21 Jan 2009
Speculation is mounting that networking giant Cisco is preparing to go mano-a-mano with HP and IBM by branching into the server space.
The New York Times reported on Monday that Cisco is planning to release its first server offering within the next few months. The report claims the technology fuelling the move is virtualisation software. Speculation also suggests that Cisco is keen to expand beyond the limitations of its networking background and get involved in management software and storage.
Cisco has long enjoyed a cordial relationship with both IBM and HP. But onlookers have suggested that if the networking specialist begins to encroach on the other firms' turf it could spark a heavyweight battle for market share.
Further reading
Cisco has remained relatively tight-lipped on the story, but in her blog, chief technology officer Padmasree Warrior has hinted at the changes afoot at her company. Earlier this week she posted an entry in which she claimed Cisco would enter new markets. She indicated this would bring it into competition with companies it had worked with in partnership before, but emphasised the necessity of major vendors working co-operatively.
She also detailed Cisco's focus on what it calls 'unified computing'. She claimed this represented an architectural approach inclusive of compute and storage platforms in unity with the network and virtualisation platform.
She wrote: "Cisco is entering new markets. We view periods of economic uncertainty as the perfect time to challenge the status quo and evolve our business to deliver customer and shareholder value. Cisco's success has always been driven by investments in market adjacencies during times that may cause other companies to blink."
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