We've heard it for years: Cisco Systems is getting serious about the software market. Frankly, I'm beginning to believe the claims. Cisco actually mentioned open source during a recent press briefing I attended in Ireland. And the company has launched an online partner network for software companies. Still, in its battle against Microsoft for unified communications dominance, it's time for Cisco to reach out to a key software company: Red Hat. Here are seven reasons why Cisco needs Red Hat in its corner -- fast.
1. One Doorway to Multiple Partners: Cisco needs to quickly recruit application developers to support its unified communications platform. Cisco already has relationships with SAP and Salesforce.com. Now, I hear Cisco is quietly speaking to open source companies like SugarCRM. Instead of visiting open source vendors one-by-one, Cisco should reach out to Red Hat, and leverage the Linux provider's extensive relationships with ISVs.
2. Open Middleware: Integrating together applications like CRM, Web 2.0, databases and VoIP could require some scalable middleware. Enter JBoss, Red Hat's increasingly popular middleware platform.
3. The Anti-Microsoft: Microsoft has closely aligned itself with Nortel Networks. A Cisco-Red Hat alliance is the perfect counter balance that could push open applications onto Cisco unified networks.
4. Economic Considerations: Many -- though certainly not all -- Cisco solutions carry big price tags. If the economy slows in 2008, it could cause IT managers to pursue lower-cost alternatives from tier-two networking companies. If Cisco's unified platform supported low-cost open source applications, it could help to offset pricing push back from customers.
5. Watching Asterisk: Small VoIP companies like Digium are generating a lot of success promoting Asterisk-based solutions. Some consulting companies are already integrating Asterisk with Cisco network infrastructure. Cisco, by working closely with Red Hat, could get a better feel for open source market trends while keeping a close eye on the emerging Asterisk industry.
6. Red Hat Exchange: The Linux provider earlier this year launched Red Hat Exchange, an online software store for open source application developers. By keeping close tabs on Red Hat Exchange, Cisco could get a feel for emerging applications that can grow the unified communications market.
7. Collaboration: Cisco CEO John Chambers uses the word "collaboration" in most of his keynote speeches. And Cisco executives talk endlessly about social networks, Wikis, and other Web 2.0 tools that foster collaboration. But if Cisco really wants to master collaboration, it's time to closely study online open source developer communities.
So, where do things stand between Cisco and Red Hat? The two companies aren't doing much together so far. A spokesperson for Red Hat notes that Cisco in February signed up to be a Red Hat Ready partner.
But that's not enough. It's time for John Chambers to give Red Hat CEO Matthew Szulik a call. Best case, the two CEOs can talk about their mutual customer needs. Worst case, Chambers and Szulik share a common enemy in Redmond, Wash. That's reason enough to immediately pursue a partnership.
