Networker plans in Asia. No specific ASND reference
[Could really help 2H98 ASND sequential growth]
Excerpt: "He [CSCO operations VP in Asia] forecast that sales in Asia this year would rise by more than 50 per cent, noting that the telecoms and enterprise markets would be the drivers of growth.
To: mindmeld (13221 )
From: JRH
Wednesday, Apr 8 1998 5:11PM ET
Reply # of 13226
<NAR>
To all:
I came across this story today. I think that you will find it of interest:
from Business Times on 16 Mar 1998:
Cisco, 3Com and Bay Networks expanding in Asia
Opening of new facilities and manpower boost despite regional crisis
Networking leader Cisco Systems and its main competitors, 3Com and Bay
Networks, are expanding their operations in Asia despite the financial turmoil.
Cisco plans to open new facilities in Singapore and the region, said William Nuti,
operations vice-president of Cisco Asia last week........ The most ambitious is
Cisco. Mr Nuti said the company would more than double its staff in Singapore to
85 by July this year. And for the next financial year ending July 1999, the staff
strength would be boosted to 125.
Mr Nuti said it was "most likely" that Cisco would have to move its Singapore
office in Wheelock Place to bigger premises next year.
In the region, the biggest growth in staff strength would be in China. Cisco will
hire "well over 100" new employees by July, raising staff strength to more than
250. Another 100 is expected to be added by FY99.
Mr Nuti said Cisco would be setting up a technical assistance centre in China in
the next 12 months. "We want to prepare ourselves for much larger growth."
He conceded, however, that the regional turmoil had affected Asia's contribution
to group revenue. For the quarter ended Oct 25, 1997, Asia's contribution
(including Japan) to revenues shrank to around 12 per cent from the usual 15 per
cent. Cisco posted full-year revenue of US$6.4 billion (S$10.3 billion) for the year
ended July 26, 1997.
But Mr Nuti said: "Although our Asian growth has slowed, it has not slowed to
the extent that we are thinking of retrenchment. Markets are cyclical. This crisis
will end. Our investments in Singapore are for the long term. We hope to take
away market share from our competitors in Asean."
He forecast that sales in Asia this year would rise by more than 50 per cent,
noting that the telecoms and enterprise markets would be the drivers of growth.
He pointed out that Thailand, Malaysia and Indonesia were continuing to
invest in telecoms despite being hit by the currency crisis.
Cisco has traditionally been supplying data networks to companies and recently
expanded to the telecoms market by merging voice with data networks.
Mr Nuti said Cisco would be shortly announcing some new Asian customer
contracts in the voice telecoms area. |
