Vyatta discounts on Cisco margin

Open source networking company makes up difference in Cisco profit

Vyatta, the open source David to Goliath Cisco, is once again offering discounts based on Cisco's profit margin. If Cisco reports it usual 64% to 68% profit margin, Vyatta will discount its service and support subscriptions by 36% to 32%.

Not bad, considering Vyatta already claims its networking appliances offer a 75% savings over a Cisco 7200 router. This is a second go around on the profit margin discount, as Vyatta offered the same incentive in May, just after Cisco reported Q3 results.

Cisco reports Q4 next week. The lower the margin, the better the deal from Vyatta.

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