Chambers Touts Cisco's Shift to Applications in Interop Keynote
NEWS ANALYSIS: Cisco will become more of an applications company to keep up with fundamental changes in network technology, CEO John Chambers said in his Interop Keynote.While Cisco was founded to build the routers and switches powering corporate networks, and it recently moved to embrace the server hardware business, the future for Cisco is as an applications company, according to CEO John Chambers. In his keynote presentation Oct. 2 at this year’s Interop New York, Chambers said the next step for Cisco is to enable the “application-centric infrastructure.” The company will detail its embrace of the application environment in November, Chambers said. But he made it clear in his keynote that application centricity will become the company’s main theme. “We compete against market transitions, not competitors,” Chambers said. “There will be a brutal consolidation in this industry,” he said, adding that the concept of the application economy will provide a road map for the whole technology industry. The ability to create an infrastructure that is agile, simplified, automatically programmable and able to scale on demand is critical to enabling the application model, said Chambers. These products have to be designed for simplified integration rather than lengthy systems integration.
“You are not systems integrators,” Chambers told the audience. Cisco currently offers a range of application services, including an application network manager and its videoconference products. But the company has not positioned itself as primarily an applications vendor.