Cisco's Router Market Share Drops Most Since Dotcom Crash (CSCO)

More crappy Cisco (CSCO) news: Its share of the router market fell the most since the dotcom bust in 2001. Bloomberg:

Cisco’s portion of the $3.2 billion market shrank to 61 per cent in the third quarter, from 65 per cent in the previous three months, according to Dell’Oro Group in Redwood City, California. Juniper Networks Inc. had 18 per cent, up from 17 per cent. Alcatel-Lucent SA’s share widened to 7 per cent from 6 per cent.

The good news: A new router with six times the capacity of rival products is on the way, due to ship in the first quarter of 2009.

And more important: Over the last seven years, through internal developments and acquisitions, Cisco has diversifed its business so that routers make up a smaller percentage of its revenue. For instance, last quarter, routers made up 18% of Cisco’s $10.3 billion in sales. In the same quarter in 2001, routers made up 36% of Cisco’s $4.4 billion of sales.

See Also:
Cisco Disaster: Time To Start Hoarding Cat Food
Cisco Quarter Solid, Guidance Terrible
Cisco CEO John Chambers: Man, Do I Love India

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