Posts Tagged ‘Cisco’

It ’ s been a strange decade for Cisco. After being a dot-com darling in the late 90s (everyone desired a couple of Cisco routers for their door-to-door animal food distribution services), the business attempted its hand at consumer items with the Flip camera series and, a little while later, Linksys routers. It seems, then, that Cisco ’ s marvelous consumer experiment is over.

The regards to the sale are confidential however it must close in March of this year. Belkin has actually been taking a harder consider networking hardware for the past couple of years while still keeping their ties to the computer accessory market that defined the company for years. Their existing crop of routers are aimed in the house individuals so Linksys could possibly provide Belkin a bit of an edge in the home/small workplace market.

Exactly what ’ s more fascinating, however, is where Cisco wishes to go now that the company has actually divested itself of all customer products. Consumer electronics are a horrendous company. The margins are reduced and demand fluctuates relying on what comes out of Cupertino or Redmond. In short, there ’ s extremely little reward to sell hardware to consumers when they ’ re fickle, hungry for Zappos-esque “ You screwed up so provide me complimentary stuff ” support, and rarely, if ever before, update their Computers and peripherals. Exactly what electronic devices producer desires to waste his time with consumers when IT customers sign a nice contract and pay on time?

However the customer market is leading the IT market. The tale in CE nowadays is BYOD – I get e-mails about it nearly every day – and IT managers used to dropping a couple of thousand on fleet laptop computers now have to contend with individuals bringing in iPads, Surfaces, MacBooks, and their very own mini-routers. It ’ s a maddening situation, to be sure.

Big iron isn ’ t the watchword any longer. Purchasing a Cisco router for a small home workplace barely makes good sense and, increasingly, it makes even less sense for a larger workplace. That is not to say that IT infrastructure isn ’ t lucrative – it ’ s just not as profitable.

Belkin must have the ability to do benefits with Linksys. Cisco clearly couldn ’ t.

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• Cisco Leaves The Consumer Networking Market After Selling Linksys Brand To Belkin
• Belkin buys Linksys home router business from Cisco, giving it 30 percent of the market
• Strategy Analytics: Microsoft’s share of tablet market quadrupled after Windows 8
• Belkin acquires Linksys, plans to continue marketing products under both brands
• Bloomberg: Cisco Systems preparing to sell Linksys, hires Barclays to handle sale

It’s been a weird decade for Cisco. After being a dot-com darling in the late 90s (everyone wanted a few Cisco routers for their door-to-door pet food delivery services), the company tried its hand at consumer products with the Flip video camera series and, a little while later, Linksys routers. It seems, then, that Cisco’s grand consumer experiment is over.

The terms of the sale are undisclosed but it should close in March of this year. Belkin has been taking a harder look at networking hardware for the past few years while still maintaining their ties to the computer accessory market that defined the company for years. Their current crop of routers are aimed at home users so Linksys could give Belkin a bit of an edge in the home/small office market.

What’s more interesting, however, is where Cisco hopes to go now that the company has divested itself of all consumer products. Consumer electronics are a horrible business. The margins are low and demand fluctuates depending on what comes out of Cupertino or Redmond. In short, there’s very little incentive to sell hardware to consumers when they’re fickle, hungry for Zappos-esque “You screwed up so give me free stuff” support, and rarely, if ever, upgrade their PCs and peripherals. What electronics manufacturer wants to waste his time with consumers when IT clients sign a nice contract and pay on time?

But the consumer market is leading the IT market. The story in CE these days is BYOD – I get emails about it nearly every day – and IT managers used to dropping a few thousand on fleet laptops now have to contend with people bringing in iPads, Surfaces, MacBooks, and their own mini-routers. It’s a maddening situation, to be sure.

Big iron isn’t the watchword anymore. Buying a Cisco router for a small home office barely makes sense and, increasingly, it makes even less sense for a bigger office. That is not to say that IT infrastructure isn’t lucrative – it’s just not as lucrative.

Belkin should be able to do good things with Linksys. Cisco clearly couldn’t.

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Related Posts:

• Cisco Leaves The Customer Networking Market After Offering Linksys Brand To Belkin
• Belkin buys Linksys home router business from Cisco, giving it 30 percent of the market
• Strategy Analytics: Microsoft’s share of tablet market quadrupled after Windows 8
• Belkin acquires Linksys, plans to continue marketing products under both brands
• Bloomberg: Cisco Systems preparing to sell Linksys, hires Barclays to handle sale

Linksys, one of the greatest router companies and currently a subsidiary of Cisco, is being bought by one-time competitor Belkin. According to a news release, Belkin and Cisco have accepted a sale of Cisco’s House Networking Company Unit, which includes employees, items, and technology along with the Linksys brand. That brand name isn’t really disappearing, but the sale implies Belkin will tie up a large part of home and small company networking: the company states it will have 30 percent of that market when the sale closes.

Belkin hasn’t disclosed regards to the deal, and future strategies aren’t spelled out in information. In the meantime, people with Linksys products will continue to get support, and Belkin says it desires to help “grow Linksys’ market presence” in …

Continue reading & hellip;

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Looking backwards, the automobile of today looks almost superintelligent. While some of us may have expected (read: hoped for) the flying car by 2013 and, sure, the internal combustion engine still reigns, the majority of vehicles today are basically computers on wheels. The average car today has around 50 microprocessors, give or take. But, given how quickly automotive technology is advancing, it’s clear that we’re just beginning to scratch the surface. Hell, California recently legalized road-testing of autonomous cars, and Sergey Brin thinks self-driving cars will be on public roads in the next five years.

Today, Cisco and NXP Semiconductors announced their intention to join the smart car bandwagon and help push automotive technology forward. The companies this morning announced a dual investment in Cohda Wireless, an Australian developer of hardware and software solutions for connected vehicles that allow cars to wirelessly communicate with one another (and with infrastructure) to prevent collisions — among other things.

The investment and strategic partnership essentially aims to bring the “Internet of Everything” to the automotive industry in the hopes of building a safer driving experience, reducing traffic congestion, collisions, runaway Priuses, curbing bad drivers and so on. By making car communication systems faster and more responsive — in a word, smarter — Cohda believes it can potentially prevent over 80 percent of crash scenarios, reducing injuries and fatalities on the road along the way.

In turn, Cohda is also enabling so-called “car-to-infrastructure” communication, which, in conjunction with in-car apps, attempt lower greenhouse gas emissions by changing traffic patterns, alerting drivers of hazards, like oncoming collisions, nearby out-of-control vehicles and by re-routing them to avoid traffic congestion. Via radio technology and smart sensors, car-to-infrastructure comms can enable cars to communicate with smart devices, allowing traffic signals to alert cars that the upcoming light is about to change, for example. Saving you from embarrassment and from causing a 10-car pileup because you were scanning your playlist and didn’t notice the change.

Of course, to work at scale these types of connected-car communications require sophisticated and secure data exchange between moving vehicles, whether in the city or in Podunk — in other words, in a variety of conditions. Yet, while the technology has an array of potential applications and implications, these inter-communications systems are naturally more effective the more vehicles (and anything else for that matter) integrate the technology.

So, to help get the tech on the roads, Cohda has enlisted a dozen European carmakers which have agreed to install its solutions into various lines beginning in 2015 and is currently testing integration in Detroit with eight U.S. carmakers.

While the companies remained silent on the size of their investment in Cohda, it likely isn’t chump change and was enough to bring three mature companies (and two giants) together in a strategic partnership with plans to collaborate in an effort to bring the solutions to market.

While NXP brings its semiconductor and chip tech that’s used in smart automotive, industrial, mobile and wireless applications (it’s also the co-inventor of NFC, along with Sony) and Cohda brings the software and hardware that make advanced radio communication possible, Cisco is leveraging its networking prowess to help supply the Internet. Over the last few years, Cisco has become increasingly interested in enabling the wired car, even creating a separate division dedicated to investing in and developing connected vehicle technologies.

In conversation with the WSJ, NXP’s general manager of car entertainment Torsten Lehmann said that NXP and Cisco put in a lot of due diligence and both concluded that “Cohda’s technology is by far the best.” Throwing their weight behind Cohda, the networking and semiconductor giants are on a mission to help the startup bring its technology to market. And for drivers, that should be great news — even if they have to wait.

More in the announcement here.

Top image source: U.S. Department of Transportation

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Cisco’s equipment offerings are about to slim a little, according to Bloomberg– the company has asked Barclays to help it eliminate its Linksys unit. The step belongs to Cisco’s recurring initiative to minimize its consumer businesses, the exact same approach that liquefied its Flip Video clip department last year. The typical “individuals with expertise of the scenario” recommended that the business may be courting TV makers, noting that the brand name is likely to offer for considerably less than the $ 500 million Cisco paid in 2003. Both Cisco and Barclays decreased to discuss the sale. We comprehend– after the Connect Cloud debacle, we wouldn’t wish to talk either.

[ Thanks, Tom ]

Filed under: NetworkingCommentsSource: Bloomberg