Cisco: Accelerating Pace Away from Systems

December, 2019

The critical reason for Cisco Systems’ elaborate dog and pony show focusing on its latest ASIC, Silicon One, appears to be the simplest one: to indirectly start laying the foundation for its eventual exit from the system space across the board. Although fibeReality has discussed the possibility of such a radical change in the supplier’s corporate strategy previously, shifting market dynamics have apparently forced the supplier to move more quickly towards what it perceives to be the greater appeal of underlying, innovative technology solutions: hence, an even greater focus on the mantra: “chips, optics and software.” However, we continue to assert that the second category will remain by far the least vital to Cisco because it simply does not tend to generate the higher margins of the other two sectors, and it has always represented such a tiny percentage of its overall revenue....

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Inphi: Ongoing Obsession with COLORZ Brand

January, 2020

In quasi-opposition to fibeReality’s sentiments regarding Inphi’s exceedingly defensive posture on COLORZ, resulting from a great deal of internal sensitivity to its lackluster sales of the module, which we have amply described in the past, there is a school of thought, which supports a slightly contrarian position. We concur with many of those points, such as the high likelihood that the supplier received a tolerable return on its investment (as we addressed previously), as well as that the cost to the vendor sacrificing alternative, potentially more beneficial actions, while a valid concern, can scarcely be determined easily. Certainly, the most compelling assertion, which we have written about extensively, is that like COBO, and ultimately co-packaged optics, as well as earlier with this 80-kilometer concept, Microsoft has an appalling history for coming up with innovative...

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