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Ned Hooper, Senior VP-Corporate Development and Consumer Groups, Cisco:
Has Cisco shared its roadmap on how it will tap the consumer visual
networking market with its solution provider community, in terms of new product
launches, updating its current channel programs, enhancing training offered to
partners, creation of new channel tiers, etc?
As articulated at CES 2009, Cisco is strongly committed to the consumer
space. The Pure Digital acquisition is an extension of Cisco's strategy to
capitalize on the consumer market transitions to the Media Enabled Home and
Visual Networking. At the CES, Cisco introduced its next generation of connected
devices that extend the intelligence of the network to deliver new entertainment
and communication experiences. Pure Digital's products and technology will be a
great addition to Cisco's consumer product portfolio, as the company focuses on
delivering the next generation of consumer experiences.
Why should solution providers the world over and especially in India be
enthused about this Cisco gameplan to tap the video, entertainment and
convergence market? How do they stand to benefit with this initiative?
The Pure Digital acquisition is very much part of Cisco's consumer customer
strategy and should be considered as such. However, innovative consumer
technologies do have relevance to the service provider market since consumers
make up such a large amount of most providers' customer base. The more consumers
adopt visual networking, the more likely consumers will subscribe to higher
capacity connections and the more relevant their choice of providers will be
since quality video delivery is not only challenging but also a great
competitive differentiator for service providers. In the future, as more and
more devices become connected to the mobile Internet, the product set of Pure
Digital could also potentially bring unique service monetization opportunities
for providers as well.
Will the existing Flip Video resellers also be absorbed into the Cisco
Consumer Channel Network? If yes, then will this not minimise the opportunities
for the Linksys' partners, post this merger. Additionally, will it not create a
bloated channel network since Flip partners will get added to the Cisco channel
as well?
Today Pure Digital's products are sold and shipped within the US/Canada and
the United Kingdom and available on the web, via retail stores and through
online retailers. Initially, the Pure Digital sales team will continue to
conduct sales of the Pure Digital product. Over time as the roadmap evolves
opportunities for Cisco Consumer Business Group engagement will evolve.
Jonathan Kaplan, Chairman and CEO, Pure Digital
According to a press statement “the Pure Digital purchase falls in line with
Cisco's build, buy and partner strategy to move quickly into new markets and
capture key market transitions.” Is India one of these new markets?
With the explosion of video sharing now expanding internationally on sites
like YouTube, MySpace, and Facebook, Flip Video is positioned to be the on-ramp
for mainstream consumers to participate in this exciting new area of
communication. Cisco's global presence and wireless networking expertise present
opportunities for near-term expansion and long-term product innovation that can
help Flip Video become the worldwide leader in this arena.
What changes will take place in Pure Digital post this Cisco merger?
Pure Digital currently has 102 employees. Cisco acquires companies as much
for the people as for the technology. Our acquisition strategy is based on
growth and that requires the retention and development of the talent that is
acquired.
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