Cisco Networks The Video Revolution

By David Fierce
15:51, December 9th 2008
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Cisco Networks The Video Revolution

Cisco Systems announced on Monday that it has released a new architecture and strategy that aims to improve users’ video content experience on any device. The company will exhibit its new technology and the way it will be implemented at the annual C-Scape conference in San Jose, California, on Tuesday.

This announcement is not a surprise because Cisco had done several steps in the internet video market. In 2006, the company bought Scientific Atlanta for a whopping $6.9 billion. One year later, Cisco also bought Arroyo, a video service company. Cisco also released Telepresence, which recreates a virtual boardroom through high-definition video capture.

Cisco is confident about its approach on the users’ needs regarding video streaming through the Internet, as David Hsieh states that the company has “an opportunity to add a set of new technologies and new devices to the network that are specifically designed for video." The new video-focused networking architecture is on par with statistical studies, which predict that video content will have a bigger share in users’ activity in the following years. Estimates say that there will be about 4 billion video streams per month on the Internet by 2012.

It is easy to see that the project will be a success, considering that nowadays many people browse videos on YouTube or Hulu.com routinely and, therefore, the bandwidth demand is very high. Also, there are the cable operators that deliver high-definition content over their own networks and they need to do this efficiently.

It may be easy to convince end users that they need optimized video streaming, but Cisco faces a big challenge at making corporate users to consider video-optimized networking as a useful addition. According to Zeus Kerravala, vice president at the Yankee Group, Cisco has to market this product “as an important collaboration tool that will change how they interact internally as well as with their customers and partners."

Kerwalla also stated that, if Cisco manages to draw the big costumers in this business, this would attract important revenues for the networking company. More than that, he pointed that adding important video content to a network “can drive a whole new upgrade cycle” and revolutionize the entire computer domain.

 



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