Cisco hopes for a networked home

Cisco Systems Inc. Tuesday outlined some plans regarding partnerships and acquisitions through which it aims to attain the top position in the market. In a short span of three years, Cisco plans to be the major force in the lives of consumers with the help of technology that will unite Web services in homes, cars and mobile devices.

During a presentation at the 2007 Consumer Electronics Show in Las Vega Chief Executive John Chambers laid out Cisco's vision for "a network of networks" that will create opportunities for more revenue.

According to Chambers, the last decade saw entertainment shift from analog to digital and the coming few years will be about smoothly networking together the consumer electronic devices to enable people to use easily and safely, any device anywhere.

"We said 15 years ago when I first came to Cisco that the Internet and networking would change the way the world lives, works and plays," Chambers said. "We intended that if we were successful, we'd create the ability for products to be shared across any network. We outlined a strategy for the enterprise, then service provider and commercial markets. And today we outline for you why we will be the leader in the networked home."

The new technology could involve switching of a song from a device in the home to a cell phone to the car as a consumer moves around or advanced video conferencing while watching television with friends and family in different locations. Calling it ‘The Human Network’, Chambers said Cisco had the ability to make it possible.

Cisco has been aggressively moving into several new markets and has earned first or second place in each while most other companies strive to take the top position in a single market, said Chambers, emphasizing on Cisco’s track record in implementing its strategy to become a leader in new markets.

Citing examples of the company’s endeavor to achieve its goal, Chambers mentioned its acquisitions of home network gear maker Linksys and set top box maker Scientific Atlanta.

“We believe in collaboration for a common win-win,” Chambers said. “It will be a healthy give and take...that will (ultimately) generate a lot of money for everyone involved.” Cisco shares closed down 10 cents at $28.50 Tuesday.