The Latest in IT Security

Analysis: Some Cisco investors urge an exit from set-top box unit

11
Dec
2013

By Sinead Carew NEW YORK (Reuters) – Cisco Systems Inc Chief Executive John Chambers is facing growing pressure from investors to exit its television set-top box business, where revenue has been plummeting and profit margins trail the rest of the company. The problem is that there are few obvious buyers for the unit – the former Scientific Atlanta that Cisco bought for $6.9 billion in 2005 – so Chambers might have no choice but to close the business, analysts said. Cisco stunned the market on November 13 by warning that revenue would fall as much as 10 percent this quarter and keep declining for several quarters. It blamed everything from emerging economy weakness and political backlash in China to company-specific problems, such as market share losses in network equipment and declining sales in set-top boxes.

Comments are closed.

Categories

FRIDAY, APRIL 19, 2024
WHITE PAPERS

Mission-Critical Broadband – Why Governments Should Partner with Commercial Operators:
Many governments embrace mobile network operator (MNO) networks as ...

ARA at Scale: How to Choose a Solution That Grows With Your Needs:
Application release automation (ARA) tools enable best practices in...

The Multi-Model Database:
Part of the “new normal” where data and cloud applications are ...

Featured

Archives

Latest Comments