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Protecting Innovation: International Trade Commission Commences Investigation

A short while ago, the International Trade Commission (ITC) took an important first step toward the speedy review and action we requested regarding Arista’s widespread infringement of Cisco’s patented networking technology. We welcome the ITC’s initial action in this case, and by voting to commence an investigation into our complaints regarding Arista’s use of Cisco’s patented technology in its products, the ITC has started down a road that should lead to resolution within a matter of months. Trials are generally completed within 9 to 12 months after an investigation is instituted. We are committed to driving fast action regarding Arista’s illicit copying. Our complaints to the ITC detail Arista’s inclusion in its products of a wide array of important Cisco features covered by 12 different U.S. patents. All of these patented technologies are core technologies being used in products we currently ship to our customers. And none of these Cisco proprietary implementations are part of industry standards. You can read our complaints here and here.

We look forward to the opening of the discovery process so that we can further document the widespread infringement, which Arista itself has advertised as a key selling point of their products (see my blog when we brought our lawsuits on December 5).

As the ITC’s decision to commence investigations was just confirmed, we will evaluate the documents that we expect to receive, and provide updates in the coming days.

Further Update: 22 January 2015

Interestingly, the ITC apparently did not elect to undertake further investigation into Arista’s request that the trial judge consider whether their products are so vital to the national interest that they should be allowed to continue to be sold, even if they infringe (See Arista’s Public Interest Statement). We were surprised that Arista even asked. We had expected them to simply deny infringement. Instead, they claimed, “Many others have used, and continue to use, technologies Cisco accuses Arista of using without any complaint from Cisco” as a justification for infringement, and claiming that “Arista’s products serve critical roles in U.S. commerce and security [and] [t]he issuance of any exclusion order would raise public health, safety, or welfare concerns.” As laid out in detail in the December 5 blog, Arista is unique in the scope of its copying of Cisco technology. That’s why this is the first patent lawsuit we’ve initiated in eleven years. Arista has many competitors who do not copy the Cisco technologies Arista chose to incorporate in their products.

Arista has it backwards. There is a strong public interest, long recognized by the ITC, in protecting innovation and excluding the importation and sale of infringing products. That’s why the ITC exists. So we are pleased it looks like the trials will focus on the merits of our claims, without spending resources on Arista’s argument that the public has an interest in letting it infringe Cisco’s patents.

 

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From the Last Traffic Jam to the Last “Business Jam”

When I’m stuck in one of Silicon Valley’s many traffic jams, my frustration level rises as rapidly as my speedometer slows down. I think about how the digital synchronization of highways, vehicles and traffic lights could unclog congestion, lower pollution, eliminate delays and significantly reduce our collective frustration levels.

Just a little digital automation could go a long way to reduce not only traffic and accidents but also time, gas, smog and the costs of road and car repairs. Not to mention, helping us all attain a much more sustainable environment.

So when I’m stuck like this in traffic, whether at home or internationally, my thoughts turn to how we can get to the Last Traffic Jam.

The answer is a more connected world—or the Internet of Everything. It’s how we’ll change the way we live, work, play, and learn. This has been Cisco’s goal for 30 years, and today we have an unprecedented opportunity, along with our partners, to transform our world for the better

And that includes eliminating traffic headaches.

Studies show that for every minute spent clearing an accident from a road, there is a four-minute delay to get traffic moving again. And it’s not just delays. Today, traffic congestion costs Americans alone more than $124 billion a year. By 2030, experts predict the average American household will spend 33 percent more in traffic-related costs than today and the annual price of traffic in the United States and Europe could rise nearly 50 percent from today’s costs.

Want to know more? Here are some insights on the Last Traffic Jam.

Today, we are already connecting roadways, cars, drivers, traffic lights, parking spaces, public transportation and commercial traffic. The early results show dramatic improvement in traffic flows, fewer roadside incidents, and lower transportation costs. And one day this all will lead to the Last Traffic Jam.

This is happening by connecting disparate intelligent transportation systems to provide a centralized view of highway systems, including road conditions, traffic, construction, and transit information. Connected roadways and connected cities, are improving decision-making while reducing operating and maintenance costs.

I believe the “beginning of the end” has started. Cities around the world are getting connected.

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New Study Tells Retailers: Win Consumers’ Trust to Deliver the Hyper-Relevant Experiences They Want

As Cisco’s chief marketing officer, an important part of my role is to build and maintain the trust of Cisco’s customers.In fact, “brand promise” ultimately relies upon the trust consumers have placed in a brand. Customers who are loyal to a brand will trust that the next product or service introduced under that brand will fulfill the brand promise. However, trust can also have more widespread impacts that affect an organization’s ability to compete and to provide the innovative customer experiences required in the Internet of Everything (IoE) era.

This week at the National Retail Federation’s “Big Show” in New York, Cisco released a new study that uncovered some unique insights about shopping behaviors and attitudes among U.S. and U.K. consumers in the digital age. The findings point to the need for retailers to provide “hyper-relevant” shopping experiences that deliver value to the consumer in real time throughout the shopping lifecycle. Hyper-relevance comes with the ability to dynamically compare real-time customer information with historical data, and the resulting insights allow retailers to improve operations and the customer experience. At stake, according to our research, is an estimated profit improvement of 15.6 percent for an illustrative $20 billion retailer that builds agile business processes for turning these insights into value.

Our research shows that consumers are looking for retailers to deliver hyper-relevance via three value proposition categories: efficiency, engagement, and savings. In the area of efficiency, for example, 77 percent of respondents said they would be “somewhat” or “very likely” to use a solution to optimize the checkout process. In terms of savings, 79 percent indicated a willingness to take advantage of in-store offers provided via digital signage, while 73 percent said they’d like to receive special offers through augmented-reality solutions. And, in the area of engagement, 57 percent indicated a desire to learn more about products in the store by using augmented-reality capabilities.

One of the points I found particularly interesting is that consumers are relatively willing to provide certain types of personal information to retailers—such as name, age, past purchasing history, interests, and hobbies—in order to get a more personally relevant shopping experience. But beyond this basic information, there is a “trust cliff,” a steep drop-off in willingness to share certain types of personal information. A significant 16 percent of respondents were not willing to share any personal information at all.

This trust cliff presents an interesting conundrum for retailers. On one hand, our study shows that customers want personalized and contextually relevant shopping experiences. But on the other hand, they are reluctant to share the very information that can help provide these “hyper-relevant” experiences.

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The Last Traffic Jam and Other Lasts the Internet of Everything will Make Possible

By 2030, an average American household is expected to incur traffic-related costs of $2,301 per year, a 33 percent increase compared to 2013. In fact, the annual price of traffic in the U.S. and Europe will soar to $293 billion by 2030, a rise of nearly 50 percent from 2013. Additionally, traffic conditions around the world only seem to be getting worse as well. Doesn’t sound too promising right?

Cisco and its partners are looking for ways to reduce these costs and eventually make everyday challenges like traffic jams, a thing of the past through the connection of people, process, data and things in an Internet of Everything era. And while the next wave of the Internet is sure to bring us some pretty amazing ‘firsts’, we are pretty excited about the “lasts” we could create. Imagine the last blackout, the last oil spill, or even the last hungry child. With that in mind, Cisco has launched a new campaign that focuses on “The Museum of Lasts.” Jenny Rooney in Forbes wrote a great article on our new campaign and “the lasts a connected world enables”…see here.

Think about everyday life situations you would love to live without. Traffic jams, long checkout lines, or my personal pet peeve: a missed delivery (especially when I am waiting for my children’s Christmas gifts!) The “Museum of Lasts” introduces a glimpse into how the world might change for the better if we all think bigger, work collaboratively and disrupt to make these “lasts” a reality. The Internet of Everything is enabling these “lasts” by connecting the unconnected, through the intersection of technologies such as data analytics, cloud solutions, security, collaboration, mobility, data center, and application centric infrastructure. All powered by an intelligent network.

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Let’s Talk Firsts and Lasts

For 30 years, we’ve been helping change the way people work, live, play, and learn. During this time, our world has advanced faster than ever.

It seems like yesterday when we saw the introduction of the Macintosh, the first-ever consumer machine with a mouse and graphical interface. Then, just two years later in 1986, Cisco introduced the Advanced Gateway Server, or AGS.

This breakthrough multiprotocol router became the foundation for moving traffic across networks. In 1990, researcher Tim Berners-Lee developed HTML—the official language of the World Wide Web and the spark to make the Internet mainstream.

Today, it’s hard to remember life before the Internet. The industry has come a long way, and so have we.

We owe our founding to Len Bosack and Sandy Lerner, two former Stanford University computer technologists, who set Cisco on an incredible journey as a networking and Internet pioneer.

In 1995, less than 1 percent of the world’s population connected on the Internet. Today, more than 40 percent connect online.

We’ve seen businesses transformed and economies modernized. The way we buy and sell products has changed—so has their design, production, and distribution. It’s as if no industry has been untouched.

In the next 30 years and beyond, we’ll see everything become connected—people, process, data, and things. This will expand our understanding of the world and the experiences we have, and we’ll generate new ideas and discover new solutions.

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