"Cisco Shares Fall After CEO Talks About Competition" From Bloomberg :
San Jose, California, Aug 7. (Bloomberg) -- Cisco Systems
Inc. fell 2.5 percent after Chief Executive John Chambers told
analysts the No. 1 computer networking maker faces stiff
competition in the telecommunications equipment market.
Cisco fell 2 1/2 to 96 7/8 in of 15.3 million, making it the
third most active stock in U.S. markets. Earlier, shares touched
96 9/19.
Cisco is pushing into the market for Internet equipment sold
to phone companies and Internet service providers. As it does,
it's facing entrenched phone equipment suppliers, such as Lucent
Technologies Inc. and Northern Telecom Ltd., who are much bigger
than Cisco.
''Cisco is positioning itself against the big boys,'' said
Farrokh Billimoria an analyst at Hambrecht & Quist LLC, who rates
Cisco ''buy.''
Chambers told analysts at the Networking Connections
Conference in Santa Clara, California, ''this is a big challenge
for us.''
The company will need to improve the reliability and scope
of its products to compete in the new market, Chambers said.
Mang |
