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Happy New Year to the Manufacturing Industry from Cisco, 2013

The numbers coming out month after month show that we seem to be tracking a slow but steady recovery. As I’ve said before, I’m cautiously optimistic about the manufacturing sector – especially in the USA.

On Thursday (3rd January, 2013), ADP1 said construction added 39,000 positions in December, second only to trade and transportation utilities, which grew 53,000. Medium- and larger-sized businesses led the way with 102,000 and 87,000 new jobs respectively

Overall, Employers added 1.84 million jobs in 20112, the most in five years. In the first 11 months of 2012, employers added 1.67 million. Job gains would have to top 170,000 in December to push 2012 ahead of the previous year. Some economists do expect gains at that level or higher.

Robot_factory_smallEven in Asia things are looking up. In the New Year we learned about China’s services growth3, as China’s official purchasing Managers Index (PMI) for the non-manufacturing sector rose to 56.1 in December from 55.6 in November, according to the National Bureau of Statistics (NBS). Other PMIs on the manufacturing sector suggest China’s growth is starting to pick up based on late 2012 data. Not the heady double-digit growth of earlier years, but increases none-the-less. Construction was also up, though all of this growth is partly owing to government investment. The Friday (4th January 2013) HSBC PMI report shows slower growth as it mainly focuses on the private sector. The HSBC report4 showed a softening from 52.1 to 51.7. As you know above 50 is still good. India’s looking good too re PMI for last month! Read More »

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Cisco Signs Joint Venture Agreement

According to the Cisco Visual Networking Index, China’s internet traffic will grow 600 percent in the next two years. At that point, China will also be home to nearly a quarter of the world’s broadband users and 21 percent of the world’s connected devices. This substantial growth, combined with the country’s rapid urbanization, opens the door to many new business opportunities.

With this in mind, Cisco today announced the latest in its strategy to capitalize on the growing China market, a US$ 200m joint venture with China Electronics Software Information Service Co., Ltd. Cisco will contribute 43% and China Electronics Software Information Service Co., Ltd 57% of the joint venture funding. The joint venture agreement is subject to the appropriate regulatory approvals.

The joint venture will provide valuable end to end solutions for public services and industry applications. For example, one solution may be an education cloud to help parents, teachers, and students in schools all across China access the latest education material through interactive whiteboards, laptops, tablets, and other devices.

Based in Shanghai, the joint venture will create new, open standards-based products not currently offered by Cisco, and integrate those new products with existing technologies and create cloud-based solutions including cloud storage, cloud management and network transportation, for public and private projects in China.

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Cisco APJC Recognises its Smart Services Champions

Yesterday at the Cisco Asia Pacific, Japan and Greater China Partner-Led Network Conference that took place in Bangkok, we took the opportunity to announce the recipients of the Cisco Smart Service awards. The purpose of these awards is to recognise our partners and customers from the region who showed forward-thinking approaches in the delivery and integration of Cisco Smart Services. The winners were chosen for their innovation and expertise that enable “Smart Everywhere” for their end-users across the region.

The awards are divided up into three categories; partner awards – for partners who used Smart Services to accelerate growth of their services business; vendor awards – for vendors who have demonstrated innovation and operational excellence for Cisco Services; and customer awards – for those customers that have used Smart Services to fuel their business performance, efficiency and productivity.

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With Cloud, SMBs Will Lead Emerging Economies Across the Digital Divide

By Peter Ford, Director, IBSG Service Provider

Service providers in developing countries have the potential to kick-start economic growth by helping small and medium-sized businesses (SMBs) take advantage of information and communications technology (ICT), especially cloud services. The “greenfield” nature of ICT in many emerging economies creates the opportunity to “leapfrog” to cloud computing.

For some time, governments have recognized the role of broadband in supporting economic development. The World Bank states that for every 10 percent of broadband penetration in a developing economy, there is typically a 1.38 percent increase in GDP.

Each year, there have been tangible improvements in broadband networks across emerging markets. However, in Read More »

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Cisco collaborates with Insigma to accelerate the development of Smart+Connected Communities in China

Those of you who have visited Hangzhou will know that it is one of the most beautiful cities in China with the stunning West Lake as one the city’s key attractions. Hangzhou plays a key role in Cisco’s innovation and research and development strategy for China, with one of our main R&D campuses based in the city. Hangzhou is also home to Insigma, a global strategic IT services and solution provider that works with leading companies around the world. Insigma collaborates closely with Zhejiang University, one of China’s oldest and most prestigious universities, based in Hangzhou. The city was therefore the perfect setting today to announce a strategic collaboration with Insigma which will deepen Cisco’s expertise in Smart+Connected Communities (S+CC) in China.

Hangzou West Lake

As part of the collaboration, Cisco and Insigma have made a strategic investment in City Cloud International Co., Ltd., a company that will help scale the devopment of  S+CC in China using intelligent networks to deliver new, platform-based cloud services across the country. Cisco has a strong collaboration with Insigma on S+CC; the company announced its smart city strategy at the Cisco Pavilion at the World Expo 2010 in Shanghai.

China’s urban population will expand to the 1 billion mark by 2030 with 350 million added to the urban population by 2025. The country will have 221 cities with a population of more than a million. I’m Dutch, and to put that in perspective, the whole of Europe has only 35 such cities today. 5 billion square meters of road will be paved. 5 million buildings will be built of which 50,000 could be skyscrapers – the equivalent of constructing up to ten New York cities. This unprecedented pace of urbanization in China is accompanied by rapid growth in the adoption of technology: video-on-demand traffic; the Internet of Things and data passing through the cloud. Cisco estimates that by 2016, China will be the second highest IP-traffic generating country in the world.

At Cisco, we truly believe technology will play a key enablement role in the achievement of China’s ambitious goals, as outlined in the 12th Five Year Plan. Sustainable urbanization, access to healthcare for everyone at an affordable cost and educational scaling can only be achieved via technology and new business models such as cloud computing. The future of competition will be between cities. Enabling overall sustainability – economic, social and environmental – using technology, will be integral for cities to develop and prosper.

Madam Jiang Yi, CEO of Insigma Technology Company Ltd. and Owen Chan of Cisco conclude the proceedings

City Cloud International Co., Ltd. will help  build Smart+Connected Communities thought leadership, platform and solutions using intelligent networks to deliver public and private services in cities across China. There has been great collaboration between the leadership teams of Insigma, which is backed up by the Zhejiang University, and Cisco led by our Greater China Chairman and CEO, Owen Chan. We are very excited about the innovation we can create for the city of Hangzhou, the province of Zhejiang and the whole of China.

At Cisco, we believe that we are creating a new industry for this next generation of smart+connected communities that will depend upon five key areas: visionary leadership, global open standards, smart regulation, public private partnerships and a new ecosystem. Our collaboration with Insigma through City Cloud International Co., Ltd is a great example of these five key areas coming together.

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