CISCO will gain from economies of scale as more businesses turn to fewer but larger technological solutions providers and dive into data analytics
UBS believes that Cisco Systems Inc. (NASDAQ: CSCO) the most likely become a preferred customer choice, as it has positioned itself well in the network intelligence, mastery of a complex aspect of IT company, enjoy economies of scale. Analyst Steven Milunovich reiterated a buy in the company with a target price of $ 29.
As companies get demanding and is associated with a handful of large suppliers of technological solutions and network, Cisco is likely to gain to provide the beam CSCO Chief Digital Officer Kevin Brandy, observed in 9 months of accession. Since the company integrates and allows operations across different product platforms, is a trusted provider that connects central data and automation applications, networks and security mapping.
Recently, UBS CIO survey revealed that about 66% of users look to Cisco as their supplier data center. The analyst adds, "Another example is the security, where the level of fragmentation is probably unsustainable. Cisco is perhaps the seller in the best position to consolidate the security market given its large budget, dominant position in the network for visibility threat information, and the market share of the first floor."
Chuck Robbins CEO and senior management is more involved in the decision-making process as Cisco technology shapes today's businesses. Analysis of data faster and more accurate are high in demand as companies use them to term decisions and strategy. Manufacturing, financial services and retail are jumping to embrace this technological change. An example application is the Wi-Fi monitoring and analysis of consumer behavior in shopping malls, which provides crucial information. Cisco provides analysis and incorporates security to provide this Wi-Fi. It is expected that the company will announce more short-term analysis.
The most complex aspect of the infrastructure is perhaps the network. However, Cisco's ability to provide the mapping of data flow in such depth is a feat by the IBM SNA. The network properties CSCO benefited enormously. Mr. Brandy said that the acquisition of Jasper led Cisco to become a top Internet platform objects (IO). He has seen objects as the "real business strategy", where intelligence is generated through the collected data network.