Cisco sees growth in routing and switching market this year


  • Business
  • Saturday, 15 Mar 2003

CISCO Systems (M) Sdn Bhd sees the routing and switching market to remain as a major growth area, contributing between 40% and 50% to its profits this year, said its director of channel operations, Choi Chik Choy. 

“Although the majority of Cisco clients, such as telecommunication companies, are cautious in their expenditure, we do not see this trend affecting the company's profits because there are positive indicators that corporate spending would resume,” he said at a press conference after awarding Cisco's gold partner certification to IBM Malaysia Sdn Bhd in Kuala Lumpur yesterday.  

The certification would allow IBM Malaysia to implement Cisco solutions in the country, particularly in the network management services.  

IBM is among four companies in Malaysia to be certified as Cisco's gold partner. The other gold partners are Hewlett-Packard Sales (M) Sdn Bhd, Datacraft (M) Sdn Bhd and Getronics Solutions (M) Sdn Bhd.  

IBM country manager for global services Chew Chuan Chin said the certification would boost the company's integrated technology services. He forecasts the Internet protocol telephony and wireless market to be the growth areas for IBM this year. 

On the certification, Chew said: “Looking at the local technology industry, we are seeing more customers in the IT industry who are looking for qualified partners to look after end-to-end solutions. So, it is important for IT solutions providers to be certified in all IT areas.”  

“There is a set of standard and expectation from the vendors and we are definitely well poised to face the clients' requirements,” he added. 

Quoting an International Data Corp report, he said the current local market value for technology services stood at US$537mil, with a projected compounded annual growth rate of 22% from 2001 until 2006. 

Meanwhile,IBM Malaysia Sdn Bhd country manager for personal computing division Bernard Chiang expects the mobility trend among working professionals to be the key driver in the sales of the company's T- and R-series ThinkPad notebooks this year.  

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