Cisco revenue in the Russian market is reduced due to sanctions
The American company Cisco revenues in the Russian market decreased by 14%. According to the company's statements, revenue from August 2014 to January 2015 decreased by 20%. Cisco's annual revenue fell 24% by the end of last year.
The main reason for the fall in sales are retaliatory sanctions of Russia. However, supply problems also played a role.
Because of this, Asian manufacturers ZTE and Huawei have increased their influence in the market.
The head of Asteros infrastructure and telecommunications solutions, Valery Sokolyuk, argues that the process of import substitution in IT is also a deterrent for Cisco.
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In 2014, corporate shipments of routers to the Russian market decreased by 22% compared with the previous year, a representative of one of the Russian telecommunications companies told Vedomosti. The share of Cisco in the Russian market of routers in 2014 decreased from 75% to 64% compared with 2013. But in the segment of network-level hardware, its share, on the contrary, increased from 91.2 to 94%.
The representative of the Chinese company Huawei Tatiana Fomicheva confirms that some customers refuse Cisco equipment and choose Huawei.
However, not all market participants report falling Cisco sales. According to the IBS representative, Cisco has signed contracts that do not allow them to refuse to supply their equipment. An NVision spokesman says that there is still a strong demand for Cisco equipment from telecom operators. Dmitry Solodovnikov does not see any reduction in purchases of equipment by the American company.
CEO of IT-integrator "Open Technologies" Sergey Polovnikov argues that Cisco will not be able to keep supplies at the same level.
Sokolyuk does not believe that a sharp drop in Cisco supplies may occur in the near future.
The main reason for the fall in sales are retaliatory sanctions of Russia. However, supply problems also played a role.
Because of this, Asian manufacturers ZTE and Huawei have increased their influence in the market.
The head of Asteros infrastructure and telecommunications solutions, Valery Sokolyuk, argues that the process of import substitution in IT is also a deterrent for Cisco.
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In 2014, corporate shipments of routers to the Russian market decreased by 22% compared with the previous year, a representative of one of the Russian telecommunications companies told Vedomosti. The share of Cisco in the Russian market of routers in 2014 decreased from 75% to 64% compared with 2013. But in the segment of network-level hardware, its share, on the contrary, increased from 91.2 to 94%.
The representative of the Chinese company Huawei Tatiana Fomicheva confirms that some customers refuse Cisco equipment and choose Huawei.
However, not all market participants report falling Cisco sales. According to the IBS representative, Cisco has signed contracts that do not allow them to refuse to supply their equipment. An NVision spokesman says that there is still a strong demand for Cisco equipment from telecom operators. Dmitry Solodovnikov does not see any reduction in purchases of equipment by the American company.
CEO of IT-integrator "Open Technologies" Sergey Polovnikov argues that Cisco will not be able to keep supplies at the same level.
Sokolyuk does not believe that a sharp drop in Cisco supplies may occur in the near future.
Source: https://habr.com/ru/post/291018/
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