It’s been an exciting two years since we introduced the Cisco Unified Computing System (UCS) solution to the world. UCS provides virtualized compute and networking with simple management. I want to congratulate our service provider customers on their successes in delivering differentiated services, with UCS as the foundation, in their markets. I would also like to extend our thanks to our business partners, both channel partners and those with complementary product offerings, for their expertise and ability to help accelerate this truly innovative idea across the data center and cloud industry.
In two short years, Cisco has risen to the #3 player in the fastest growing segment of the x86 server market.
Released yesterday, the IDC press release on Worldwide Quarterly Server Tracker Q1 2011 highlights the UCS uptake by our customers and partners and shows a great start to our vision for UCS in every SP, enterprise, and public sector organization looking for a world-class scalable, flexible, and powerful converged server platform. The rapid growth from launch to #3 in the industry for x86 blade servers in such a short time indicates two points: First, that the data center industry was crying out for real technology innovation and, second, that innovative customers are willing to embrace a new paradigm when the business benefits delivered are compelling.
Two years ago, we started something that many in the industry said was crazy. We delivered a new system that united compute, network, storage access and virtualization into one cohesive system. There was rampant speculation that Cisco had taken a crazy path to doom and destruction.
Blades are forecast to be the fastest growing segment of the x86 server market** and market data illustrates the impact of UCS innovation: businesses worldwide shifted over 10% of the x86 blade market to UCS, and in the U.S. nearly 20%. Cisco’s rapid growth underscores our leadership in the industry transition to fabric computing and converged infrastructure. On our most recent earnings call, Cisco reported 5,400 UCS customers and an annualized order run rate of $900M for UCS product orders.
As we began our design efforts, we knew we couldn’t set out to design simply another server. We heard from our customers that power, management, and server administration costs were sapping their budgets, leaving few resources for innovation. So we included customers in R&D sessions to help us design from the ground up an evolutionary new system that integrated networking and management: flexible and scalable enough to handle any workload. We aimed to create the ideal, programmable, platform for virtualized and cloud environments, and to help solve many of the very real challenges they faced.
Today’s market share news demonstrates our approach is taking hold. But this is just the beginning: we are committed to evolving UCS and delivering continued technology innovation. Thanks for joining us on this journey – we have leagues more innovation ahead of us. ***
* IDC Worldwide Quarterly Server Tracker, May 2011
** IDC Q4 CY10 Server Forecaster
*** If you’d like to learn more, below you’ll find additional information on UCS milestones, product awards and customer comments
David Letterman made the “Top Ten” list popular. At Cisco, we’re at least 20% more efficient than Dave, so we offer you our “Top Eight” bad predictions throughout history.
One CEO said that he’d give Apple shareholders back their money and shut down the company. One CEO said that there would never be the need for a home computer. We hope you’ll enjoy these fun, true (and bad) predictions and see how Cisco’s Unified Computing System fits into this mix.
Which is the worst prediction? What are some of your other favorite bad predictions?
As we near the 2nd year anniversary – July 20, 2009 -- when we first shipped the Cisco Unified Computing System, we’re having some fun looking at past milestones, sharing success stories, and putting to rest competitive FUD.
Many industry pundits thought Cisco was taking a big leap off a steep cliff when we introduced UCS. Proving the naysayers wrong is always satisfying, so we offer this fun video entitled: “They said it couldn’t be done”– bad predictions throughout history. We hope you’ll enjoy this and see how Cisco’s Unified Computing System fits into that mix.
I make no bones about it I love the Cisco Unified Computing System (UCS). Yes, you’re reading a Cisco Blog…so you’d expect nothing less, but understand I came to love the system long before I was ever a Cisco employee. In fact it’s the reason I’m here – well that and the paycheck. You can read a bit about my “conversion” here: Something to Believe In. Or if you’d prefer to watch me talk about the UCS as a GE employee take a peek here