Cisco: Not The Best Idea In Big Cap Tech

Summary

It is not so hard to strong free cash flow from Cisco to generate strong cash balance and a dominant position in the markets for communications networks.Cisco makes the best of a difficult situation.We still prefer Microsoft and Apple as better ideas,all in all.It's hard not to like Cisco (NASDAQ: CSCO), strong free cash flow to generate the balance of the fixed panel and domain network communications market, but the results for the fourth fiscal quarter they were not great.

Cisco CEO John Chambers is the wool over your eyes do not pull everyone: Cisco makes the best of a difficult situation. Sales were flat on a year-on-year basis in the quarter,earnings per share came in about flat.GAAP net income fell from the time last year, but the company was able to publish (primarily to the repurchase of aggressive acts) its best quarter non-GAAP earnings per share in the story Cisco continues to generate a lot of free cash flow (3.3 billion dollars in the quarter), but the market environment remains undoubtedly difficult, especially in emerging markets.

The following transcript outlines the ongoing troubles:Fiscal year 2014 was a year with many big wins and several challenges. Our fiscal year began with the number of external headwinds including the federal government shutdown and the possibility of a U.S. default combined with significant slowdown in emerging markets.

Asia Pacific, Japan and China (region) was down 7% with China down 23% and India up 18% while the remaining emerging countries in Asia actually declined 34%. Those are countries that did not include China and India. Overall emerging countries within the three geographies declined this quarter by 9%.

We saw the impact of economic and geopolitical challenges in China, Brazil, Russia, Argentina, Turkey and Thailand and in a number of emerging markets that many of our other peers are seeing. These declines are reducing our growth by several points from what was expected and typically seen.

Although trends are best seen in Q2 and Q3 for emerging markets,lost in Q4 emerging markets, continued breakdown in double-digit declines and the following 15 emerging market countries went from a positive growth in the mid single digits in Q2 and Q3 to a decrease of 9% in Q4.Unfortunately,when we discovered that we see growth emerging markets again for several quarters and we believe that it could possibly get worse. Conference call.

The network communications giant said revenue would be flat to 1% on an annual basis in the current quarter and non-GAAP earnings per share in the range of $ 0.53 USD per share 0.51- the center be (slightly below consensus estimates). In the coming months, Cisco will help reduce 6,000 jobs, their goals at baseline, a reduction of about 8% of the workforce.

Big Business Trip to Las Vegas for Cisco’s John Chambers

John Chambers, CEO of Csco and a man who likes big bets, went to the right place. Later this month,Chambers said in an interview,20,000 Cisco employees flying to Las Vegas for three days of training on the new Cisco.It is the first such meeting which made ​​the company in six years and underlines the strength of the changes Cisco through and to wagered.

While Cisco has a lot of boxes that direct traffic around the Internet,he said,is sold,the understanding of routers and switches is not enough.We need to get people to the architecture and the results of the solution.This sounds like advice,but Mr.Chambers said the new Cisco sales approach that would be applied.People in your sales he said,have five main business objectives of a CEO to take and bind them in the results.Received the strictest hardware and engineering software on it.

Part of the new approach, announced fourth quarter earnings on Wednesday,Cisco,cuts about 6,000 employees.Mr.Chambers said the cuts would in many areas of California,such as sales representative in a country that does not return, both sales or service people come into the business,is a new language.It also means many new hires. our count is not different,the end of the layoffs,he said. The market waits for no one.

Both the collection and distribution approach sounds expensive, but Mr. Salas says he can and should be done. The sales approach "is a higher risk, but how to keep their margins. Regarding sales people turning loose in Sin City," a few big sales pays for it.

Large in this context, such as wiring a city with sensors,networks servers and analysis software for more efficient management and monitoring of the supply chain of an international manufacturer.Mr.Chambers two large companies in the future include a kind of red-heavy software that can handle changing workloads quickly reconfigured, and the so-called inter-cloud" Linking public and private networks with a high level of service quality.

None of these bets has been shown,although Mr.Chambers says that its software-based network,as it is an advantage of 30 to 40 percent during the commercial silicon,the type of business records that threaten the business of Cisco. This however, seems on the number of components on a single board computer,and no cost for the initial or overall life of the execution of Cisco Systems relate.

The InterCloud bet is one in which Mr.Salas has run most large companies and governments their own large private networks.Private Clouds are dramatically larger public clouds,he said,something that people in the industry would deny public cloud on Amazon Web Services and Google.

In any case, the idea of ​​switching networks in the plans of both intestinal and network management is in the clouds means that distinctions such as hardware and software,data storage and rake or strategic objectives and business analysis are collapsing.Many of these categories can be mixed, Chambers said, and that's what the troops need to understand.

The danger, of course, that Cisco employees shoot with excessive complexity,a problem that the company has pursued in the past.Mr. Chambers said that this can be avoided with a lot of web-based training,and closer cooperation between the groups.We have to transform each layer in Cisco said.We will always try different approaches.

Cisco Systems, Inc. (NASDAQ:CSCO) Announced Partnership With Microsoft Corporation (NASDAQ:MSFT) And Georgian Partners

Cisco Systems, Inc. (NASDAQ:CSCO) has signed a multi-year sales and go-to-market deal with Microsoft Corporation (NASDAQ:MSFT) at the Microsoft Worldwide Partner Conference yesterday. According to the agreement, the two companies involved seek to revolutionize modern data centers by providing accelerated integration solutions.

Both the companies have been engaged in developing solutions to improve industry functions and accelerate growth. In their latest endeavor, they will be exploiting their resources, investing in sales, marketing and engineering so as to boost global alignment. The agreement aims at providing enhanced technological integration via cloud computing and data center markets. Cisco and Microsoft will focus on bringing together various marketing technologies including the former’s Unified Computing System™ and Cisco Nexus® switching. Microsoft Corporation (NASDAQ:MSFT) will also combine its Cloud OS solutions such as Microsoft Azure, SQL Server, System Center and Windows Server.

The go-to-market plan is a three-year strategy which is aimed at transforming data centers. In the first year of the plan, the focus will be on six countries- Australia, France, Germany, UK, Canada and the US. Sales teams of both the companies will join to explore the opportunities in cloud and data center markets. This will include an up-gradation of Windows 2003 customers to Windows 2012 R2, which will be based on the Cisco UCS® platform.

In the proposed integrated solutions scheme, the focus will be on private cloud, service provider, server migration and SQL Server 2014. Apart from the various technologies that Cisco will adopt from its businesses, it will also bring its infrastructure solutions such as FlexPod with NetApp, as well as the company’s solutions for EMC VXPEX.

Apart from the tie-up with Microsoft Corporation (NASDAQ:MSFT), Cisco Systems, Inc.  (NASDAQ :CSCO) also announced partnering with growth equity firm, Georgian Partners, yesterday. The partnership concerns a strategic investment in their latest fund, Georgian Partners Growth Fund II, LP. The firm invests in growing software companies.

Cisco Invests $150M in Internet of Things

The venture capital arm of Cisco, Cisco Investments, is allocating $ 150 million for the Internet of Things (IOT) industry. Investment, Cisco will use the money to finance start-ups and other companies involved in the growing industry to give money, whether directly or working through start accelerator.

Not all the money is getting to the IO, but this is one of the Main Topics in the Thematic Funding From Cisco. Overall, Cisco has invested $ 250 million invested in emerging companies in areas such as the Internet of Things. In January, the company spent $ 100 million to finance new businesses in the IO. Last month, Cisco, IBM, GE and AT & T launched an Internet consortium, opened a group of members with the goal of breaking the barriers of silo technology and access to the largest data drive things with better integration between the digital and physical worlds. 

Projections

Decision by Cisco to increase their risk capital funds for the IO seems prudent, especially given the recent forecast of the industry, the company would be worth 14400000000000 $ per 2022. Many of the devices currently being published in the market of consumer electronics are capable of in the Internet of things, which means that the industry to be profitable in the future.

Already, large technology companies releasing devices and other electronics, and to talk to the Internet. Ordinary companies still release their own IO devices, at least the money in the industry somehow. This includes multi-million dollar acquisitions, including the purchase of Google Nest, a manufacturer of thermostats connected. 

Rob Lloyd, president of sales and development of Cisco, the view of the Internet of Things Company in March, during the Conference of Editors of Cisco. Lloyd said that 99 percent of the electronics is still not connected to the Internet, and to change that funding should focus on consumer-oriented companies.
During the same conference, the development director Pankaj Patel Cisco touts progress in the business industry. Patel said that Cisco had already billion on research in 2012, and much of that money was devoted to the IO. 

Stay Ahead

For a company like Cisco, which puts devices in selling connectivity to keep pace with innovations in the industry are crucial IO. Because it is easier to invest in the industry and residence of non-intervention, Cisco has provided funding for three accelerators and startups IO. Alchemist Accelerator, Ayla Networks Evrythng all have received Cisco minority interests.

   
Our investment in Alchemist Accelerator, Ayla Networks Evrythng aligns with our focus on innovation and start-ups focusing on Internet companies of things,said Hilton Romanski, vice president of corporate development at Cisco. Cisco top priority to smaller businesses is IO to achieve them provide you with additional resources and contacts in the industry. A new focus investment Cisco will accelerate the development of its portfolio companies by connecting to the experience and resources, such as Cisco IT, business leaders,Cisco and Cisco network of partners and customers by big industry events such as the annual Cisco Live,said Cisco.

Cisco Extends Deadline For Internet of Things Security Contest

Cisco Systems extends the deadline for submission of competition for ICT security things Internet, so that potential critics still two weeks.Cisco announced ICT IoT Security Grand Challenge in March 2014 RSA lounge, with $ 300,000 in prize money to people you have developed the best security solutions and approaches for the Internet of Things. The deadine for June 17.

However, in a June 16 post on the company blog, Jeff Aboud and technology evangelist for IoT solutions at Cisco, said memory challenge attracts more than expected, after the networking giant to extend the deadline until July 1st. Cisco will pick up six winners, who will receive $ 50,000 to $ 75,000 each.Malthus So far, we have had dozens of wonderful submissions and they are still coming in. The challenge is was so popular that we decided to extend the period of two weeks.

The competition is the fusion of two Cisco favorite topics: security and the Internet of Things, or what Cisco calls the Internet for everything. How was it to develop ICT roots networking to a larger player in the data center become Cisco continues to function ICT security through its own development and acquisitions outside, built with the latest since buying ThreatGrid in May.

At the same time, CEO John Chambers and other company executives have said the Internet of Things is the most important transition in the technology industry since the Internet. Cisco last year created a business unit of the Internet dedicated objects.And for good reason.

Cisco estimates that no less than 50 billion devices and systems in the field of smartphones and tablets to televisions, home appliances, security cameras and production systems are met in the Internet and the other connected to the 2020. analysts IDC said that the Internet of Things market could reach $ 7.1 trillion by the same year.

At the same time, it means more connected grouping of devices has greatly expanded surface for cyber criminals increasingly sophisticated, feeding a growing number of people warn against security issues around the Internet of Things need to be addressed.

Cisco agreed. We all benefit from ensuring that the things that we are safe in the frame, he wrote. And with billions of networked objects worldwide, many of whom live in dangerous places, safety is probably more important for the Internet of Things, as it has-been to any other technology in history .

Cisco aims to prepare tech workers for SDN-driven skills shift

It is not a secret that the advent of software defined networks and open computing environments are radically changing the entire landscape of networks.This is tested in all vertical markets,including telecommunications,if Cisco has added educational programs for the certification program network.

As the Internet of Things,mobility and cloud intersect, network programming to be full scale is needed, said Tejas Vashi,Director, Marketing and Product Management,Learning @Cisco,which provides formal training and certification for Cisco products . We never had so many technological and market transitions that occur at the same time,he said.

In a recent interview,said that in Vashi Fierce Wireless Tech providers of telecommunications services , telecommunications,computer equipment used to be separated . But more and more are the same computer and this fusion of interests has created the need for labor in the future.We must ensure that in the region there is a sufficient number of workers to meet the challenge of the global evolution of intellectual property vertically and horizontally,between the integration of multiple technologies and the expansion of the number of devices,said Vashi.

One important change is that applications are increasingly integrated into the network infrastructure, which is no longer considered a group of different network elements connected by pipes,but it really looks like an unknown entity and shielded in providing services said Antonella Corno,portfolio manager products,data center,Learning @Cisco.

Therefore,automation should understand the requirements of the desired infrastructure and deploy seamlessly as necessary application. This will allow engineers and technicians spend doing repetitive work and free to participate in innovation.However, changes in business processes also dictate changes in corporate culture and skills needed for high-tech workers .

In fact AT & T Mobility.(NYSE:T),which is attached to an all- IP future, we identified the need for a  pivot skills from an individual point of view, we need vocational rehabilitation of persons observed Vashi Cisco Those resistant.change,obviously they will be left behind .

FlexITy Achieves Cisco Master Service Provider Certification

FLEXITY Solutions Inc.Today announced that it has successfully obtained certification service provider Cisco Master the cloud and managed services. This certification recognizes FLEXITY as having the ability to sell and deliver cloud services and managed to help customers accelerate time to market and time to revenue service.

We are accountable to the highest standards in the delivery of communications solutions and Unified Collaboration for our enterprise customers,we were told,CEO and President of FLEXITY.Recognition of Cisco who are able to deliver the Cisco Hosted Collaboration Solution Powered (HCS) under strict and demanding criteria of Cisco gratifying and speaks to our continued investment in people,facilities,methods and innovation we develop across Canada.

The Service Provider Cisco certification Master is part of the Cisco Cloud range and program management services to help partners like FLEXITY to imagine,build,market and sell cloud and managed tools and services to acceleration of business training services to Cisco sales and cloud market to meet the diverse needs of its customers.As the leading provider of Cisco Certified Partner, FLEXITY sell and deliver at least two Cisco engine services (managed and/or cloud services with Cisco Powered designations services) built on the infrastructure library (ITIL) framework,and provide management practices and improved management for their clients.

We have a longstanding relationship with FLEXITY,vice president of channels and solutions for Cisco Canada.Their commitment to provide innovative business solutions in the Cisco platform has led to important victories in the past year and has fueled tremendous growth for your organization. HCS designation is highly coveted and very difficult to achieve.In addition,Cisco has successfully developed FLEXITY coveted designations in services (Cloud Services): Cisco Hosted Collaboration Solution Powered (HCS) and  Cisco Powered Managed Communications Services,Cisco Powered Managed Internet Protocol trunking services.

Cisco Powered services enable clients to connect with the confidence of a larger value quickly,minimizing the complexity of the life cycle of technology to reduce costs and risks.Customers also experiencing performance provided by a quality service,security and 24/7 support of its certified partners FLEXITY while enjoying continuous innovation based on open standards and significant investment from Cisco.