Cisco’s Focus on Software and Subscription Buying: Making All the Right Moves

Cisco’s software strategy has been getting great external validation following our recent series of major announcements in network infrastructure software and subscription buying models. In May, we introduced Cisco Enterprise Agreement, a simpler, more flexible way for customers to buy network infrastructure software.

And less than one month later Cisco did it again with the June 20 launch of Network Intuitive, a new, intent-based network, over two years in the making, that changes everything about enterprise networking. We announced Cisco DNA Advantage and Essentials subscription-based network software (along with our Catalyst 9000 series of switches) which will transform how network infrastructure software is bought and deployed.

With this latest advance we’ve demonstrated once again how we’re putting software into our core business – with switches this time – and we’re doing it across the portfolio as well. Cisco has made a deep commitment and investment in leading this new era of networking. You’ve been hearing Chuck tell the analysts for more than a year that software plays a massive role in our business, and the company has been working diligently to develop the right technology and business models to continue our shift to a more software-centric business. For example, Cisco ONE, our suites for all of our infrastructure software launched two years ago, has more than 18,000 customers already, and has been adopted by 95 of the Fortune 100.

In June, we held our annual Cisco Live U.S. conference in Las Vegas. We held our Financial Analyst Conference there on June 28, and got tremendous validation from the analyst community. Here are just a few of the reactions we received:

I like the strategy, too. I joined Cisco not quite a year ago after 24 years at Microsoft because I saw the incredible opportunity here in software.

J.P. Morgan has it spot on. Nothing this important and innovative comes easy. This transformation is hard. That’s why we chose to do it. Solving problems is in my DNA. Look to us to continue delivering innovation in the way customers want to consume and manage infrastructure software.

Mark

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