I thought I'd do one last post about the Consumer Electronics Show (CES) in Las Vegas. Cisco Systems, Inc. (NASDAQ: CSCO) is making their way into the crowded consumer electronics market and while they're better known for their enterprise networking gear; they want a seat in your living room. You can view their consumer-targeted site to get a feel for what they're calling the "Visual Networking" experience" for the "Human Network".
They categorized these consumer products as follows:
- Integrated Connected Home and Connected Life Technologies for Service Providers and Retail
- Next-Generation Cable Set-Top Boxes and OpenCable Applications
- Internet Protocol Set-Top Boxes and Middleware Solutions
Cisco had already made some progress towards the first category with their acquisition of Linksys back in 2003. Linksys continues to be a leader in consumer electronics "...Linksys has shipped more than 70 million wireless devices and market research firms show Linksys holding continued leadership in the home networking space". Several new additions to their Ultra RangePlus family of Wireless-N (802.11n) products made their debut at CES:
- Wireless-N Gigabit Router (WRT310N)
- Wireless-N Broadband Router (WRT160N)
- Dual-Band Wireless-N USB Notebook Adapter (WUSB600N)
- Dual-Band Wireless-N ExpressCard Adapter (WEC600N)
They also showcased their Linksys EasyLink Advisor (LELA); their free application that helps you "setup, view, manage, and repair your network - it's like having a Linksys expert in your home helping you to get the most out of your home network".
The second and third categories reflect a move from Cisco that did surprise me. They will be marketing their Cisco-branded set-top boxes formerly sold under the Scientific-Atlanta name. I had forgotten that Cisco acquired that company in 2005 and retained that well-known brand. The new boxes will integrate Cisco's networking know-how to let users pause a movie in one room and watch it in another or view web videos on television.
They have also embraced Web 2.0 with their work on what they're calling an EOS (Entertainment Operating System), a software platform that "enables consumers to have an interactive, personalized, community-based entertainment experience, WHILE simplifying the administrative experience for content owners in engaging audiences, and distributing and monetizing their content".
So, do you think Cisco can be successful in the consumer marketplace or should they stick with the business and enterprise side of things? I'm happy with my Linksys equipment and have used Scientific-Atlanta set top boxes in the past. I guess I'm wondering what kind of premium I would pay for a Cisco-branded hardware in my living room.
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