Tag: Cisco

Cisco promises partners a sticky end

 honey1Cisco Systems executives have been promising their channel partners that its Cisco ONE Software Suite will be stickier than a hive of bees who stuck super glue on their feet and went skating on the honey combs.

Cisco ONE (Open Networking Environment) is a software licensing program that provides flexibility for customers to acquire the latest software for infrastructure. Yes, apparently, you can be sticky and flexible at the same time; we looked it up.

The networking supremo appears to be removing the la carte method with separately priced products it has also removed the concept of a software license being tied to hardware.

Under the new system, Cisco ONE covers data centre, WAN and network access software as a subscription. Later this year Cisco ONE will offer perpetual licenses and hearing aids for those who were damaged by Cisco shouting ONE at them all the time.

John Brigden, senior vice president of software strategy and operations for Cisco, said all this means that Cisco is now in the business of flogging “business outcomes” instead of products.

Cisco ONE provides flexibility and drive greater deal sizes as well as more margin incentives through the Value Incentive Program (VIP), OIP, and TIP, he said.

For the channel it prevents multiple sales cycles because it is software tied to maintenance and support with SmartNet brings in a more predictable revenue stream.

“This is very sticky for partners.”

It’s the internet of everything

Internet of ThingsSome call it the internet of things (IoT), some call it the internet of everything (IoE) and some even call it the internet of fangs (IoF).
These terms are not, as yet, perfectly defined and there is a complete lack of standards defined, just like in the “cloud” space.  But there’s one thing for sure, and that is it’s going to be worth a lot of money so as many vendors as possible are getting on board the gravy train.
Future Market Insights (FMI) prefers the IoE and said that the market will grow at a compound annual growth rate (CAGR) of 16.4 percent between 2014 and 2020.
It will be the Asia Pacific market which will kick off the growth, synched to the arrival of big data. That’s because there will be investment in so called “smart cities” and smart grids, financed by the Indian, Chinese and Japanese governments.
FMI divides the market into business to business (B2B) and IoE vertical markets.
The verticals include manufacturing and public sector, but the health care sector will grow by 20.6 percent CAGR during the period, followed by utilities.
The major players in the market are Cisco, Samsung, IBM, Apple and Accenture – these vendors had over 50 percent market share in 2013.

 

Cisco makes bold wearable claims

ciscologoNetworking giant Cisco believes that by the 2019 there will be half a billion people using wearable devices.
Cisco said that 2.8 million wearables shipped last year and by 2019 there will be 16.4 million of us wearing gadgets of one sort or another.
The Daily Telegraph reports Cisco’s belief that each gizmo will churn out 569MB of data a month.
By 2019, according to Cisco, 4G networks will represent 88.2 percent of data traffic.  Last year, 4G traffic amounted to 42.2 percent,
Cisco believes too that there will be 5.2 billion mobile users in 2019.  It estimates last year there were 4.3 billion mobile users.
Where does Cisco get these figures from?  No doubt it gazes into its crystal ball and extrapolates current figures using an abacus.
The jury is still well and truly out on wearable devices however – not everyone is totally convinced that having a gizmo built into your clothes is necessarily the flavour of the day.

 

Samsung, Apple, take top semi spots

Samsung HQ Silicon Valley - MM picApple and Samsung were the biggest buyers of semiconductors in 2014.
Together, they bought $57.9 billion worth of chips last year, up by $3.9 billion in 2013, according to Gartner.
In terms of the total market for semiconductor, both companies’ accounted for 17 percent of the total market.
Gartner said the two firms have been top of the semiconductor consumption market for four years in a row.
That, said analyst Masatsune Yamajo, means decisions they make “have considerable technology and pricing implications for the whole semiconductor industry”.
Samsung was still top buyer but its decision to withdraw from some parts of the PC market as well as losing market share to other vendors meant its growth rate wasn’t as great as in the past.
Gartner estimates that the top 10 companies bought $125.6 billion of semiconductors, accounting for 36.4 percent of the whole market in 2014.
After Samsung and Apple, the remaining eight top ten buyers were HP, Lenovo, Dell, Sony, Huawei, Cisco, LG Electronics and Toshiba.
The entire semiconductor market worldwide amounted to $339.9 billions last year.

 

UK open to security abuse

ciscologoA report from networking giant Cisco revealed that only 41 percent of UK companies have good security processes in place.
That places it well below India at 54 percent, and below the US at 44 percent and Germany at 43 percent.
But the situation is worse in Asia.  Only 36 percent of Chinese enterprises have adequate security while Japan has only 24 percent.
Cisco’s annual security review reveals that hackers are moving from compromising servers and operating systems to target individual users’ browsers and emails.
Some of the favoured techniques are Snowshoe spam, which generates many spam emails from a large range of IP addresses to avoid detection.
Attackers are also taking advantage of the relatively weak security of JavaScript and Flash by attacking both at the same time.
According to the survey, less than 50 percent of firms patch and configure systems to ensure security.
The survey canvassed executives at 1,700 companies and it appears there is a gap in perception with 75 percent thinking their security tools are very effective, while the reality is quite different.

 

Integrated infrastructure booms in EMEA

server-racksA report said that integrated infrastructure and platforms – that is to say vendor systems containing servers, disk storage, networking kit and systems management software – grew by 38 percent in the third quarter of last year.
IDC said vendors turned in revenues of $616 million in the quarter, a year on year growth of 38.2 percent for the EMEA (Europe, Middle East and Africa) in the quarter.
Eckhardt Fisher, research analyst at IDC, said the growth is linked to fast spreading adoption of business intelligence systems and the perceived benefit to enterprises that brings.
The market leader for the integrated infrastructure division saw VCE as the leader, followed by Cisco-Netapp, and then HP.
Cisco grew its share by close to 163 percent for the quarter, compared to the same quarter in 2013.
VCE also took prime position in the integrated platforms sector, followed by Cisco-Netapp and HP.  But here HP belonged strongly – growing by 271 percent in the quarter.
The entire market for the third quarter shipped 238 terabytes – up 63.5 percent compared to Q3 2013.

 

Daft patent war averted


3fe8db8858c39f54433f183e26cf400f94346c028d4ae31c8ec349fc12868e98What was shaping
up to be the daftest and most expensive patent war in history has been averted.

Apple and Microsoft had teamed up to form a super patent troll called the Rockstar Consortium in a bid to take out Android. The Troll outbid Google, Intel  – and a few others – in buying thousands of Nortel patents.

The “Rockstar Consortium” was not subject to promises that Apple and Microsoft initially made  to license the patents under reasonable terms and launched its patent attack on Android last year.

It seems that a a settlement of sorts has been reached. Rockstar has agreed to sell its patents to RPX (with Google and Cisco picking up much of the bill).  RPX has so far been a “good guy” in that it collects patents to stop trolling.

It’s making sure that basically anyone can license these patents under FRAND (fair and reasonable, non-discriminatory) rates. The price being paid is approximately $900 million.

This is considerably less than the $4.5 billion Microsoft and Apple paid but this was for only 4,000 of the 6,000 patents.  It is safe to assume that Apple and Microsoft kept the 2,000 valuable patents.

Google and Cisco will license these patents to stop the majority of the lawsuits and can defend themselves if they feel threatened.

Cisco’s Mark Chandler celebrated the deal as a “common sense” solution. And, it certainly beats all out patent litigation war. But it’s still just about moving money around, rather than encouraging innovation. He notes that in settling this as a group, it helps keep things from getting totally out of control.

Security appliance market continues to blossom

Cisco FirewallUnit shipments of security appliances grew 10 percent in the third quarter over this year, accounting for revenues of close to $2.4 billion.

And this is the 20th consecutive quarter of positive growth, according to analysts at  the International Data Corporation (IDC).

IDC said shipments were up in the quarter, compared to the same quarter in 2013 by 7.3 percent, amounting to 520,752 units.

The market is growing mostly by cyber security products intended to perform a number of different security problem in one box.

Cisco is the leader of the security pack, with 15.9 percent of the market, followed by Check Point, Palo Alto Networks, Fortinet and McAfee.

Unified threat management (UTM) is the dominant leader of the pack in both revenue and sales volumes, said IDC.

Cisco sues Arista

ciscologoNetwork equipment maker Cisco Systems has sued Arista Networks for copying its networking technologies.

The lawsuits, filed in a federal court in California, accuses Arista of infringing on 14 patents on networks and also on related copyrights.

Cisco General Counsel Mark Chandler wrote in his bog that rather than building its products and services based on new technologies developed by Arista, however, and providing legitimate competition to Cisco, Arista took a shortcut by blatantly and extensively copying the innovative networking technologies designed and developed by Cisco.

Arista was formed by former Cisco employees, including Chief Development Officer Andreas Bechtolsheim, Chief Technology Officer Kenneth Duda, and Chief Executive Officer Jayshree Ullal.

Arista said it had not yet been able to evaluate the lawsuits.

“While we have respect for Cisco as a fierce competitor and the dominant player in the market, we are disappointed that they have to resort to litigation rather than simply compete with us in products,” Arista said in a statement.

 

Cisco e’st an escargot, get it?

Cooked_snailsCisco has predicted that it will have a current quarter profit below what the cocaine nose jobs of Wall Street predict.

It is blaming capital budget cuts at telecom service providers and weak sales in emerging markets.

The move is surprising because Cisco had previously expected better revenue and profit for the first quarter.

Chief Executive John Chambers said on a post earnings conference call with analysts that the service provider is the big challenge. Two to three US service providers have dramatically slowed the order rates with us, he said.

AT&T, the No. 2 U. telecom services provider, said last week that it would trim its 2015 capital spending outlook to $18 billion from $21 billion.

Cisco has also struggled with sluggish sales and increased competition in emerging markets. The company said sales in China fell by a third in the first quarter.

The US service providers are not buying. Revenue from US service providers dropped 18 percent, although sales from emerging economies declined six percent.

The company forecast adjusted profit of between 50-52 cents per share and revenue growth in the range of 4-7 percent for the second quarter ending January. Analysts were expecting a profit of 53 cents per share.

However the better than expected revenue and profit is still on, thanks to an increase in demand for its new high-end switches and routers.

Total revenue rose to $12.25 billion from $12.09 billion and Net profit fell to $1.83 billion from $2 billion a year earlier.

Datacentre automation market worth billions

server-racksA report by Markets and Markets estimated that by 2019 the datacentre automation market will be worth $7.53 billion.

The report said that demand for fast data access and storage continues to rise and that’s creating more and more datacentres.  Datacentre automation is sometimes known as Software Defined Data Centres (SDDCs).  Automation helps management deal with scalability, flexibility, manageability and reduced costs.

The market research company said it segments the datacentre automation market by hardware such as network automation, server automation and storage automation.  It also values the secor by service including consulting services, installation and support.

The demand for data is forcing businesses to either build new datacentres or upgrade existing sites.

And the cost of datacentre infrastructure continues to increase at the same time as IT budgets continues to decrease.

Majr vendors in the industry include HP, Oracle, Dell, Brocade, Cisco, IBM, CA and BMC Software.

US companies take down Chinese hacker group

1220aAn alliance of US tech companies including Novetta and Microsoft hasbeen targeting the Hikit malware and have worked out a way to disrupt the Chinese cyber espionage gang Axiom’s antics.

Dubbed Operation SMN, the coalition of security companies has apparently given the hackers a Chinese burn after it detected and cleaned up malicious code on 43,000 computers worldwide infected by Axiom.

The effort was led by Novetta and included Bit9, Cisco, FireEye, F-Secure, iSIGHT Partners, Microsoft, Tenable, ThreatConnect Intelligence Research Team (TCIRT), ThreatTrack Security, Volexity, and was united as part of Microsoft’s Coordinated Malware Eradication (CME) campaign against Hikit.

Hikit is custom malware often used by Axiom to burrow into organisations and nick data. It works quietly and evades detection, sometimes for years.

Axiom used a variety of tools to access and re-infect environments including Derusbi, Deputy Dog, Hydraq, and others. Ludwig says, they expanded the group and its scope “so that we absolutely did the best possible job of clean-up and removal” and rolled it all into a Microsoft Malicious Software Removal Tool (MSRT) released Oct. 14.

Novetta thinks that while the MSRT was comprehensive, it may be only a temporary setback for Axiom, which will just work out another way of doing the same thing.

Novetta says it has “moderate to high confidence” that Axiom is a well-resourced and well-disciplined subgroup of the state-backed “Chinese Intelligence Apparatus.”

Axiom has been found in organisations that are of strategic economic interest, that influence environmental and energy policy and that develop integrated circuits, telecommunications equipment and infrastructure.

The target organisations are often related in some way, and once Hikit has burrowed its way into a computing environment, it can create a “mini-network,” communicating laterally with other Hikit installations within the organisation or related outside groups. What makes it difficult to track is that it uses proxies and never communicates with the command-and-control server directly. Hikit talks to companies in such a way that the traffic does not look dodgy.

 

Cisco gets into cloudbusting

Clouds in Oxford: pic Mike MageeNetwork giant Cisco said it has added 30 partners to its Intercloud initiative.

Customers want the cloud to be less hazy less than it is and Cisco believes it can help itself and them by developing standardised cloud apps as well as very secure hybrid clouds.

New partners include Deutsche Telekom BY, NTT Data and Equinix and said it will put up $1 billion for cloud financing using its equity arm, Cisco Capital.

Cisco claims that its announcements will expand the reach of its cloud initiative across 250 datacentres in 50 countries.

Rob Lloyd, Cisco’s president of sales and development said that his company is in a position to connect different cloud services by using a common stack.

Cisco signed a number of providers to build a channel programme using Comstor, Ingram Micro and Tech Data.

The firmis offering Cisco hybrid cloud bundles – a combination of tech and services – to help enterprise customers to build different kinds of cloud environments.

Cisco rules the security appliance roost

ciscologoWhile there was only moderate growth for security appliances in EMEA during the second quarter of this year, Cisco has the most market share.

That’s according to technology market research company IDC, which said the market in Q2 was worth $654.80 million, a rise compared to the same quarter in 2013 of 6.2 percent.

Cisco has 20.2 percent revenue share, up one percent year on year.

The runners up in shipments during the quarter were Check Point (17.5%), Fortinet (8.5%), McAfee (6%) and Juniper (5.5%), with the others commanding 42.3 percent.

However, McAfee’s growth between Q2 2013 and Q2 2014 was a massive 66.9 percent, IDC said.

Unified threat management (UMT) was the fast growing security appliance product category – that’s the eighth consecutive quarter and UTM appliances account for 48.4 percent of total vendor revenue.

Cisco throws weight behind firewall

Cisco FirewallNetworking giant Cisco claims it has introduced the first threat focused firewall.

Cisco ASA with FirePOWER Services uses contextual awareness and controls to automatically assess threats, provide intelligence and improve defences to protect network.

Aimed at large enterprises, it includes Sourcefire’s Advanced Malware Protection and Next Generation Intrusion Prevention Systems.

The software management gives authorised users dashboards and drill down reports of discovered hosts, dodgy applications, threats and indicators of compromised systems.

Cisco claims its firewall is enterprise class, and supports VPN, advanced clustering and granular application layer and risk based controls.  Open source integration with Snort, OpenAppID and ClamAV let companies customise security.

No details of pricing are available.