Cisco invests in the future despite economic pressures

by kferaday | August 8, 2008 at 10:01 am

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By most current metrics Cisco had a pretty good quarter -- just no what analysts had expected and as reported on CNET not what they're used to. It's encouraging to see then that rather than have to typical response to an economic downturn Cisco is responding by investing aggressively to secure it's competitive advantage and position the company for future growth. More companies could use this as a model.

There's no doubt the battered economy is affecting technology bellwether Cisco Systems, but the company is looking to the future with plans for big investments across its portfolio in "adjacent markets."

On Tuesday, Cisco reported that earnings for its fourth fiscal quarter 2008 were up 4.4 percent to $2.0 billion on revenue that climbed 9.9 percent to $10.36 billion. The results were in line with analyst expectations, but were a far cry from the company's results during some of its best quarters when the economy was strong and healthy.