And indeed, Wireless LAN or WiMAX is another area from which Cisco India has a lot of expectations fro
m. It even acquired Navini Networks, Inc. – leader in the Mobile WiMAX 802.16e-2005 broadband wireless industry. Wadhwa very confidently says that, “through this acquisition, we are looking at expansion in the WiMAX area and wireless market in a very big way.” However, Gartner, in its report, cautions that India will remain a niche market for this technology until 2009. Naresh Singh, Principal Research Analyst, Gartner says, “By January 2008, India had only 3.4 million broadband subscribers, far short of the target of 9 million by 2007 set by the broadband policy. Given the low levels of PC penetration in India, there will be a limited demand for WiMAX and the country-specific mobile broadband framework makes a nationwide rollout of WiMAX cost prohibitive."
As Wadhwa admits, penetration is the key challenge. Cisco decisively leads the Indian market in routing and switching with 84.08% share in routers and 75.14% share in switches (Q4 CY2007 IDC LAN Tracker). In terms of advanced technologies, it has a share of 21.1% in WLAN (Q4 CY 2007, IDC), 46.83% in security, 13.4% in Enterprise Telephony and 19.6% in IP PBX (Q4 CY 2007, Frost & Sullivan). So it is nicely poised, despite intense competition from Avaya (leader in Enterprise Telephony), Alcatel-Lucent, Ericsson, Nortel, Fujitsu and Huwaei; apart from Japanese, Chinese,
Taiwanese and South Korean companies trying to make their foray. But the potential has to be tapped intelligently. Dhavse from Frost & Sullivan recommends a more vertical -based strategy. Taking the example of the Banking & Financial services sector, he states, "If we apply for a loan, wherein we submit the application in Delhi, the expert sits in Chennai and the decision regarding loan sanction needs to be taken in Mumbai. Through UC, this entire process can be made much faster and simpler and Cisco can leverage such strategies." There is also the feeling that such tools will prove handy only to large organisations and not SMBs, especially where the organisation is not widely scattered geographically.
To counter the challenge, Cisco has been adopting internal changes over the past 4 months. They are focusing both on going deeper into existing accounts & expanding into the territory. The second aspect is going upcountry, i.e. increasing spread across cities. Cisco has divided the country into four zones and then going deeper and wider. Besides, they have also set up a team that goes into market making, which evaluates latent potential. For instance, they would be looking at sunrise industry or industries where there has been a sudden de-regulation.
Ultimately its dominant position in India gives Cisco the confidence to focus its ''eagle eye'' on penetrating a challenging market with its futuristic technologies, which look like shooting in the dark currently. But surely, the scenario can change very fast and many more ''sunrise'' opportunities can spring up. In all probability; Cisco will be ready and waiting with a game-plan each time.
For Complete IIPM Article, Click on IIPM Article
Source : IIPM Editorial, 2008
m. It even acquired Navini Networks, Inc. – leader in the Mobile WiMAX 802.16e-2005 broadband wireless industry. Wadhwa very confidently says that, “through this acquisition, we are looking at expansion in the WiMAX area and wireless market in a very big way.” However, Gartner, in its report, cautions that India will remain a niche market for this technology until 2009. Naresh Singh, Principal Research Analyst, Gartner says, “By January 2008, India had only 3.4 million broadband subscribers, far short of the target of 9 million by 2007 set by the broadband policy. Given the low levels of PC penetration in India, there will be a limited demand for WiMAX and the country-specific mobile broadband framework makes a nationwide rollout of WiMAX cost prohibitive."As Wadhwa admits, penetration is the key challenge. Cisco decisively leads the Indian market in routing and switching with 84.08% share in routers and 75.14% share in switches (Q4 CY2007 IDC LAN Tracker). In terms of advanced technologies, it has a share of 21.1% in WLAN (Q4 CY 2007, IDC), 46.83% in security, 13.4% in Enterprise Telephony and 19.6% in IP PBX (Q4 CY 2007, Frost & Sullivan). So it is nicely poised, despite intense competition from Avaya (leader in Enterprise Telephony), Alcatel-Lucent, Ericsson, Nortel, Fujitsu and Huwaei; apart from Japanese, Chinese,
Taiwanese and South Korean companies trying to make their foray. But the potential has to be tapped intelligently. Dhavse from Frost & Sullivan recommends a more vertical -based strategy. Taking the example of the Banking & Financial services sector, he states, "If we apply for a loan, wherein we submit the application in Delhi, the expert sits in Chennai and the decision regarding loan sanction needs to be taken in Mumbai. Through UC, this entire process can be made much faster and simpler and Cisco can leverage such strategies." There is also the feeling that such tools will prove handy only to large organisations and not SMBs, especially where the organisation is not widely scattered geographically.
To counter the challenge, Cisco has been adopting internal changes over the past 4 months. They are focusing both on going deeper into existing accounts & expanding into the territory. The second aspect is going upcountry, i.e. increasing spread across cities. Cisco has divided the country into four zones and then going deeper and wider. Besides, they have also set up a team that goes into market making, which evaluates latent potential. For instance, they would be looking at sunrise industry or industries where there has been a sudden de-regulation.
Ultimately its dominant position in India gives Cisco the confidence to focus its ''eagle eye'' on penetrating a challenging market with its futuristic technologies, which look like shooting in the dark currently. But surely, the scenario can change very fast and many more ''sunrise'' opportunities can spring up. In all probability; Cisco will be ready and waiting with a game-plan each time.
For Complete IIPM Article, Click on IIPM Article
Source : IIPM Editorial, 2008
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