Trade.Information

Company Name: Cisco Systems, Inc.

Company Type: Manufacturer

Company Profile

Cisco was founded in 1984 by a small group of computer scientists from Stanford University. Since the company's inception, Cisco engineers have been leaders in the development of Internet Protocol (IP)-based networking technologies. Today, with more than 47,000 employees worldwide, this tradition of innovation continues with industry-leading products and solutions in the company's core development areas of routing and switching, as well as in advanced technologies such as:

• IP Communications 
• Network Security
• Wireless LAN Storage 
• Area Networking
• Home Networking 
• Video Systems
• Application 
• Networking Services

About Company

Cisco has been at the heart of many historic changes in technology, and that continues to be true today. Now, at a time when the technology industry is going through a period of dramatic change, Cisco is the market leader in multiple areas, such as routing and switching, unified communications, wireless and security. The company helped catalyze the industry's move toward IP and, now that it is fully underway, the company is at the center of fundamental changes in the way the world communicates.

The Network is the Platform

The emergence of the network as a platform is changing the entire value chain of technology and placing the network squarely at the center of innovation: as many as 14 billion devices will be connected to the Internet by 2010. The explosion of devices will be fueled by more and more services and tasks being handled online, from phone calls to personalized searches to downloading videos, games and other forms of entertainment.

The role of the network is evolving beyond that of infrastructure. It is emerging as a secure platform for delivering the customized and personalized experience that 21st century users expect - whether that means delivering new services as a carrier, boosting productivity for businesses of any size or consumers looking for real-time, personalized entertainment and services.

As an increasingly intelligent network evolves into a platform, users will be able to communicate from any device and in whatever mode they choose.

Cisco is leading the transition to a network-centric technology environment. By combining its core strength (IP) with intelligence, the company is creating a powerful communications platform that will serve as the basis for the convergence of data, voice, video and mobile communications in a secure, integrated architecture.

Below are three examples of how the transition to a network-centric architecture is having profound and dramatic effect on entire industries:

1.IP Communications and IP Video
Communications networks are going through a transformation empowered by the Internet and networking technology. When the Internet was at its earliest stages as a business and consumer tool, Cisco had a vision for how IP technology would transform voice and video communications. In 1998, Cisco acquired a small Voice over Internet Protocol (VoIP) company and began developing this technology. Today Cisco is the global leader in IP communications equipment, selling over 7.5 million IP phones worldwide, including to more than 70 percent of Fortune 500 companies. Now Cisco is building on that leadership to develop IP-based video technologies to transform the way video content is delivered to the home and within companies. We are aggressively moving into a new realm of IP, with the promise of IPTV on the horizon, and pervasive video on the Internet.


2.Emergency Responder Communications
As 9-11, Hurricane Katrina and other national emergencies have demonstrated, our federal, state and local emergency first responders need the means to communicate effectively in times of crisis. Cisco has developed IP-based technology that addresses today's voice communications interoperability requirement, enabling communications across any type of device, whether push-to-talk (radio) systems, cell phones or landline phones. This technology, called IPICS (IP Interoperability and Collaboration System) is now being field tested in several locations in the United States. This is one of the industry's first systems designed to easily integrate disparate push-to-talk radio systems together with widely deployed voice, video and data networks. One of the most promising features of the IPICS technology is it can enable preexisting communications systems to interoperate, eliminating the need to completely replace deployed systems. Cisco IPICS delivers the "right information to the right person in the right format at the right time."

3.Healthcare Information Technology
Quality health care is one our most vital national needs. There is a growing consensus that our health-care system is outdated, inefficient, and most worrisome, prone to errors. The Bush Administration has worked to modernize the health care system through electronic health records and information sharing that will improve the quality of health care and reduce costs. Cisco has taken a leadership position in driving this change. First, it has developed the technologies that enable the networking of health information. Second, it is helping create regional and national health data networks that will enable information sharing so that critical patient information is available to health-care providers in a timely fashion. Finally, Cisco is practicing what it preaches by adopting health-care IT within its own health programs and creating incentives for employees' doctors to modernize their systems.

Research and Development

Cisco innovates in many different ways: via technology development and the expansion of technologies after their initial invention, and through adjacent technology and market extension. We also innovate through world-class integration and scaling of acquisitions, by starting new business models, and in the way we partner with other companies.
Culture of Innovation:
Organic development - $4.07 Billion + spent on R&D in Fiscal Year 2006
Active acquirer of/investor in innovative start-ups - Cisco has acquired 114 companies since 1993
US R&D facilities in San Jose, CA; Boxborough, MA; Richardson, TX; Lawrenceville, GA and Raleigh, NC
Other major R&D facilities in Bangalore, India; Shanghai, China; Herzliya, Israel; Tokyo, Japan and Galway, Ireland; Smaller facilities in North America, Europe and Asia

Linksys Takes Cisco Into The Home 

Cisco has extended its networking technology expertise in the enterprise and service provider markets into the high-growth consumer networking market with the addition of its Linksys Division in June 2003.

Linksys has the most extensive product line in home networking, with more than 70 products including wireless routers and access points for simultaneous sharing of broadband Internet connections, wireless network adapters and wireless print servers as well as traditional wired products such as Ethernet routers and cable modems, unmanaged switches and hubs, print servers and network attached storage for easy sharing of digital music, photo and video media files. 

With Cisco's networking expertise and Linksys' user-friendly features, consumer and small medium business (SMB) users will be able to build high quality networks designed for the home or small office environment. A home network enables families to better utilize their broadband Internet connections by offering the ability to share Internet access using either wired or wireless connections.

Scientific Atlanta Sets Stage for Multimedia Future

In February 2006, Cisco completed the acquisition of Scientific Atlanta of Lawrenceville, Ga., a leading global provider of set-top boxes, end-to-end video distribution networks and video systems integration. The acquisition allows Cisco to offer a world class, end-to-end data, voice, video, and mobility solution for carrier networks and the digital home. 

With the addition of Scientific Atlanta technologies, Cisco's IP Next Generation Network architecture offers providers an open platform for service differentiation, allowing them to move beyond digital video/IPTV to develop and deliver a variety of integrated media services in the connected home. 


Social and Philanthropic Initiatives Strengthen Communities

Cisco's culture was founded on the principles of open communication, empowerment, trust, integrity, and giving back to the community, and these same values thrive at Cisco today. The company focuses on three areas of corporate philanthropy: providing basic human needs, access to education, and responsible citizenship. 

21st Century Schools Education Initiative

After Hurricane Katrina devastated the Gulf States in 2005, Cisco responded by pledging $40 million to reconstruct and improve schools in the Gulf States region through the 21st Century Schools Initiative. The program started with the Mississippi Education Initiative in October 2005 and the Louisiana Education Initiative in March 2006. Cisco also encouraged employees to take paid sabbaticals to move to the region and apply their expertise to help improve the schools.

By partnering with local schools, government and non-profit organizations, Cisco plans to use technology to create state-of-the-art schools that provide teachers and students with the best technological resources. Improved educational opportunities will lead to stronger and more vibrant communities.

Cisco Networking Academy Program 

To help foster access to education and professional opportunities worldwide, the company founded the Cisco Networking Academy Program, which trains students to design, build, and maintain computer networks. By combining education and the Internet, Cisco Networking Academies help students acquire the skills needed for IT-related jobs and for higher education in engineering, computer science, and related fields—and ultimately, aid in the development of their countries and their local economies. Since its creation in 1997, over 1.6 Million students have enrolled at more than 10,000 Academies located in high schools, technical schools, colleges, universities, and community-based organizations in more than 163 countries.

The Jordan Education Initiative

Cisco is engaged in an ambitious e-learning project developed out of a partnership between the World Economic Forum, the Kingdom of Jordan and Cisco Systems that is poised to be an educational model in many other nations.

The Jordan Education Initiative brings together leaders from the IT and Telecoms industries with Jordanian authorities to create the project that will improve education in the Kingdom.

The Department of State honored Cisco Systems with the 2005 Award for Corporate Excellence for responsible citizenship in educational reform for the development of the Jordan Education Initiative. (Click here to watch a video)

Cisco also sought out opportunities in Israel, creating hope and opportunity in education by attracting students through technology. (Click here to watch a video)

Corporate Citizenship Report

In 2005, Cisco published its first Corporate Citizenship Report. This report describes the company's citizenship programs, including the history, benchmarks, successes, and future goals. Cisco organized contributions made in grants and product donations to qualifying nonprofit organizations, in education and economic development programs in underserved communities, and in employee voluntarism. For its social responsibility efforts, Cisco received an Excellence in Corporate Philanthropy Award from the Committee to Encourage Corporate Philanthropy.

Support and Consulting Services Help Customers Succeed

In addition to hardware and software products, Cisco provides a broad range of service offerings to its clients, including award-winning technical support and advanced services. Cisco sells its products and services—directly through its own sales force and indirectly through a network of channel partners—to large enterprises, small and medium-sized businesses, service providers, and consumers.

Cisco has long been recognized as a pioneer in using the Internet and its own network to improve its business practices. The Cisco Internet Business Solutions Group offers consulting services based on Cisco's experience to help organizations worldwide use their own networks to achieve business goals. In the fiscal year 2005, Cisco saved $2.4 billion by relying on the Internet and network applications to provide customer support, offer employee services, sell products, provide training, and manage finances and manufacturing processes. Each year, Cisco introduces new applications, enhances existing applications, and increases adoption of these applications across the company, which results in an incremental return on investment year after year. 

Channel Partners Address Network Evolution

Network technology is rapidly changing and creating new demands by businesses and organizations of all types. In response, Cisco Systems has developed its industry-leading channel partner program to help the company's important sales force, its channel partners, develop the skills and expertise they need to thrive. 

Cisco's channel partners, a global force of over 200,000 people in 20,000 independent value-added resellers, systems integrators and network consultancies, account for more than 90 percent of Cisco's commercial and enterprise revenue worldwide.

For more information about Cisco' corporate history, click here for the Cisco 2005 Corporate Timeline and 2006 Corporate Fact Sheet. For more information on Cisco and its technology initiatives, go to www.Cisco.com.