Nokia Corporation NOK recently announced that the London Internet Exchange (LINX) has opted to deploy its Deepfield DDoS (Distributed Denial of Service) security solution to protect the latter’s network from the growing threat of DDoS attacks. With this collaboration, the global Internet Exchange Point (IXP) will become the first UK-based IXP to offer cutting-edge DDoS mitigation capabilities, ensuring trusted performance, scalability and granular mitigation to reduce any impact on member connectivity and services.

How NOK’s Solution Could Prove Beneficial?

In the era of advanced digitalization and growing usage of 5G, IoT and cloud, communication service providers and enterprises are witnessing a surge in cyber-attacks, with DDoS attacks becoming increasingly common. It is a specific type of cyber-attack in which the attacker floods a network with excessive malicious traffic and disrupts the normal functioning of the target server or network. As the frequency and complexity of such threats continue to grow, service and cloud providers need more intelligent, scalable and adaptable defense strategies to protect their networks. 

Nokia’s state-of-the-art Deepfield DDoS security solution offers a powerful, software-based defense against these advanced threats. A key element of Nokia’s DDoS security is the Deepfield Defender, which integrates network data (telemetry, domain name system, border gateway protocol) with Nokia’s cloud-based data feed, Deepfield Secure Genome. This provides detailed visibility into more than five billion IP addresses and uses machine learning to classify and detect security threats, including compromised IoT devices used in DDoS attacks. 

Advanced network routers such as the 7750 Defender Mitigation System also offer comprehensive DDoS protection. It includes enhanced domain name system server protection and effective inspection of data packets traveling through networks. Its geo-IP blocking capability restricts traffic from specific geographical locations suspected of being sources of attacks. Moreover, an integrated global map of DDoS botnets also facilitates the identification and neutralization of threats at the source.

Does NOK Stand to Gain From the Deployment?

With the emergence of the smartphone market and subsequent usage of mobile broadband, user demand for coverage speed and quality has increased recently. Further, to maintain superior performance as traffic increases, there is also a continuous need for network tuning and optimization. Nokia’s expertise in mission-critical networks is well-established, with deployments across more than 2,600 leading enterprise customers in the transportation, energy, manufacturing, webscale and public sector segments worldwide.

This collaboration with LINX is likely to propel the stock with incremental revenue generation and inducement of similar deals in the future. The partnership is also expected to strengthen Nokia’s position as a leading DDoS security solution provider in the region.

NOK Stock's Price Performance

Shares of Nokia have gained 16.9% over the past year compared with the industry’s growth of 27.8%.

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NOK’s Zacks Rank and Stocks to Consider

Nokia currently carries a Zacks Rank #4 (Sell). 

Some better-ranked stocks in the broader industry have been discussed below.

Ubiquiti Inc. UI presently carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Its effective management of a strong global network of more than 100 distributors and master resellers improved its visibility for future demand and inventory management techniques. In the last reported quarter, Ubiquiti delivered an earnings surprise of 20.9%.
 
InterDigital, Inc. IDCC carries a Zacks Rank of 2 at present. It has a long-term growth expectation of 17.44%.

IDCC pioneered advanced mobile technologies that enable wireless communications and capabilities. The company designs and develops various advanced technology solutions for digital cellular, wireless 3G, 4G and IEEE 802-related products and networks.

Workday Inc. WDAY carries a Zacks Rank #2 at present. In the last reported quarter, it delivered an earnings surprise of 7.36%. 

WDAY is a top supplier of enterprise-level software solutions for the fields of human resources and finance management. The company's cloud-based platform makes it simpler for businesses to offer analytical insights and decision support by integrating finance and human resources into a single system.

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