With ` 11,770 crore revenue and 11% growth, Cisco still has got some stretch to be covered to cross the $2B mark. Cisco has been in the race to be a $2B entity in India since the past three years when it crossed the $1B mark. But its progress has been rocky, not smooth, marked by de-growth in traditional networking market even as new markets such as unified computing, software-defined networks, security, and collaboration took time to mature.
Sameer Garde took over the leadership role at Cisco India, effective August 1 2017 to replace Dinesh Malkani who led Cisco during FY 2016-17. Whereas John Chambers, the past CEO and Chuck Robbins, the current CEO have been frequently visiting India and hobnobbing with leaders in the government. The company is engaged with many state governments in India as the key partner in digital transformation. Initiatives such as Digital India, smart cities projects, and telemedicine/ e-healthcare have been big drivers for Cisco’s business in India.
Even as its business of traditional networking is in market decline, Cisco has revamped its portfolio for the digital networking, security, unified computing, collaboration, and video. For example, last year Cisco launched the Digital Network Architecture (Cisco DNA)—a radical new approach to networking designed for the digital era.
Cisco is looking at digital transformation of enterprises, transformation of telecom service providers, information and cybersecurity, SMB, and IoT to be the dominant priorities for the year 2017. Key wins announced during the year include digital-driven projects in retail and healthcare; Shoppers Stop went in for Cisco’s wireless and in-store connected mobility technology and Narayana Health laid out a highly secure medical-grade network for two-way video-based delivery of healthcare across various areas of specializations.
Cisco’s investments in the country has kept pace with the opportunities it is targeting in the country. The company announced $100 M investment in India to accelerate digitization, of which $70 M is a venture fund. In its foray into local manufacturing, Cisco set up its manufacturing facility to support the government’s ‘Make in India’ initiative. Cisco will use its India manufacturing operations to produce and ship orders for customers in India, as well as for testing, development, logistics, and in-house repair capabilities.
Cisco has two global delivery centers in India, the only country where it has more than one delivery center. The company has announced setting up a security operations center (SOC) at Pune.
The service provider business is an important one for Cisco. Notably, Cisco signed on Reliance Jio Infocomm to expand its existing multiterabit capacity, All-IP converged network that is built on Cisco’s Open Network Architecture and Cloud Scale Networking technologies featuring IP/MPLS, spanning areas including Data Center, Wi-Fi, Security and Contact Center solutions.
—SAMEER GARDE President, India