Second Quarter, FY'06 Fact Sheet

Cisco's fiscal year 2006 second quarter was characterized by the introduction of three new advanced technologies - hosted small business solutions, digital video and application networking services - and a new architecture for building an Intelligent Information Network for the enterprise called the Cisco Service-Oriented Network. Cisco also announced a definitive agreement to acquire Scientific-Atlanta, a leading global provider of set-top boxes, completing Cisco's end-to-end quadruple play solution for networks and the home.

Cisco achieved significant technology innovations and customer wins across all target markets: Enterprise, Service Provider, Commercial (small- and medium-sized businesses), and Consumer/Home Networking. Worldwide customer wins in IP Communications/VoIP, routing, switching, security, wireless, storage area networking (SAN) and optical continued across all vertical industries. Cisco continued to see momentum in the service provider market as well, with new contracts from Comcast, Bell Canada, Shanghai Telecom, China Telecom, Telstra, and SaskTel.

Affirming the company's ongoing leadership in enterprise IP Communications, Synergy Research recently named Cisco the number one supplier for the overall global enterprise voice market (TDM & IP), based on revenue for the first three quarters of calendar year 2005.

Following are significant highlights from the past quarter:

Enterprise Market, Customer and Partner Highlights:

• Virgin Entertainment Group and Hannaford Bros. Co. selected the Cisco Intelligent Retail Network to increase store-level productivity and simplify operations.
• U.S. Health and Human Services Department selected Cisco to work with other technology firms to develop prototypes for a Nationwide Health Information Network (NHIN) architecture.
• Northrop Grumman teamed with Cisco to provide IP-based rich-media communications to the Department of Defense through the Defense Information Systems Agency (DISA).
• Cisco announced large-scale wireless local area network (WLAN) deployments at Purdue University, University of Wisconsin, and William & Mary College.
• Karolinska University Hospital, Sweden's largest, is deploying a Cisco Medical-Grade Network solution to help improve healthcare services delivered to patients.
• Cisco's optical and storage area networking (SAN) technologies will help Allianz Hungary extend its business continuity infrastructure, reduce operational risk and address industry compliance guidelines.

Commercial Market, Customer and Partner Highlights:

• Cisco SMB Select and Gold Certified channel partner, AOS Global Solutions, deployed Cisco IPC solution, complete with customized XML applications, for Tri-State Water Treatment, in Cape Girardeau, Missouri.
• Cisco Gold Certified Channel Partner HP, deployed a wireless IPC solution for the largest distributor of heavy-duty truck and trailer parts in Atlantic Canada, Parts for Truck.
• Cisco SMB Select channel partner, PCMS IT Advisor Group, provided LaRossa Pizzeria with new high-speed network solution.
• Cisco Gold Certified partner NexInnovations deployed Cisco's IPC solution across the Calgary Public Library, improving customer service while reducing cost.

Channel Partner Highlights:

• Cisco helped channel partners accelerate the upgrade of aging networks with the introduction of Foundation Advantage for Channel Partners, its first integrated channels program designed to help channel partners assess and upgrade customer networks.
• Cisco introduced the Steps to Success channel partner web portal, providing channel partners access to Cisco Lifecycle Services methodology to make deployment of advanced technologies faster and simpler.

Service Provider Market, Customer Highlights:

• Comcast selected the Cisco CRS-1 for its integrated national delivery platform for broadband, communications, video entertainment and future cross-platform services.
• Bell Canada signed a multi-year contract with RBC Financial Group, Canada's largest financial institution, for a managed IP Communications Solution.
• Shanghai Telecom became the first telecommunications carrier in China to deploy the Cisco CRS-1 as part of its Cisco® Internet Protocol Next-Generation Network (IP NGN).
• China Telecom adopted the Cisco CRS-1 to integrate the supercore network nodes of ChinaNet, the largest Internet Protocol (IP) service network in China.
• Telstra, Australia's principal telecommunications company, selected Cisco's CRS-1 to provide a carrier-class foundation for a converged "triple play" network.
• SaskTel is driving expansion of advanced services by furthering development of its Cisco IP NGN featuring the Cisco CRS-1 and Cisco IOS XR software.
• Cisco demonstrated significant momentum in B-RAS deployments, reporting over 50,000 Broadband Aggregation Routers for Triple Play Services.

Consumer/Home Networking Highlights:

• Linksys announced a new line of SIP-based telephony products for Internet Telephony Service Providers (ITSPs) targeting large residential, SOHO and very small business customers.
• Cisco debuted three products from its Linksys division that address some of the hottest trends in home networking: streaming audio, network storage and security, at the International CES 2006 show.
• Linksys announced two new Power over Ethernet (PoE) Wireless-G access points to enable high-speed, highly secure wireless access for small business environments both indoors and out.
• Symantec's Norton Internet Security 2006 will ship with all Linksys wired and wireless routers to further protect customers from online hackers, viruses, and other Internet risks.

Product and Technology Innovation Highlights:

• Cisco announced a definitive agreement to acquire Scientific-Atlanta and added Digital Video to its portfolio of advanced technologies.
• Application Networking Services became a new advanced technology, demonstrating the growing customer demand for improved interaction of applications with enterprise networks.
• Cisco unveiled an intelligent wireless "mesh" solution to enable municipalities to provide high-speed wireless network and Internet connectivity services.
• Cisco launched Linksys One, a complete communications solution for small businesses; Hosted Small Business System (Hosted SBS) becomes a new advanced technology.
• Synergy Research ranked Cisco as the number one supplier in the global enterprise voice market, based on revenue for the third calendar quarter of 2005.
• Cisco Systems announced a definitive agreement to purchase components of Cybertrust's security intelligence information service, known as Intellishield Alert Manager.
• Cisco announced the availability of the Cisco Network Application Performance Analysis (NAPA) solution, an innovative portfolio of network management products and customer support services.
• Cisco announced further momentum in development of the Network Convergence Layer of its IP NGN architecture with the introduction of support for Internet Protocol over Dense Wavelength Division Multiplexing (IPoDWDM) on the Cisco CRS-1.
• Cisco demonstrated continued momentum in service provider leadership by enhancing the open Service Exchange Framework (SEF) of its IP NGN architecture with a series of new and enhanced products offering comprehensive support for all IP applications, including those delivered over an IP Multimedia Subsystem (IMS).

More information:

To read the announcements for the technology innovations and customer wins visit News@Cisco's news release archive.