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Microsoft Pushes VoIP to Fend off Cisco

Source: gigaom.com

Microsoft today unveiled its next-generation Communications Server product that will allow users to replace their existing phone systems with Microsoft’s software. It’s about time Redmond pushed its VoIP offering further. The product, which goes on sale in February 2009, replaces a PBX system with Microsoft’s VoIP software on a server, allowing employees to make calls to any phone number, to make calls from within Microsoft documents and adding audio conferencing.

The VoIP functionality and integration with Microsoft’s SharePoint product is Microsoft’s answer to the challenge Cisco is offering in the unified communications space. It has some nice features, especially the ability to use presence awareness, VoIP and IM on select mobile phones.

It’s funny how the more things change, the more things stay the same: I recall back in 1999 writing about unified communications, which at that time meant a one-stop online shop for emails, voicemails and faxes, with nothing real time about it. Today, we have the ability to connect with people in real-time via IM or VoIP while simultaneously sharing online documents, butwe’re still looking for that one-stop repository for all of our communications.

Microsoft aims to make its programs that one stop, by tying this next generation Communications Server to its SharePoint software. It allows users to see presence and call while within Microsoft programs, meaning employees don’t have to go to a separate presence application to talk or IM about a spreadsheet or Word document. That makes Office the one-stop shop for all communications, including those in real-time.

Cisco is taking a different tack, judging from its recent acquisitions and its CEO’s comments about the opportunity. It plans to create a separate layer of communications services such as IM and VoIP that will sit in the network and work across a variety of applications. If it can be a well-integrated, neutral vendor, it could blow Microsoft out of the water.

Published on October 14th, 2008 under , , , , , , , , ,

Cisco Lays Off Texas Broadband Telephony Employees

Source: gigaom.com

Updated: Cisco on Friday said in a filing that it planned to close its Broadband Telephony Services unit in the Richardson, Texas, office and will lay off 129 employees between Oct. 8 and Dec. 12. The networking giant filed this information with the Texas Workforce Commission on Oct. 10. In its letter to the commission, the company wrote, “A decision has been made by Cisco Systems Inc. to cease operations in its Broadband Telephony Services operating unit within its facility located at 2200 East President Bush Highway, Richardson, Texas 75082-3550.”

Richardson, near Dallas, is where Cisco opened a new data center in June 2008 as part of the company’s data center consolidation plans, and is also home to several other Cisco business units. For perspective, Cisco employed 66,129 people as of July 28, according to its filings with the SEC, so this is a small number of employees. I’ve asked Cisco for more details on the notice as I’m not sure if this is indicative of weak broadband telephony sales, the macroeconomic climate or simply a consolidation effort. I’ll update with more information once Cisco gets back to me. Updated below

Cisco issued a statement that read:

Cisco continuously evaluates its businesses to align human and capital resources to address key growth opportunities and improve efficiency. As part of our ongoing business processes, Cisco continually prioritizes its resource allocations to properly align those resources with revenue generation, profit growth, and market share opportunities, positioning itself for long-term sustainable growth.

That’s typical corporate speak for something that’s not making much money anymore, but I didn’t get information from Cisco on what the Telephony Broadband Services unit is . They’ve bought a lot of companies in Dallas over the years and my guess is these layoffs were related to one of those buys. Any help readers?

Published on October 13th, 2008 under , , , , , ,

March 7, 2008: Ciena Up, Rural Broadband Down

Published on March 7th, 2008 under , , , , , , , , , , , , , , , ,

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