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Cisco’s Moves Show Clear Signs of Future Shift in Philosophy

What do recent Cisco actions mean for the future?

Cisco is a company that is always being watched by the information technology world, as well as, business people in general. For those watching, Cisco has been busy shaking things up a bit in 2013.

They have made a series of business moves and interesting statements paving the way for speculation about the future direction of Cisco. 

Videoscape: Video Walls at CES

At the Consumer Electronics Show (CES), Cisco showed us what they see as the future of video, Videoscape. They demonstrated a very interesting concept of interactive video walls. With this technology you see a kind of merging or incorporating of traditional television, DVR, Web, on-demand, and social. This opens up a whole world of possibilities for businesses and eventually consumers. This isn’t going to be available for a while, but it provides a glimpse into where things are going.

John Chambers: The Days of Boxes Are Over

In December, John Chambers made a rather large statement. He claimed that Cisco would be leaving the world of boxes behind. Cisco will pursue a software and service model. Chambers emphasized the increasing importance of connectivity. He said that we are all going to be connected soon enough and this changes everything. Thus, Cisco has coined the term “The Internet of Everything.” So, he sees Cisco as moving away from being just a box builder. Instead, they are going to create solutions that do all sorts of things. In an article that made its way around some circles, the point was made that Chambers left one thing out…The Internet of Everything runs on boxes. To learn more you should check this out.

Cisco Pending Sale of Home Networking Business Unit

That’s right. Cisco has announced the pending deal with Belkin to sell its home network business unit.  This is a clear signal that it’s moving away from the consumer piece of their business and investing in what they see as the bigger picture. This means working more on larger scale networking solutions and long term visions, such as the ones above.

Cisco to Pay $475 Million for Intucell Systems

Reaffirming the vision John Chambers has been sharing of late, Cisco plans to buy Intucell Systems.  Israel-based Intucell Systems makes self-optimizing network software. According to a recent article, their software “enables advanced, real-time, Big Data-crunching analysis, configuration and management of network bandwidth and traffic.” This bolsters Cisco’s presence in the telecom networking space. However, this software is not limited in scope. In fact, it provides similar offerings for all sorts of cloud service providers and enterprise networks.

What does this all mean?

As usual with Cisco, only time will tell exactly what all these changes and shifts will mean. Will these new philosophies and business moves manifest into something completely new? That remains to be seen. That said, it is clear that Cisco sees a shift coming. Although it is unlikely that they will move away from their bread and butter offerings anytime in the foreseeable future, it is interesting to see the initial seeds of technological change being planted. As information technology experts, it’s always something we want to keep an eye on so when the time comes we will be prepared for the changes and can adapt effectively.

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