The headline says it all. At the close of the market today, Cisco Systems was worth more than Intel, making Cisco the biggest, baddest company in Silicon Valley. For details, check out this News.com article. The article talks a lot about a changing of the guard and the significance of these numbers, etc. etc. Whatever else you say about it, it does underline a trend that's been rather obvious for a while now: networking is huge, and it matters more to what we do with our computers day by day. Meanwhile, advances in CPU performance continue, but really compelling uses for the extra power seem limited to games and a few other apps--or, oftentimes, the extra power isn't much use without more bandwidth.
What really stood out to me about this story, however, was this bit:
Analyst Cristinziano said that in 1998, Cisco had 50 percent of what he figured was a $20 billion market for the routers and switches it has traditionally sold. But by 2002 that market will swell to $150 billion because of the convergence of networking and telecommunications, he said.Is anybody out there really betting Cisco will have only 20% of the market by then?
"All Cisco needs is 20 percent of that to have $30 billion in sales," Cristinziano said.
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