Slashdot Mirror
Amazon Plans To Challenge Cisco in Networking Market With Much Cheaper Switches, Report Says (theinformation.com)
Amazon Web Services already dominates the market for cloud services. Now, reports The Information, it is eyeing a part of the cloud business it doesn't already control: the $14 billion global market for data center switches [Editor's note: the link may be paywalled; alternative source]. From the report: AWS is considering selling its own networking switches for business customers -- hardware devices that move traffic around networks, according to a person with direct knowledge of the cloud unit's plans and another person who has been briefed on the project. The plan could plunge Amazon more deeply into the lucrative enterprise computing market, posing a direct challenge to incumbents in the business like Cisco, along with Arista Networks and Juniper Networks.
As it does in many other categories, Amazon plans to use price to undercut rivals. The company could price its white-box switches between 70% and 80% less than comparable switches from Cisco, one of the people with knowledge of the program estimated.
As it does in many other categories, Amazon plans to use price to undercut rivals. The company could price its white-box switches between 70% and 80% less than comparable switches from Cisco, one of the people with knowledge of the program estimated.
This is why Cisco purchased (2003), absorbed, destroyed, and released (2013) Linksys - their higher end devices were able to replace a growing percentage of the switches and routers being marketed towards smaller businesses. M&A is a very successful way to kill a competitor in the US, GOV rarely cares and is for sale, and the investors rarely care after they cash out. But Cisco can't afford Amazon. High end switch market has been a mess, software configured networking is eating it alive, and its amazing what you can do with a simple Docker network. Be nice to see someone with a budget release some cheaper hardware where we still need actual hardware.
I heard the same thing about John Deere growing up. That John Deere was just green paint and a lot of snobbery.
Here's what I learned, farmers and ranchers are businessmen. They need to get work done like every other business. Downtime costs money. John Deere tractors still break down, get stuck in the mud, wear out, etc. It's that the competition do this more often. There's still some snobbery and such in there, John Deere tractors can have leather seats and built in refrigerator. They spend the money on the "green paint" because it gives them more return on their investment.
Is Cisco just a name? Maybe that's true now but they can only get to be "a name" by proving to be better over time. No one Is GMC just a name? Is Apple? Businessmen buy this stuff because it makes them money. If Cisco stops making people money, or rather they can make more money with someone else, then Cisco will disappear. Same goes for Apple, John Deere, and GMC.
I am armed because I am free. I am free because I am armed.
Sure, but in 5 years to you expect you will find much equipment that is 5 years old today left in operation? If so, is it at its "smashing point?" (Smashing point is where it is cheaper to replace something that works for something new with better performance.)
Well, at least until their recent fascination with DRM in their equipment.
... so long as you don't mind waiting 6 weeks for an RMA when your Ubiquiti unit fails. Never again.