Cisco Partners for Asia-Pacific Advantage

December 5, 2005 - It may not jump out at you at the time, but Cisco Systems, Inc. 7 partnership, in the last month with China telecom giant ZTE shares limited the company has the potential to improve Cisco Standing Committee of the Red Hot Asia - Pacific region. Although it is not clear the two companies have a very good idea, but they do not have to collaboration.

Conclusion, Cisco and ZTE signed an agreement to jointly develop business opportunities in the telecommunications service provider market in China and In other parts of Asia - Pacific - except Japan.

Dihanmakushi, a senior analyst for telecommunications infrastructure, the consultants analysis that many potential benefits, a think Branch / ZTE pairing. The same, However, Marcoux is not his first touch than just what the two partners have at the store. "May be some significant synergies, matching available, but the company has provided any details to their are prepared to do so. This gives the impression that the defense, instead of a strategic foresight, "he argues that, if nothing, Marcoux that the agreement may help shore of the competitive position of the two providers in the Asia - Pacific region.

"Unique contribution of each product and / or channel edge, the lack of other , which could prove to be very important, if executed intend to, "he says. But the promise of such an matching is to reduce to a large extent on uncertainties, Marcoux said. "[T] he scale and timetable, Cisco - ZTE partnership Asia is not clear, even to the principals themselves. Once the two vendors has come up with a convincing game plan, and access to markets, other vendors and potential customers may be started to take closer notice. " The deal may affect Ciscos relationship with other partners there are also strong in China, Marcus suggested. "Ciscos existing system and services channel partners, such as Ericsson and Lucent and Siemens ... [which showed that its need to increase its business in China] to consider whether and how ZTE partnership, it will affect their activities, and whether they need to revisit their own partnering strategy in the region, "he wrote, in the long run, the transaction may be a military coup, for the Asia-Pacific regional carriers , which would help improve its choice and influence. "Potential operator customers in the region should use the possibility of Cisco and ZTEs future technical cooperation so as to household appliances their own technical requirements to the development of the two sides manufacturers organizations, "Marcoux ended," and its biggest competitor in the Joint in the region, Huawei Technologies, has become well known, its willingness and capacity to carry out major Custom development of the system to deal with, so, at this level cooperation may be required to make the Cisco / ZTE alliance worth end-users, rather than deal with these issues separately from functioning normally. "- Stephen swoyer