Cisco's Switching Declines
The San Jose, Calif.-based networking giant owned 60.7 percent of the Ethernet switching market in 2015, compared with 61.8 percent share in 2013, according to IDC.
For the first quarter of 2016, Cisco's Ethernet switching revenue declined 4 percent year over year to $3.23 billion. The company accounted for 59 percent of the Ethernet switching market, down from 59.2 percent a year ago.
In an interview with CRN, IDC analyst Rohit Mehra, vice president, Network Infrastructure, said some vulnerabilities that lie ahead for Cisco's networking business include a shift to software and the "as-a-service" deployment modality.
However, Mehra said the vendor is beginning to execute on filling in the gaps and driving network refreshes. "Its DNA [Digital Network Architecture] is a good proof point it is readying itself to being an enabler for the digital transformation of the enterprise," said Mehra.