Chambers talks Collaboration @ Networkers 2009 in Barcelona

January 27, 2009 - 4 Comments

In Barcelona earlier today, John Chambers, Cisco Chairman and Chief Executive told Networkers 2009:”We are at the beginning of the second phase of the Internet.” This message was delivered to the event’s largest ever audience.”œIf you look at the transitions today, [we have] moved from a device-dependent world to a network-centric world,” he said. This, he added, would allow IT to facilitate processes such as collaboration, which Chambers predicted on its own would deliver productivity gains of up to 10 percent over the coming decade. Cisco is determined not to miss out on the opportunities arising from this current economic transition, and”we are going to be extremely aggressive during this downturn,” said Chambers;”aggressive in forming partnerships and aggressive on the acquisition side.” (And minutes later, Chris Dedicoat, Cisco President of European Markets, went on to announce the purchase of middleware provider Richards-Zeta as part of Cisco’s expansion into green technology.)Some of Chambers’ data stems from what he is seeing in his own business. C-Vision, Cisco’s in-house answer to YouTube, saw a thirteen-fold increase in growth (in terms of numbers of publishers) from January to November last year. WebEx similarly grew 28-fold over 11 months. Discussion forums have grown 10-fold internally.And Chambers is certainly happy about the fact that one of Cisco’s star products, TelePresence, now allows him have up to 80 percent of his in-person customer meetings from the comfort of his office-and has shaved USD$400m off Cisco’s worldwide travel budget into the bargain. Chambers told delegates his gaze is fixed firmly on the mid-to-long term-three to five years away. After all, he said:”Running fast is only good when you can see where you are going.”- Follow Networkers 2009 online at Cisco Networkers Virtual. – Check out Cisco’s Ecolibrium blog.Post by Jason Deign

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  1. Moving towards the adjacent market is a good thing. It has double benefits: creating new market and promoting the tradition one. However, it also boosts the total digital data volume. If the digital devices remain the same energy efficiency, you are going to boost the energy consumption as well. To balance the emission level, you have to help lowing down per data unit watts. Why don’t you regard this as a new business opportunity and make the benefits triple?

  2. I agree with your opinion there Roland, I also thought the price tag of less than $500 was suspiciously cheap considering voice is certainly getting more popular and is a much cheaper solution.

  3. Chambers is a very savvy executive when it comes to predicting the direction of the market, and it comes across whenever you hear him give a keynote speech and then a few months or a couple of years later it turns out exactly the way he said he would, but I think he missed the boat, so to speak, by letting Nortel go to Avaya. The announced price tag of $475 seemed like quite a bargain (OK, more like peanuts) to me for a 10% share of the voice market, which, by the way, is the one sector of the tech market that has been not only shrugging off all the economic slowdown burble, but actually growing steadily, both here in the US and elsewhere.