Smart connections: The transformation of networking giant Cisco

By Heather Clancy | Jul 6, 2009 |

I think it was Sun Microsystems that originally coined the mantra “the network is the computer.” But networking giant Cisco is doing everything it can to go way beyond that idea, attempting to position networking technology as nothing less than the central nervous system for every company, community, building, government. You name it, Cisco wants a piece of it.

A few months back, Cisco made a major public overture toward this mission with the launch of the EnergyWise technology platform. Essentially, this is a product line that helps Cisco networking equipment gather information from networked facilities equipment, such as heating, ventilation and air conditioning equipment.

Since that time, it’s become increasingly apparent that Cisco is undergoing a major philosophical shift as far as how it is positioning its core product to participate in what it views as a profound change in how organizations view information technology. Rather than sitting on the periphery of business operations as part of the IT department, Cisco and many other high-tech giants, notably IBM, are trying to claim a seat at the board table. In their minds, information technology is integral to the next wave of economic growth and development. But if it remains sequestered only in the CIO’s bag of tricks, the true potential cannot be realized.

The latest news related to Cisco’s Smart Connected Buildings vision is a new product called the Network Building Mediator. The device, which is priced starting at $4,995, is intended to help building managers measure, monitor and act on information collected from their energy systems. It uses XML and other open-system protocols to communicate with this equipment. Cisco has inked alliances with at least 20 technology companies that will help it develop integrated solutions that use the device.

For more background on the strategy behind this stuff, here is Cisco Executive Vice President Wim Elfrink in a video that was released with last week’s launch.

It should be interesting to see how Cisco brings its tradition network integrator and VAR sales partner channel into this. Most of them have few, if any ties into the sorts of departments where Cisco will need to sell these technologies. Yet, they are the logical channel through which to get this deployed. Indeed, one of my main concerns with many of the corporate sustainability programs that are being adopted by major companies today is that they are islands on themselves and haven’t trickled over into key supply chain partners. I know there are many managers that DO have this on their mind, but I wonder how many of Cisco’s VARs REALLY care about this stuff right now, given their current economic plightl.

And that brings me to my last point, a disclosure. I do some consulting work with a division of Cisco that is dedicated to forging tighter ties with its sales channel (IT resellers, VARs and so on). Through the relationship, I haven’t been involved with anything related to the technology I’ve just referenced in this posting but I want to make you aware of that relationship, nonetheless.

 

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Heather Clancy

Heather Clancy is an award-winning business journalist in the New York area with more than 20 years experience covering the high-tech industry. She has a passion for green IT and regularly covers business technology issues and trends. Her articles have appeared in Entrepreneur, Fortune Small Business, The International Herald Tribune and The New York Times.

Clancy previously was editor at Computer Reseller News, the leading B2B trade publication covering news and trends about high-tech channels of distribution. In that role, she set editorial direction and led a staff of close to 30.

While at CRN, Clancy was the featured speaker on dozens of video netseminars, covering a wide range of topics including Software as a Service, managed services, convergence, IT security, mobile computing and high-tech channel program strategy. She has moderated numerous conference panel discussions and roundtables, and frequently was rated the top session facilitator at CMP Media's XChange conferences.

Prior to joining CRN, Clancy was a business writer with United Press International, where she covered everything from corporate mergers to the early days of the high-tech industry. She holds a B.A. in English literature from McGill University in Montreal, Quebec, and is a graduate of the Stanford Professional Publishing Course.

Heather Clancy

I’m sure cynical investigative reporters would discover that my lifestyle is about as sustainable as the average American, which is to say not so much. But I try. Really hard. Honest. And writing publicly about what the high-tech industry is actually doing to get greener or more sustainable is one way I figure I can contribute more meaningfully to the effort. I’m also a big OMG-kind-of-fan of smart leadership, which is why the goodly folks who publish this blog let me go on about this topic and why I am always on the hunt for forward-looking business management ideas.

My freelance hours are focused on looking for topics for my blogs, GreenTech Pastures and Business Brains, and writing articles for mainstream publication. I also contribute articles and blogs about VARs, resellers and systems integrators that deploy IT solutions for media company Tech Target. Occasionally, I’ll pop up at an industry conference in some sort of speaking capacity. In cases where a speaking engagement involves a sponsor that may be covered in this blog, this will be disclosed in coverage as appropriate.

My consulting activities include a relationship with SWOT Management Group, a firm in New Jersey that provides high-tech channel strategy and sales engagement insight to high-tech vendors. In the event that my commentary (in written, audio or video form) mentions a company for which I have provided consulting advice, I will disclose that fact. However, there is no connection between these projects and the topics that I’m covering in my blog.

Joe McKendrick

Joe McKendrick is an author and independent analyst who tracks the impact of information technology on management and markets. Joe is also SOA community manager for ebizQ, and speaks frequently on Enterprise 2.0 and SOA topics at industry events and Webcasts. He also serves as lead analyst and author of Evans Data Corp.'s highly regarded bi-annual SOA/Web Services and Web 2.0 surveys. Joe writes a regular column for Database Trends & Applications, and has authored numerous research reports in partnership with Unisphere Research for user groups such as SHARE, Oracle Applications Users Group, and International DB2 Users Group. In a previous life, Joe served as director of the Administrative Management Society (AMS), an international professional association dedicated to advancing knowledge within the IT and business management fields.

Joe McKendrick

Joe McKendrick is an independent consultant and editor. Joe has performed project work for the following companies in the IT marketspace: IBM, Systinet/HP, Teradata. He has performed project work for the following organizations in partnership with Unisphere Research (Unisphere Media): IBM, Oracle Corp., International Oracle Users Group, Oracle Applications Users Group, Professional Association for SQL Server, International DB2 Users Group, International Sybase Users Group.
Business Brains focuses on management issues that revolve around the key question: How do I make my business, family, and coworkers smarter? The blog examines the management issues facing a variety of businesses and debunks the technology you need to know