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Cisco says a backlog of purchased, uninstalled gear is causing a slowdown in new orders and impacting its bottom line.
The new AI Readiness Index from Cisco points out serious challenges related to infrastructure capabilities, data governance and talent availability.
New chips from Microsoft along with other custom chips from the likes of AWS, Google and Oracle, though limited in their impact initially, are expected to provide stiff competition for chipmakers such as Nvidia, AMD and Intel, analysts said.
Cisco has a variety of new partnerships and programs aimed at helping enterprises build AI-ready infrastructure.
The new Nvidia HGX H200 has been designed to support the high performance computing workloads required to train generative AI models.
VMware’s do-it-yourself private AI program has two new partners, offering users more options for in-house generative AI training and deployments.
AI hardware is expensive to acquire and operate, and many enterprise customers may opt to have hyperscalers do it for them.
Cloud spending and cybersecurity investments will be the biggest drivers of enterprise IT spending growth in the coming year.
Gartner’s top predictions for enterprise IT organizations are dominated by AI, which is influencing trends including employee unionization, application modernization, and smart robots.
AI factories are data centers with infrastructure specially built for processing, refining, and transforming vast amounts of data into valuable AI models and tokens.