) Balance includes $75.1 million of restricted investments measured at fair market value, related to the Company's D&O trust and acquisition related escrows.

(3) Balance includes $9.3 million of the Company's non-qualified deferred compensation plan assets and $1.0 million of restricted investments measured at fair market value, related to the Company's India Gratuity Trust.

Fair value by balance sheet grouping [Text Block]

	Fair Value Measurements at March 31, 2012 Using:
	Quoted Prices in Active Markets For Identical Assets		Significant Other Observable Remaining Inputs		Significant Other Unobservable Remaining Inputs
	(Level 1)		(Level 2)		(Level 3)		Total
Reported as:
Cash equivalents	$	1,229.6	$	117.0	$	—	$	1,346.6
Short-term investments	185.5		331.9		—		517.4
Long-term investments	269.5		515.8		—		785.3
Restricted investments	80.2		1.7		—		81.9
Prepaid expenses and other current assets	—		2.4		—		2.4
Total assets measured at fair value	$	1,764.8	$	968.8	$	—	$	2,733.6
Total liabilities measured at fair value, reported as:
Other accrued liabilities	$	—	$	3.1	$	—	$	3.1
Total liabilities measured at fair value	$	—	$	3.1	$	—	$	3.1

	Fair Value Measurements at December 31, 2011 Using:
	Quoted Prices in Active Markets For Identical Assets		Significant Other Observable Remaining Inputs		Significant Other Unobservable Remaining Inputs
	(Level 1)		(Level 2)		(Level 3)		Total
Total assets measured at fair value, reported as:
Cash equivalents	$	1,316.2	$	34.5	$	—	$	1,350.7
Short-term investments	168.9		472.4		—		641.3
Long-term investments	303.9		436.8		—		740.7
Restricted investments	76.1		1.6		—		77.7
Prepaid expenses and other current assets	—		0.4		—		0.4
Total assets measured at fair value	$	1,865.1	$	945.7	$	—	$	2,810.8
Total liabilities measured at fair value, reported as:
Other accrued liabilities	$	—	$	9.6	$	—	$	9.6
Total liabilities measured at fair value	$	—	$	9.6	$	—	$	9.6

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Derivative Instruments, Cash Flow Hedges (Details) (USD $) In Millions, unless otherwise specified	3 Months Ended							3 Months Ended
	Mar. 31, 2012	Mar. 31, 2012 Foreign Exchange Contract [Member] Cash Flow Hedging [Member]	Mar. 31, 2011 Foreign Exchange Contract [Member] Cash Flow Hedging [Member]	Mar. 31, 2012 Other Current Assets [Member] Foreign Exchange Contract [Member]	Dec. 31, 2011 Other Current Assets [Member] Foreign Exchange Contract [Member]	Mar. 31, 2012 Other Current Liabilities [Member] Foreign Exchange Contract [Member]	Dec. 31, 2011 Other Current Liabilities [Member] Foreign Exchange Contract [Member]	Mar. 31, 2012 Operating Expense [Member] Foreign Exchange Contract [Member] Cash Flow Hedging [Member]	Mar. 31, 2011 Operating Expense [Member] Foreign Exchange Contract [Member] Cash Flow Hedging [Member]
Derivatives, Fair Value [Line Items]
Maximum Length of Time Hedged in Cash Flow Hedge	one year or less
Derivative Asset Designated as Hedging Instrument, Fair Value				$ 2.3	$ 0.4
Derivative Liability Designated as Hedging Instrument, Fair Value						3.1	9.6
Derivative Instruments, Gain Recognized in Other Comprehensive Income (Loss), Effective Portion		6.0	5.2
Derivative Instruments, Loss Reclassified from Accumulated OCI into Income, Effective Portion								(3.5)
Derivative Instruments, Gain Reclassified from Accumulated OCI into Income, Effective Portion									$ 0.5

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Cash, Cash Equivalents and Investments - Available for Sale Securities (Details) (USD $) In Millions, unless otherwise specified	3 Months Ended		12 Months Ended
	Mar. 31, 2012		Dec. 31, 2011
Available-for-sale securities:
Available-for-sale securities, amortized cost	$ 2,634.1		$ 2,722.8
Available-for-sale securities, gross unrealized gains	3.7		1.4
Available-for-sale securities, gross unrealized losses	(0.4)		(0.8)
Available-for-sale securities, estimated fair value	2,637.4		2,723.4
Trading securities:
Trading securities, amortized cost	11.9	[1]	9.3	[1]
Trading securities, gross unrealized gains	0	[1]	0	[1]
Trading securities, gross unrealized losses	0	[1]	0	[1]
Trading securities, estimated fair value	11.9	[1]	9.3	[1]
Available-for-sale and Trading Investments [Abstract]
Total investments, amortized cost	2,646.0		2,732.1
Total investments, gross unrealized gains	3.7		1.4
Total investments, gross unrealized losses	(0.4)		(0.8)
Total investments, estimated fair value	2,649.3		2,732.7
Cash Equivalents [Member]
Available-for-sale and Trading Investments [Abstract]
Total investments, amortized cost	1,346.6		1,350.7
Total investments, gross unrealized gains	0		0
Total investments, gross unrealized losses	0		0
Total investments, estimated fair value	1,346.6		1,350.7
Short-term investments [Member]
Available-for-sale and Trading Investments [Abstract]
Total investments, amortized cost	515.8		640.9
Total investments, gross unrealized gains	1.6		0.4
Total investments, gross unrealized losses	0		0
Total investments, estimated fair value	517.4		641.3
Long-term investments [Member]
Available-for-sale and Trading Investments [Abstract]
Total investments, amortized cost	783.6		740.5
Total investments, gross unrealized gains	2.1		1.0
Total investments, gross unrealized losses	(0.4)		(0.8)
Total investments, estimated fair value	785.3		740.7
Debt Securities [Member]
Available-for-sale securities:
Available-for-sale securities, amortized cost	2,631.5		2,722.8
Available-for-sale securities, gross unrealized gains	2.4		1.4
Available-for-sale securities, gross unrealized losses	(0.4)		(0.8)
Available-for-sale securities, estimated fair value	2,633.5		2,723.4
US Government Debt Securities [Member]
Available-for-sale securities:
Available-for-sale securities, amortized cost	376.9		301.1
Available-for-sale securities, gross unrealized gains	0		0
Available-for-sale securities, gross unrealized losses	(0.2)		(0.1)
Available-for-sale securities, estimated fair value	376.7		301.0
US Government-sponsored Enterprises Debt Securities [Member]
Available-for-sale securities:
Available-for-sale securities, amortized cost	275.7		430.8
Available-for-sale securities, gross unrealized gains	0.5		0.3
Available-for-sale securities, gross unrealized losses	0		(0.1)
Available-for-sale securities, estimated fair value	276.2		431.0
Certificates of Deposit [Member]
Available-for-sale securities:
Available-for-sale securities, amortized cost	25.6		31.8
Available-for-sale securities, gross unrealized gains	0		0
Available-for-sale securities, gross unrealized losses	0		0
Available-for-sale securities, estimated fair value	25.6		31.8
Commercial Paper [Member]
Available-for-sale securities:
Available-for-sale securities, amortized cost	15.0		10.0
Available-for-sale securities, gross unrealized gains	0		0
Available-for-sale securities, gross unrealized losses	0		0
Available-for-sale securities, estimated fair value	15.0		10.0
Asset-backed Securities [Member]
Available-for-sale securities:
Available-for-sale securities, amortized cost	141.8		124.7
Available-for-sale securities, gross unrealized gains	0.2		0.1
Available-for-sale securities, gross unrealized losses	0		(0.1)
Available-for-sale securities, estimated fair value	142.0		124.7
Corporate Debt Securities [Member]
Available-for-sale securities:
Available-for-sale securities, amortized cost	566.9		508.2
Available-for-sale securities, gross unrealized gains	1.7		1.0
Available-for-sale securities, gross unrealized losses	(0.2)		(0.5)
Available-for-sale securities, estimated fair value	568.4		508.7
Money Market Funds [Member]
Available-for-sale securities:
Available-for-sale securities, amortized cost	1,229.6		1,316.2
Available-for-sale securities, gross unrealized gains	0		0
Available-for-sale securities, gross unrealized losses	0		0
Available-for-sale securities, estimated fair value	1,229.6		1,316.2
Equity Securities [Member]
Available-for-sale securities:
Available-for-sale securities, amortized cost	2.6
Available-for-sale securities, gross unrealized gains	1.3
Available-for-sale securities, gross unrealized losses	0
Available-for-sale securities, estimated fair value	$ 3.9

[1] Balance includes the Company's non-qualified deferred compensation plan assets. For additional information, see Note 12, Employee Benefit Plans, under the section Deferred Compensation Plan.

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Condensed Consolidated Statements of Cash Flows (Unaudited) (USD $) In Thousands, unless otherwise specified	3 Months Ended
	Mar. 31, 2012	Mar. 31, 2011
Cash flows from operating activities:
Consolidated net income	$ 16,270	$ 129,660
Adjustments to reconcile consolidated net income to net cash from operating activities:
Depreciation and amortization	43,396	40,758
Non-cash portion of share-based compensation	65,007	47,586
Deferred income taxes	(13,904)	1,503
Loss on equity investments	14,000	0
Excess tax benefits from share-based compensation	(4,319)	(39,041)
Amortization of debt issuance costs	236	0
Changes in operating assets and liabilities, net of effects from acquisitions:
Accounts receivable, net	126,462	125,610
Prepaid expenses and other assets	(22,272)	(59,372)
Accounts payable	(126,846)	(58,468)
Accrued compensation	(15,426)	(66,510)
Income tax payable	(3,750)	38,099
Other accrued liabilities	(9,146)	13,981
Deferred revenue	32,558	65,844
Net cash provided by operating activities	102,266	239,650
Cash flows from investing activities:
Purchases of property and equipment	(81,991)	(53,972)
Purchases of trading investments	(2,659)	(2,495)
Purchases of available-for-sale investments	(371,285)	(437,773)
Proceeds from sales of available-for-sale investments	231,366	193,301
Proceeds from maturities of available-for-sale investments	222,840	126,260
Payment for business acquisition, net of cash and cash equivalents acquired	(90,487)	(28,573)
Changes in restricted cash	35	0
Purchases of privately-held and other equity investments, net	(1,122)	(5,972)
Net cash used in investing activities	(93,303)	(209,224)
Cash flows from financing activities:
Proceeds from issuance of common stock	37,798	264,113
Purchases and retirement of common stock	(56,088)	(205,171)
Issuance of long-term debt, net	0	991,556
Change in customer financing arrangements	7,683	12,531
Excess tax benefit from share-based compensation	4,319	39,041
Net cash provided by (used in) financing activities	(6,288)	1,102,070
Net increase in cash and cash equivalents	2,675	1,132,496
Cash and cash equivalents at beginning of period	2,910,420	1,811,887
Cash and cash equivalents at end of period	$ 2,913,095	$ 2,944,383

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Cash, Cash Equivalents and Investments (Notes)

3 Months Ended

Mar. 31, 2012

Cash Cash Equivalents And Investments [Abstract]

Cash, Cash Equivalents, and Investments [Text Block]

Cash, Cash Equivalents, and Investments

Cash and Cash Equivalents

The following table summarizes the Company's cash and cash equivalents (in millions):

	As of
	March 31, 2012		December 31, 2011
Cash:
Demand deposits	$	680.6	$	633.7
Time deposits	885.9		926.0
Total cash	1,566.5		1,559.7
Cash equivalents:
U.S. government securities	102.0		—
Government-sponsored enterprise obligations	—		24.5
Commercial paper	15.0		10.0
Money market funds	1,229.6		1,316.2
Total cash equivalents	1,346.6		1,350.7
Total cash and cash equivalents	$	2,913.1	$	2,910.4

Investments in Available-for-Sale and Trading Securities

The following table summarizes the Company's unrealized gains and losses, based on the specific identification method, and fair value of investments designated as available-for-sale and trading securities, as of March 31, 2012, and December 31, 2011 (in millions):

	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses			Estimated Fair Value
As of March 31, 2012:
Fixed income securities:
U.S. government securities	$	376.9	$	—	$	(0.2	)	$	376.7
Government-sponsored enterprise obligations	275.7		0.5		—			276.2
Certificates of deposit	25.6		—		—			25.6
Commercial paper	15.0		—		—			15.0
Asset-backed securities	141.8		0.2		—			142.0
Corporate debt securities	566.9		1.7		(0.2		)	568.4
Money market funds	1,229.6		—		—			1,229.6
Total fixed income securities	2,631.5		2.4		(0.4		)	2,633.5
Publicly-traded equity securities	2.6		1.3		—			3.9
Total available-for-sale securities	2,634.1		3.7		(0.4		)	2,637.4
Trading securities (1)	11.9		—		—			11.9
Total	$	2,646.0	$	3.7	$	(0.4	)	$	2,649.3
Reported as:
Cash equivalents	$	1,346.6	$	—	$	—		$	1,346.6
Short-term investments	515.8		1.6		—			517.4
Long-term investments	783.6		2.1		(0.4		)	785.3
Total	$	2,646.0	$	3.7	$	(0.4	)	$	2,649.3

________________________________

(1) Balance includes the Company's non-qualified deferred compensation plan assets. For additional information, see Note 12, Employee Benefit Plans, under the section Deferred Compensation Plan.

	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses			Estimated Fair Value
As of December 31, 2011:
Fixed income securities:
U.S. government securities	$	301.1	$	—	$	(0.1	)	$	301.0
Government-sponsored enterprise obligations	430.8		0.3		(0.1		)	431.0
Certificates of deposit	31.8		—		—			31.8
Commercial paper	10.0		—		—			10.0
Asset-backed securities	124.7		0.1		(0.1		)	124.7
Corporate debt securities	508.2		1.0		(0.5		)	508.7
Money market funds	1,316.2		—		—			1,316.2
Total fixed income securities	2,722.8		1.4		(0.8		)	2,723.4
Total available-for-sale securities	2,722.8		1.4		(0.8		)	2,723.4
Trading securities (1)	9.3		—		—			9.3
Total	$	2,732.1	$	1.4	$	(0.8	)	$	2,732.7
Reported as:
Cash equivalents	$	1,350.7	$	—	$	—		$	1,350.7
Short-term investments	640.9		0.4		—			641.3
Long-term investments	740.5		1.0		(0.8		)	740.7
Total	$	2,732.1	$	1.4	$	(0.8	)	$	2,732.7

________________________________

(1) Balance includes the Company's non-qualified deferred compensation plan assets. For additional information, see Note 12, Employee Benefit Plans, under the section Deferred Compensation Plan.

The following table presents the maturities of the Company's available-for-sale and trading securities, as of March 31, 2012 (in millions):

	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses			Estimated Fair Value
Due within one year	$	1,847.9	$	0.3	$	—		$	1,848.2
Due between one and five years	783.6		2.1		(0.4		)	785.3
No contractual maturity	14.5		1.3		—			15.8
Total	$	2,646.0	$	3.7	$	(0.4	)	$	2,649.3

The following tables present the Company's available-for-sale investments that are in an unrealized loss position as of March 31, 2012, and December 31, 2011 (in millions):

	Less than 12 Months					12 Months or Greater				Total
	Fair Value		Unrealized Loss			Fair Value		Unrealized Loss		Fair Value		Unrealized Loss
As of March 31, 2012
Corporate debt securities	$	117.8	$	(0.2	)	$	—	$	—	$	117.8	$	(0.2	)
U.S. government securities	207.2		(0.2		)	—		—		207.2		(0.2		)
Government-sponsored enterprise obligations (1)	34.5		—			—		—		34.5		—
Asset-backed securities (1)	23.5		—			0.4		—		23.9		—
Total	$	383.0	$	(0.4	)	$	0.4	$	—	$	383.4	$	(0.4	)

________________________________

(1) Balance includes investments that were in an immaterial unrealized loss position as of March 31, 2012.

	Less than 12 Months					12 Months or Greater				Total
	Fair Value		Unrealized Loss			Fair Value		Unrealized Loss		Fair Value		Unrealized Loss
As of December 31, 2011
Corporate debt securities	$	189.9	$	(0.5	)	$	—	$	—	$	189.9	$	(0.5	)
U.S. government securities	186.7		(0.1		)	—		—		186.7		(0.1		)
Government-sponsored enterprise obligations	146.0		(0.1		)	—		—		146.0		(0.1		)
Asset-backed securities (1)	76.8		(0.1		)	0.3		—		77.1		(0.1		)
Total	$	599.4	$	(0.8	)	$	0.3	$	—	$	599.7	$	(0.8	)

 ________________________________

(1) Balance includes investments that were in an immaterial unrealized loss position as of December 31, 2011.

The Company had 89 and 135 investments in unrealized loss positions as of March 31, 2012, and December 31, 2011, respectively. The gross unrealized losses related to these investments were primarily due to changes in market interest rates. For the fixed income securities that have unrealized losses, the Company determined that (i) it does not have the intent to sell any of these investments and (ii) it is not more likely than not that it will be required to sell any of these investments before recovery of the entire amortized cost basis. The Company did not consider these investments to be other-than-temporarily impaired as of March 31, 2012, and December 31, 2011. The Company reviews its investments to identify and evaluate investments that have an indication of possible impairment. The Company aggregates its investments by category and length of time the securities have been in a continuous unrealized loss position to facilitate its evaluation.

Restricted Cash and Investments

The Company classifies cash and investments as restricted cash and investments on its condensed consolidated balance sheet for: (i) amounts held in escrow accounts, as required by certain acquisitions completed between 2005 and 2012; (ii) the India Gratuity Trust and Israel Retirement Trust, which cover statutory severance obligations in the event of termination of the Company's India and Israel employees, respectively; and (iii) the Directors and Officers ("D&O") indemnification trust. During the three months ended March 31, 2012, the Company distributed approximately $79.0 million of restricted cash, mainly related to the 2012 acquisitions.

In connection with the 2010 acquisition of Ankeena Networks, Inc. ("Ankeena"), the Company agreed to pay from escrow a total amount of $10.7 million, representing the cash value of unvested restricted shares of Ankeena common stock as of April 8, 2010, held by certain former Ankeena employees. Through March 31, 2012, the Company has released $10.6 million from escrow and expects to release the remaining $0.1 million from escrow over the next six months.

The following table summarizes the Company's cash and investments that are classified as restricted cash and investments in the condensed consolidated balance sheets (in millions):

	As of
	March 31, 2012		December 31, 2011
Restricted cash:
Demand deposits	$	0.6	$	0.6
Total restricted cash	0.6		0.6
Restricted investments:
Corporate debt securities	1.7		1.6
Mutual funds	1.0		1.0
Money market funds	79.2		75.1
Total restricted investments	81.9		77.7
Total restricted cash and investments	$	82.5	$	78.3

As of March 31, 2012, and December 31, 2011, the unrealized gains and losses related to restricted investments were immaterial.

Privately-Held Investments

As of March 31, 2012, and December 31, 2011, the carrying values of the Company’s privately-held and other equity investments of $36.0 million and $51.8 million, respectively, were included in other long-term assets in the condensed consolidated balance sheets. During the three months ended March 31, 2012, the Company invested $1.1 million in privately-held and other equity investments. During the three months ended March 31, 2011, the Company invested $6.0 million in privately-held and other equity investments.

In the three months ended March 31, 2012, the Company recognized an other-than-temporary non-cash impairment of $14.0 million, related to one of the Company's privately-held equity investments. There were no losses from the Company's privately-held and other equity investments during the three months ended March 31, 2011.

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Other Financial Information, Restructuring (Details) (USD $)	3 Months Ended
	Mar. 31, 2012	Mar. 31, 2011
Restructuring Reserve [Line Items]
Restructuring, net	$ 2,039,000	$ (347,000)
Restructuring Reserve [Roll Forward]
Beginning Balance	4,100,000
Charges	2,000,000
Cash payments	1,900,000
Non-cash settlements and other adjustments	(900,000)	300,000
Ending Balance	5,100,000
Facilities [Member]
Restructuring Reserve [Roll Forward]
Beginning Balance	1,000,000
Charges	(200,000)
Cash payments	200,000
Non-cash settlements and other adjustments	0
Ending Balance	600,000
Severance [Member]
Restructuring Reserve [Roll Forward]
Beginning Balance	3,100,000
Charges	2,200,000
Cash payments	1,700,000
Non-cash settlements and other adjustments	(900,000)
Ending Balance	$ 4,500,000

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Segments (Details) (USD $)	3 Months Ended
	Mar. 31, 2012		Mar. 31, 2011
Net Revenues [Abstract]
Total net revenues	$ 1,032,498,000		$ 1,101,612,000
Segment Operating Income [Abstract]
Total segment operating income	386,600,000		498,200,000
Corporate Unallocated Expenses	(263,100,000)	[1]	(252,400,000)	[1]
Amortization of purchased intangible assets	(7,300,000)	[2]	(6,700,000)	[2]
Share-based Compensation Expense	(65,000,000)		(49,000,000)
Share-based payroll tax expense	(400,000)		(8,000,000)
Restructuring and other charges	(2,039,000)		347,000
Acquisition-related and other charges	(1,100,000)	[3]	(5,100,000)	[3]
Operating income	47,709,000		177,393,000
Other (expense) income, net	(24,431,000)		(6,462,000)
Income before income taxes and noncontrolling interest	23,278,000		170,931,000
PSD Segment [Member]
Net Revenues [Abstract]
Total net revenues	824,200,000		898,600,000
Segment Operating Income [Abstract]
Total segment operating income	304,700,000		417,100,000
Depreciation by Segment [Abstract]
Depreciation expense	28,200,000		26,000,000
SSD Segment [Member]
Net Revenues [Abstract]
Total net revenues	208,300,000		203,000,000
Segment Operating Income [Abstract]
Total segment operating income	81,900,000		81,100,000
Depreciation by Segment [Abstract]
Depreciation expense	$ 7,900,000		$ 8,000,000

[1] Amount includes unallocated costs for global functions such as sales, marketing, and G&A.

[2] Amount includes amortization expense of purchased intangible assets in operating expenses and in cost of revenues.

[3] Amount includes acquisition-related costs in operating expenses and in cost of revenues.

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Derivative Instruments (Tables)

3 Months Ended

Mar. 31, 2012

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Schedule of Derivative Instruments [Table Text Block]

The notional amount of Company's foreign currency derivatives are summarized as follows (in millions):

	As of
	March 31, 2012		December 31, 2011
Cash flow hedges	$	122.4	$	184.3
Non-designated hedges	122.9		122.7
Total	$	245.3	$	307.0

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Commitments and Contingencies, Guarantees (Details) (Guarantees and standby letters of credit, USD $) In Millions, unless otherwise specified	Mar. 31, 2012	Dec. 31, 2011
Guarantees and standby letters of credit
Guarantor Obligations [Line Items]
Guarantor obligations, current carrying value	$ 19.3	$ 19.9

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Business Combination, Textuals (Details) (USD $)	3 Months Ended
	Mar. 31, 2012		Mar. 31, 2011		Feb. 13, 2012 Business Acquisition Acquired Entity Mykonos [Member] Business Acquisitions - 2012 [Member]	Mar. 08, 2012 Business Acquisition Acquired Entity BitGravity [Member] Business Acquisitions - 2012 [Member]
Business Acquisition [Line Items]
Pro Forma results of operations not presented, impact to results of operations not material	not material
Business Acquisition, Cost of Acquired Entity, Purchase Price	$ 95,600,000				$ 82,600,000	$ 13,000,000
Business Acquisition, Purchase Price Allocation, Net Tangible Assets	(700,000)				(800,000)	100,000
Business Acquisition, Purchase Price Allocation, Goodwill Amount	59,600,000				59,100,000	500,000
Acquisition Costs, Period Cost	1,142,000		4,101,000
Business Combination, Acquisition Related Costs	1,100,000	[1]	5,100,000	[1]
Goodwill deductible for income tax purposes	$ 0

[1] Amount includes acquisition-related costs in operating expenses and in cost of revenues.

XML

Commitments and Contingencies (Notes)

3 Months Ended

Mar. 31, 2012

Commitments and Contingencies Disclosure [Abstract]

Commitments and Contingencies [Text Block]

Commitments and Contingencies

Commitments

The following table summarizes the Company’s future principal contractual obligations as of March 31, 2012 (in millions):

	Total		2012		2013		2014		2015		2016		Thereafter		Other
Operating leases	$	293.3	$	42.9	$	47.0	$	41.3	$	34.8	$	26.9	$	100.4	$	—
Purchase commitments	136.4		136.4		—		—		—		—		—		—
Tax liabilities	111.4		—		—		—		—		—		—		111.4
Long-term debt	1,000.0		—		—		—		—		300.0		700.0		—
Interest payment on long-term debt	849.7		23.5		46.9		46.9		46.9		41.9		643.6		—
Other contractual obligations	90.8		81.0		4.8		3.0		2.0		—		—		—
Total	$	2,481.6	$	283.8	$	98.7	$	91.2	$	83.7	$	368.8	$	1,444.0	$	111.4

Operating Leases

The Company leases its facilities under operating leases that expire at various times, the longest of which expires on November 30, 2022. Future minimum payments under the non-cancelable operating leases totaled $293.3 million as of March 31, 2012. Rent expense was $15.7 million and $14.8 million for the three months ended March 31, 2012 and March 31, 2011, respectively.

Purchase Commitments

In order to reduce manufacturing lead times and ensure adequate component supply, contract manufacturers utilized by the Company place non-cancelable, non-returnable (“NCNR”) orders for components based on the Company’s build forecasts. As of March 31, 2012, there were NCNR component orders placed by the contract manufacturers with a value of $136.4 million. The contract manufacturers use the components to build products based on the Company’s forecasts and customer purchase orders received by the Company. Generally, the Company does not own the components and title to the products transfers from the contract manufacturers to the Company and immediately to the Company’s customers upon delivery at a designated shipment location. If the components remain unused or the products remain unsold for specified periods, the Company may incur carrying charges or obsolete materials charges for components that the contract manufacturers purchased to build products to meet the Company’s forecast or customer orders. As of March 31, 2012, the Company had accrued $15.6 million based on its estimate of such charges.

Tax Liabilities

As of March 31, 2012, the Company had $111.4 million included in long-term liabilities in the condensed consolidated balance sheet for unrecognized tax positions. At this time, the Company is unable to make a reasonably reliable estimate of the timing of payments related to the additional $111.4 million in liability due to uncertainties in the timing of tax audit outcomes.

Long-Term Debt and Interest Payment on Long-Term Debt

As of March 31, 2012, the Company held long-term debt with a carrying value of $999.1 million. Of these notes, $300.0 million will mature in 2016 and bears interest at a fixed rate of 3.10%, $300.0 million will mature in 2021 and bears interest at a fixed rate of 4.60%, and $400.0 million will mature in 2041 and bears interest at 5.95%. Interest on the notes is payable semiannually. See Note 10, Long-Term Debt and Financing, for further discussion of the Company's long-term debt.

Other Contractual Obligations

As of March 31, 2012, other contractual obligations primarily consisted of $29.2 million in indemnity-related and service related escrows, required by certain acquisitions completed in 2005 and 2010, $47.6 million in campus build-out obligations, and other miscellaneous commitments.

Guarantees

The Company enters into agreements with customers that contain indemnification provisions relating to potential situations where claims could be alleged that the Company’s products infringe the intellectual property rights of a third-party. The Company also has financial guarantees consisting of guarantees of product and service performance, guarantees related to third-party customer-financing arrangements, customs and duties guarantees, and standby letters of credit for certain lease facilities. As of March 31, 2012, and December 31, 2011, the Company had $19.3 million and $19.9 million, respectively, in bank guarantees and standby letters of credit related to these financial guarantees.

Legal Proceedings

The Company is involved in disputes, litigation, and other legal actions, including, but not limited to, the matters described below. The Company is aggressively defending its current litigation matters, and while the Company currently believes that there are no existing claims or proceedings that are likely to have a material adverse effect on its financial position, the outcome of these matters is currently not determinable. There are many uncertainties associated with any litigation, and these actions or other third-party claims against the Company may cause the Company to incur costly litigation and/or substantial settlement charges. In addition, the resolution of any intellectual property litigation may require the Company to make royalty payments, which could adversely affect gross margins in future periods. If any of those events were to occur, the Company's business, financial condition, results of operations, and cash flows could be adversely affected. The actual liability in any such matters may be materially different from the Company's estimates, which could result in the need to adjust the liability and record additional expenses.

2011 Federal Securities Class Action

On August 15, 2011, a purported securities class action lawsuit, captioned City of Royal Oak Retirement System v. Juniper Networks, Inc., et al., Case No. 11-cv-04003-LHK, was filed in the United States District Court for the Northern District of California naming the Company and certain of its officers and directors as defendants. The complaint alleges that the defendants made false and misleading statements regarding the Company's business and prospects. On January 9, 2012 the Court appointed City of Omaha Police and Fire Retirement System and City of Bristol Pension Fund as lead plaintiff. Lead plaintiff filed an amended complaint on February 13, 2012. The amended complaint alleges that defendants made false and misleading statements about Juniper's business and future prospects, and failed to adequately disclose the impact of certain changes in accounting rules. The amended complaint purports to assert claims for violations of Sections 10(b), 20(a) and 20A of the Securities Exchange Act of 1934 and SEC Rule 10b-5 on behalf of those who purchased or otherwise acquired Juniper's common stock between July 20, 2010 and July 26, 2011, inclusive. On March 14, 2012, Defendants filed motions to dismiss. Plaintiffs filed their opposition to the motions on April 13, 2012. The motions are scheduled to be heard by the Court on July 19, 2012.

2011 California State Derivative Lawsuits

Between August 22 and September 9, 2011, four purported shareholder derivative actions were filed in the Superior Court of the State of California, County of Santa Clara, naming certain of the Company's officers and directors as defendants. The Company is named only as a nominal defendant in the actions. The actions were consolidated as In re Juniper Networks, Inc. Shareholder Litigation, Case No. 1-11-CV-207701 (Lead Case), by order dated September 12, 2011. The complaints are generally based upon the disclosures and alleged omissions challenged in the securities class action. The complaints purport to assert claims against the defendants for breach of fiduciary duties, unjust enrichment, abuse of control, gross mismanagement, and waste of corporate assets. The complaints seek, among other relief, damages in an unspecified amount, restitution, and attorneys' fees and costs. On March 8, 2012, the Company filed a motion to stay the action until resolution of the federal securities class action discussed above, and also filed a demurrer seeking to dismiss the action for the reason that plaintiffs lack standing. The plaintiffs filed oppositions to both motions on April 5, 2012. The motions are scheduled to be heard by the Court on July 27, 2012.

2011 Federal Derivative Lawsuit

On September 27, 2011 and December 28, 2011, two purported shareholder derivative actions, captioned Ratinova v. Johnson, et al., Case No. 11-cv-04792 and Lisa E. Coppola, ERA v. Johnson, et al., Case No. 11-cv-06667, respectively, were filed in the United States District Court for the Northern District of California naming certain of the Company's officers and directors as defendants. The Company is named only as a nominal defendant in the action. Like the state derivative actions, the federal derivative lawsuits are generally based upon the disclosures and alleged omissions challenged in the securities class action. The complaints purport to assert claims against the defendants for breach of fiduciary duties and unjust enrichment. The complaints seek, among other relief, damages in an unspecified amount, restitution, and attorneys' fees and costs. By order dated January 30, 2012, the Court consolidated the actions as In re Juniper Networks, Inc. Shareholder Derivative Litigation, Master File No. 11-cv-04792-LHK. On February 3, 2012, the parties filed a stipulation in which the parties requested that the Court stay the action until such time as the Court entered an order denying a motion to dismiss in the related federal securities class action described above. On February 6, 2012, the Court granted the parties' stipulation.

IRS Notices of Proposed Adjustments

In 2011, as a result of its audit of the Company's U.S. federal income tax returns for the 2005 and 2006 fiscal years, the IRS issued a Preliminary Notice of Deficiency (“PNOD”) regarding the Company's transfer pricing transactions under its intercompany R&D cost sharing arrangement related to the license of intangibles acquired in 2005. The asserted changes would affect the Company's income tax liabilities for tax years subsequent to 2004. Because of the PNOD, the estimated incremental tax liabilities for all relative tax years would be approximately $92 million, excluding interest and penalties. The Company has filed a protest to the proposed deficiency with the IRS.

In 2009, the Company received a PNOD from the IRS claiming that the Company owes additional taxes, plus interest and possible penalties, for the 2004 tax year based on a transfer pricing transaction related to the license of acquired intangibles under an intercompany R&D cost sharing arrangement. The asserted changes to the Company's 2004 tax year would affect the Company's income tax liabilities in tax years subsequent to 2003. In addition, the Company has not reached a final resolution with the IRS on an adjustment the IRS proposed for the 1999 and 2000 tax years. Because of the PNOD, the estimated incremental tax liability would be approximately $807 million, excluding interest and penalties. The Company has filed a protest to the PNOD, which is under review by the Appeals Division of the IRS.

The Company strongly believes the IRS' position with regard to transfer pricing transactions for the Company's 2004 through 2006 fiscal years are inconsistent with applicable tax laws, judicial precedent and existing Treasury regulations, and that the Company's previously reported income tax provisions for the years in question are appropriate. However, there can be no assurance that these matters will be resolved in the Company's favor. Regardless of whether these matters are resolved in the Company's favor, the final resolution of these matters could be expensive and time-consuming to defend and/or settle. While the Company believes it has provided adequately for these matters, there is still a possibility that an adverse outcome from these matters could have a material effect on its results of operations and financial condition.

In September 2008, as part of its ongoing audit of the U.S. federal income tax return for the 2004 fiscal year, the IRS issued a Notice of Proposed Adjustment (“NOPA”) regarding the Company's business credits. The Company believes that it has adequately provided for any reasonable foreseeable outcome related to this proposed adjustment.

The Company is also under routine examination by certain state and non-U.S. tax authorities. The Company believes that it has adequately provided for any reasonably foreseeable outcome related to these audits.