Friday, March 12, 2010

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Archive for the ‘Networking’ Category

Cisco’s New Router Will Have Little Impact on Stock

Posted by admin On March - 10 - 2010

Trefis submits:

Cisco (NASDAQ:CSCO), which competes with Juniper (NYSE:JNPR) in the networking equipment business, recently announced a new generation of core routers called CRS-3. Carrier Routing System 3 (CRS-3) will be able to offer data transmission speeds of up to 322 Terabits per second, much higher than existing core routers today.

Core Routers are for Internet Service Providers


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Inside Cisco’s Latest Router Announcement

Posted by admin On March - 10 - 2010

R. Scott Raynovich submits:

Cisco (CSCO) succeeded in generating an enormous amount of hype for today’s announcement of a new core router, and was able to raise the level of interest to a crescendo.

The bottom line is that this is an impressive and important upgrade of Cisco’s core router product, but it was not "revolutionary," as billed by Cisco and many press mavens. It is, in fact, an important upgrade in capacity to reinforce Cisco’s market position as the leader in core routing technology.


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Cisco Financial Gauge Analysis for January 2010 Quarter

Posted by admin On March - 10 - 2010

Neil Carvin submits:

This post provides updated Cash Management, Growth, Profitability and Value metrics and our Financial Gauge scores for Cisco Systems (NASDAQ: CSCO). The metrics were calculated using data in Cisco’s financial reports, including the latest earnings announcement and the formal 10-Q report.

We have already examined the Income Statement for fiscal 2010’s second quarter, which ended 23 January 2010. Cisco Systems earned $0.30 per share, on a GAAP basis, in this quarter, up 23 percent from $0.26 in the second quarter of the previous year. On a non-GAAP basis, Cisco’s earnings rose from $0.32 to $0.40 per share.


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Allot Communications: Company With Loads to Offer

Posted by admin On March - 10 - 2010

shlomi cohenShlomi Cohen submits:

I am adding to my portfolio an Israeli company that provides bandwidth management solutions, especially on cellular networks, Allot Communications (ALLT). At the same time, I am removing Incredimail (MAIL), after making a profit of 58% in nine months, and I do so just before the release of the fourth quarter results, probably this week, as the stock has shown continuous weakness since reaching a peak of almost $11 in the summer. I believe the weakness results from the share sales by one of the founders, Yaron Adler, who is no longer a director, and / or because of a large acquisition the company is about to make.

Allot provides solutions for managing loads with systems that do optimization through what is known in the professional jargon as DPI (deep packet inspection), which means monitoring the content on the networks and deciding on priorities and allocation of bandwidth to users according to the policies of the service provider. For example, the provider will prefer to allocate more bandwidth to a business customer, who pays a great deal of money, when he is conducting video conference calls over the IP network, and less to a user watching a clip on YouTube for pleasure via a smartphone.


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Reactions to Cisco’s CRS-3 Router From Around the Web

Posted by admin On March - 10 - 2010

Tate Dwinnell submits:

The internet changing news from Cisco (CSCO) the tech world has been anxiously awaiting was unveiled today. Cisco’s CRS-3 router has been heralded by CEO John Chambers as a system that can download the Library of Congress in a second, stream every movie made in four minutes and allow simultaneous video calls by every single person in China. It will be available at a cost of $90K in the 3rd quarter of this year. Mighty impressive, but let’s see what the tech experts have to say. I thought I’d do a run down of some of the reactions to the big announcement today.

From BNET


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Sam Diaz submits:

Cisco (CSCO) made a significant announcement today in its effort to revamp the Internet as we know, launching a new networking router that has the power and the capacity to handle the demands of the next generation Internet.

The product is the Cisco CRS-3 Carrier Routing System, which is designed to be the “foundation” of the next-generation Internet, one that can set the pace for video growth. The device promises to more than 12 times the traffic capacity of the closest competing system, with up to 322 terabits per second. How fast is that? The company said it enables the entire printed collection of the Library of Congress to be downloaded in just over one second.


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Gregory Ness submits:

When VMware (VMW) entered the production data center, it was the beginning of a massive IT disruption with profound implications for careers, vendors and the next tech innovation cycle, driven by deep reductions in network operating expenses and equally uplifting increases in network flexibility and intelligence.

VMware set the stage for the multibillion dollar system virtualization category by allowing operating systems and applications to be easily set up and moved on top of commodity server hardware. They automated systems that had been requiring ever-increasing amounts of manual labor as data centers grew ever more complex by creating an abstracting layer between software and hardware.
Check out the IDC slide referenced in the October, 2008 infrastructure 2.0 blog on “Virtualization, Cloud Computing and IT Diseconomies”. The market cap of VMware was to a great extent driven by the increasing proportions of management expense required for supporting ever more complex system infrastructures.
There is a similar (internal HP only, based on IDC data) slide showing the creeping opex menace growing every year to consume more than 50% of server costs. Also read "Server Management Costs Soar, Says IDC":

For every server that is purchased and installed, management costs increase exponentially. Matt Eastwood, vice president, enterprise server research for Framingham, Mass.,-based IDC says that a penny saved in initial cost is a dollar spent on management. "IT pros are always interested in getting the best deal that they can when they purchase new equipment. But what they are beginning to realize is that the cost of maintaining a server is five to seven times the purchase price."
- Brian Kraemer, SearchDataCenter.com Feb 2006


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Ciena Corporation (CIEN)

F1Q10 Earnings Call

March 4, 2010 8:30 am ET


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Methode Electronics, Inc. (MEI)

F3Q10 (Qtr End 01/30/10) Earnings Call

March 4, 2010 11:00 am ET


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Map Shows Large Gains in Tech Sector

Posted by admin On March - 8 - 2010

optionMONSTER submits:

By Bryan McCormick

Last Friday we posted a "tree map" of the Technology SPDR (XLK) exchange-traded fund and noted that, with a weighting of more than 20 percent in the S&P 500, the SPX would have a hard time getting anywhere on the upside without its participation. In one week, we have seen a number of significant gains in the sector that I think will be immediately apparent visually.


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