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Cisco Achieves #2 Worldwide in the x86 Blade Server Market

Nobody thought the ‘plumbers’ could succeed in compute …

The numbers are in – across the board Cisco is posting strong results and tracking unprecedented momentum in the server market.  With Cisco’s Q3 financial earnings announcement reporting 77% Y/Y growth in Data Center and now the latest IDC Server Tracker results [view UCS Advantage], Cisco is proving to be a formidable force in the compute space. In less than four years after entering a market with very well-established competitors, Cisco has captured the #2 worldwide share position in x86 blade servers*.

The industry has seen businesses shift over 19% of the global x86 blade market to Cisco UCS, and over 28% in the US.  In the recent earnings announcement, Cisco reported more than 23,000 unique UCS customers worldwide, representing a customer growth number of 89% Y/Y.

This is not luck …

This is about the value that Cisco is providing our customers.  Although we develop products using the same industry standard hardware & software as our competitors, Cisco continues to grow market share.  This is attributed Cisco’s unique & innovative approach to providing an open, standards-based data center network architecture and ecosystem that maintains customer choice. We are increasing business value while substantially decreasing the total cost of ownership (TCO).  With Cisco Unified Computing System, we are truly evolving the way customers approach the data center, focused on consolidating resources, accelerating server deployment, and simplifying management – flexible and scalable for any workload.  It’s that simple.

You hear a lot of buzz words around the industry. But when it comes down to the numbers, Cisco is driving real results for real customers [click to enlarge]:

DrivingResults

Here is just some of what we are hearing from our customers:
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We don’t just explore new markets. . . we win them.

Jack Welch famously said, “When you’re number four or five in a market, when number one sneezes, you get pneumonia. When you’re number one, you control your destiny.

Well we’re the big boy in the toddler room, and we’re passing around the germs.  The market is the digital signage market — small and young, yes, but with enormous potential.  As in more than $1.1 billion last year and growing at a 13.3% CAGR.

Frost and Sullivan recently published their highly-anticipated annual “Global Digital Signage Systems Market“, and it pegs Cisco at number one in the market with 14.2% of the market.   And this excludes displays used for corporate communication applications.  Here are a few more delectable tidbits:

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Regional Momentum Fuels Global Growth in Cisco Customer Collaboration

Those of you who follow my blogs know about the tremendous, sustained growth in Cisco’s contact center business over the last several years.  For example, in the last four years Cisco has closed the market share gap on Avaya/Nortel by nearly 23 points worldwide and by over 33 points in North America.  If this trend continues, Cisco will overtake Avaya for #1 market share worldwide within the next three years, and in less than two years in North America.

We began our drive to #1 in North America, but other regions of the world are repeating that success.  Asia Pacifc, India, and the Middle East represent key growth regions for us, and to help provide insights into those areas I recently spoke with the CEO of Servion, Mr. Balakrishnan “Bala” Kavikkal.  Servion is an accomplished specialist in Cisco customer care implementations, with over 1000 deployments at large enterprises, multinational corporations, and telecommunications service providers handling hundreds of millions of calls annually. 

Bala described some of the key transitions he’s seeing in the customer care market, which include the ever-increasing pressure on business’s gross margins as they strive to meet rising customer expectations on an explosion of customer interactions across a variety of channels.  Businesses are also starting to embrace Opex spending for cloud and as-a-service customer care solutions.  Cisco’s portfolio of customer care products helps Servion thrive in the midst of these market transitions and spending models.

I asked Bala why Servion chose Cisco’s customer care solutions to fuel its own business growth, and to share his perspective on why Cisco and Servion have achieved so much mutual success.  Read More »

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Defining a New Playing Field for Telepresence

Video is becoming “The New Voice” in our personal lives as well as in business, with more companies realizing its ROI potential.  We see this  trend towards visual communications as part of the changes in the collaboration space.  Cisco TelePresence is at the center of this trend and we’re committed to delivering the easiest-to-use, highest quality and most compelling experience across our collaboration  portfolio, which by the way is the broadest in the industry.   I invite you to view and listen to an interview I did on this topic at Cisco Live this past July.

Delivering telepresence to everyone.

Cisco is focused on accelerating the adoption of telepresence across all industries, and companies of all sizes everywhere in the world.  Our approach and focus is clearly working, as we’ve seen rapid global adoption of Cisco TelePresence and continuous market share growth. We can see this in the recently published Wainhouse market share report which shows that we are the clear #1 player in telepresence with 52% market share.   This jump in telepresence market share underscores Cisco’s ability to extend our technology to a wide range of new customers, including small and midsize businesses (SMBs). We have the breadth of endpoints, deployment models and interoperability to make telepresence everywhere for everyone a reality.  We are seeing significant growth from customers who are new to telepresence and now see the value Cisco can deliver and the flexibility to meet their unique organizational needs.

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Leading the Charge in the DOCSIS Revolution

It was only a matter of time before DOCSIS 3.0 swept the cable industry. The benefits that DOCSIS 3.0 IP capabilities can deliver—more content, more mobility, more personalization, all at a lower cost—are simply too great to ignore. That industry evolution is now picking up speed, and I’m happy to report that Cisco is leading the pack in DOCSIS 3.0 technologies.

LightReading recently published quarterly market share estimates for August 2011. The upshot: Cisco is maintaining “a hammerlock” on the CMTS market, with a global market share of about 60 percent.

ACG Research (ACG Market Release 2Q11 Worldwide Video Infrastructure) found similar results, stating that Cisco’s CMTS market share grew by nearly 3 points last quarter to a commanding 65.8 percent of the market. Read More »

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