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Will Cisco Boot Linksys?
Cisco reportedly has hired Barclays to find a buyer for its Linksys business.
Cisco bought Linksys back in 2003 to get into the consumer networking business and the firm has put out some good products, most notably the WRT54G wireless router that was a favourite with technology savvy punters. Now Cisco is looking to offload Linksys as it continues to pull back from the consumer networking market.
Cisco has been cutting jobs and products such as the Flip video camera, as it wants to get back to the high margin enterprise networking business. Back in 2003, Cisco paid $500m for Linksys and got access to an established business that focused on producing consumer network equipment.
A decade later, it is being reported that Cisco will be lucky to get its $500m back. Cisco has been pulling out of its failed attempt to get into the consumer market and is now focusing on flogging both network infrastructure hardware and servers, though it is widely expected to be hit hard as software defined networks become more popular.
Unlike Cisco’s core enterprise business, Linksys products typically have low margins, and with its parent firm’s slowing sales growth, it is not surprising Cisco wants to offload it. Bloomberg’s sources said Cisco might find interest in buying Linksys from television makers, though they wouldn’t provide any more details.
Did Huawei Steal From Cisco?
Huawei has replied to US rival Cisco after the networking firm made allegations about the Chinese company relating to a lawsuit between the two firms.
The case dates back to 2003 and relates to the alleged theft of source code by Huawei from Cisco for use in its networking products. The case was settled confidentially out of court.
Cisco complained about what it saw as a willful distortion of the facts of the case after Huawei’s chief representative in the US, Charles Ding, claimed the outcome was that Cisco stood down over its allegations.
In response, Cisco released excerpts from a report by an independent analyst that was used to form the basis of a settlement, which Cisco said proved Huawei had used its source code in its products.
However, in a statement sent to The INQUIRER, Huawei said it was “disappointed with the continued rhetoric from Cisco” and claimed there was no basis to its argument.
“With respect to the lawsuit which took place about 10 years ago, the fact is the court dismissed the case, upon a joint stipulation of the parties, after the neutral expert’s review. This shows Cisco’s present allegations have no merit,” it said.
Furthermore, the firm also said it didn’t believe Cisco had the right to report elements of the review.
“We don’t think Ding violated the agreement between Cisco and Huawei, which had a negotiated confidentiality provision in it,” it said. “Cisco’s general counsel’s selective and misleading cropping of a confidential report from the Neutral Expert may have violated that provision.”
Huawei added that it would consider releasing more information on the case, though, in an effort to paint a more complete picture of the case.
“However, since Cisco has put selected snippets into the public domain, the truth may require that more than carefully selected quotes be put in the public record. Huawei is exploring the best way to accomplish that goal,” it said.
GM Adds IT Jobs
General Motors Co said on Monday it will add 1,500 jobs at a new software development center in Michigan as part of the U.S. automaker’s previously announced plan to move information technology work back into the company.
GM said it will hire the software developers, database experts, analysts and other IT positions over the next four years for the office in Warren, Michigan. It is the second of four software development centers GM plans to open, following one it announced last month in Austin, Texas.
In July, the Detroit automaker said it would reverse years of outsourcing IT work. GM now outsources about 90 percent of its IT services and provides the rest in-house, but it wants to flip those figures in the next three to five years.
The IT overhaul is spearheaded by GM Chief Information Officer Randy Mott, who outlined the plan to GM’s 1,500 IT employees in June. The former Hewlett-Packard Co executive believes the moves will make GM more efficient and productive.
GM, which has not disclosed the cost or savings of its strategy, plans to cut the automaker’s sprawling list of IT applications by at least 40 percent and move to a more standardized platform. GM will also simplify the way it transmits data.
Oracle And Nokia Make A Deal
October 10, 2012 by admin
Filed under Around The Net
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Nokia Oyj has agreed to grant Oracle Corp’s customers access to its mapping products, as the wireless phone company attempts to expand its location services business.
The Finnish company, which bought the world’s largest digital mapping firm, Navteq, in 2008, has been looking for ways to boost the business
and recently signed mapping deals with Groupon Inc and Amazon.Com Inc.
In stark contrast with Nokia’s troubled mobile phone operation, sales at the location business grew last quarter, though it still generates only 4 percent of group revenue.
Oracle has developed a link between its own software and the Nokia Location Platform software, Nokia said on Monday. This enables the U.S. company’s business users to access the mapping services through its products.
Financial details of the deal were not disclosed, but Nokia said Oracle users would license Location Platform from Nokia for use in Oracle applications.
“Nokia has been on a mission for the last 18 months to sign mapping and location deals with large internet players. The deal with Oracle extends this,” CCS Insight analyst Martin Garner said.
Last week Apple publicly apologized after customer complaints about errors in its maps, which have been put on its latest phone operating system instead of Google Inc’s mapping service.
Cisco Gives Employees The Boot
Network equipment maker Cisco Systems said on Monday that it plans to eliminate about 1,300 jobs as part of ongoing efforts to restructure the company.
“We are performing a focused set of limited restructurings that will collectively impact approximately 2 percent of our global employee population,” the company said in an emailed statement.
These actions are part of a continuous process to simplify the company and assess the economic environment in certain parts of the world, it said.
Cisco had 65,223 employees at the end of its fiscal third quarter, according to its website.
Cisco last year started a plan to cut expenses by $1 billion in an effort to make the company leaner and more efficient.
Motorola Xoom Sales Better Than Expected
May 2, 2011 by admin
Filed under Consumer Electronics
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Motorola Mobility shipped 250,000 Xoom tablets in the first month the device was released, the company said on Thursday as part of their first-quarter earnings report.
The tablet, the first to run Google’s Android Honeycomb OS, went on sale in February. Within weeks, several analysts said early sales numbers were disappointing. By early April, one analyst estimated that Motorola had sold a total of 100,000 of the tablets.
Shipping a quarter of a million in a month isn’t quite the same as Apple first iPad shipment, but the number appears to be better than most had expected.
For the full year, Motorola is expecting to sell 1.5 million to 2 million tablets, it said. It plans to introduce new tablets, including some with new form factors, this year, executives said during a conference call to discuss first-quarter results.
During the quarter, Motorola Mobility also began selling the Atrix, a phone that can be docked into a device with a full keyboard and monitor. Some analysts have also said sales of the Atrix are unimpressive.
The company did not release Atrix sales numbers separately. It said it shipped 9.3 million mobile devices, including 4.1 million smartphones, during the quarter.
Motorola expects to record an operating profit for the full year, but faces challenges ahead. It has delayed the launch of the Bionic, its first LTE device, and on Thursday said the delay is related to a software problem. That same problem is also pushing back the launch of LTE on the Xoom, which was initially expected for the first half. Both the LTE Xoom and the Bionic are now expected to come in “summer,” which in North America could be as late as September.
NFC Support Coming to Windows Phone 7
April 3, 2011 by admin
Filed under Smartphones
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Microsoft is adding support for NFC (near field communication) to its Windows Phone mobile operating system, according to a report on Bloomberg Businessweek. NFC technology is a key component to the upcoming mobile payment and mobile wallet systems now reportedly under development at Google, RIM and Apple as well as the new carrier-led initiative Isis, a coalition of three of the four major cellular providers here in the U.S.
Support for NFC technology in Windows Phone 7 will be pushed out in an update to Microsoft’s mobile operating system, sources told Bloomberg reporters. Those updates may arrive sometime this year.
Bloomberg says that the addition of NFC is an effort to close the gap between Microsoft and Google, the latter which is currently the leading smartphone platform here in the U.S., and, according to at least one analyst firm, worldwide.
Google’s Android mobile operating system added in NFC support in the release code-named Gingerbread (Android 2.3) and has incrementally added new capabilities since then to broaden its feature set. In February 2011, for example, an update delivered the ability to both read and write to standard NFC tags, whereas before the NFC support was read-only.
Android To Control Smartphone Market By 2016
April 1, 2011 by admin
Filed under Smartphones
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Android will be the operating system of choice for 45% of smartphones shipped by the year 2016. It will take up most of the market share vacated by the soon-to-be exiting of Nokia’s Symbian operating system, according to figures released today by ABI Research.
Although Android will come to be the dominant player in the smartphone market, this doesn’t mean that OSes will necessarily see a big cut in their own market shares, ABI said.
In fact, the firm projects that Apple’s iOS will see its market share rise from 16% in 2010 to 19% in 2016, while Research In Motion’s BlackBerry OS is expected to fall slightly from 16% in 2010 to 14% in 2016. Microsoft’s Windows Phone 7 and Samsung’s Bada will also be players in the 2016 smartphone market, as ABI projects those two operating systems to take 10% and 7%, respectively.
ABI vice president Kevin Burden says that although RIM stands to lose a bit between now and 2016, the company will carve a comfortable niche for itself in the enterprise market, as enterprise users will still need the security provided by RIM’s network operations center.
“RIM’s slight loss of share doesn’t mean falling shipments,” he says. “RIM has found its niche, but the consumer market will grow faster than its portion of it.”