& cplSiteName &

Cisco CEO: Get Ready for New Digital World

Dan Jones
3/3/2015
50%
50%

BARCELONA -- Mobile World Congress 2015 -- Cisco CEO John Chambers says that the seismic shifts engendered by a move to a fully digital economy will shake up more than just service providers and tech companies but also will be felt by governments and their citizens around the world.

The Cisco Systems Inc. (Nasdaq: CSCO) CEO says that whereas previous technology evolution has been driven by the advent of the Internet and the rise of mobile technology, the move to a digital economy will involve more than service providers and tech companies. This is because towns, cities and municipalities will need to work with the traditional communications players to ensure broadband for all and smarter towns and cities, thus creating opportunities for more jobs in the areas that embrace the change.

"It is going determine the economic job creation of who leads and who follows," Chambers said at a press conference Tuesday. He believes that -- while the US led the Internet revolution -- European countries are pulling ahead in the "digital era."

Chambers cited Cisco's ongoing work with the city of Barcelona and its recent deal with the government of France around what Chambers calls the digitization of everything as evidence of that.

The shift is underpinned by the rise of the so-called Internet of Things (IoT), which Cisco calls "The Internet of Everything." This is the idea of a world where everything from household appliances to water meters, cars and trash bins are networked. (See AT&T Connects Cars & Trash Cans .)


Want to know more about carriers' IoT plans? Check out our dedicated IoT strategies content channel right here on Light Reading.


"Seven or eight years ago, I had to buy people drinks or a dinner to even get them to talk about this," Chambers joked. Over the last 12 months, he argues, it has become real and is helping to drive the digital economy.

In the Q&A session, I asked Chambers if the apparent lack of standards around how IoT devices communicate with the network and -- potentially -- each other could be a "gating factor" to the growth of digital economy. To Chambers, the answer is simple: everything has to be IP.

"We do have to be inclusive," he added. "Even our competitors have to play on a level playing field."

If Chambers is right, the changes will have a dramatic effect on service providers that don't catch the wave. "Forty to 50% of service providers over the next decade will probably become irrelevant," he predicted. (See Cars, Cities & Pet Trackers: IoT in 2015.)

Innovative service providers, he stated, will take the opportunity to work with government to find ways to deliver broadband to every citizen. Broadband everywhere is, in fact, the oxygen that Chamber's heady vision of a new digital era appears to need to breathe and grow.

Chambers also sees many traditional networking vendors disappearing. "Our competition in the future will largely be white label," he added later.

So what do you think? Will the digitization of everything change the way we live and work?

And can we come up with a more snappy name than the "digital era" or "digital economy?"

— Dan Jones, Mobile Editor, Light Reading

(6)  | 
Comment  | 
Print  | 
Newest First  |  Oldest First  |  Threaded View        ADD A COMMENT
DHagar
50%
50%
DHagar,
User Rank: Light Sabre
3/4/2015 | 1:12:28 PM
Re: Customer is always Right
mendyk, I share your vision.  I think work will totally change both in what we do and how we work.  I think the current structures are going to be replaced by more adaptable work systems that will continue to change at a faster pace.
DHagar
50%
50%
DHagar,
User Rank: Light Sabre
3/4/2015 | 1:02:47 PM
Re: Customer is always Right
Dan, great points.  Maybe I am falling into the same trap.  My term connected was meant to imply the technology capability to link multiple points of data/communication.  It really is becoming an "ecosystem" and a more comprehensive platform.  I guess we will have to keep searching for better terms to describe it.

Your point on jobs is true, however, I envision the development of new jobs that utilize the human skills of analysis and decision making.  Although the mechanical jobs are being replaced, I believe there is a growing demand for human capital in new roles in the newly developing markets.

I believe jobs/economy will continue to transform into an "information-driven" asset where people relate markets/supply to dynamic and shifting demands.  Just as farm jobs diminished while food production jobs grew, and manufacturing jobs have been declining but supply chain jobs are increasing.  I see us as moving up the food chain with innovation and new economies developing from the advancement and use of this growing information/communications asset. 
mendyk
50%
50%
mendyk,
User Rank: Light Sabre
3/4/2015 | 10:53:10 AM
Re: Customer is always Right
The number of people being disintermediated from the workforce will continue to increase. Technology is only partly the cause of this. A century from now, people will be astounded by concepts like a 40-hour work week and office buildings.
DanJones
50%
50%
DanJones,
User Rank: Blogger
3/4/2015 | 7:42:19 AM
Re: Customer is always Right
If Chambers is right then "connected" doesn't cut it any more than digital. He described this as a "horses to highways" type of shift. It's bigger than just technology, if this plays out, many will lose their jobs (and hopefully find others in the "digital" wave).
DHagar
50%
50%
DHagar,
User Rank: Light Sabre
3/3/2015 | 7:32:50 PM
Re: Customer is always Right
jabailo, agreed about the customer use.

I further agree with Dan's article and Cisco's view about the future.  Maybe another term is "Connected"?  But the ability to both transact AND communicate is what I think is different.  And IoT opens the door to the open platform of sources of communications.

With cities and government, I think it will potentially make government more responsive, and transparent, to the citizens; from services to transactions.  I believe that the network will be pervasive and compelling in and of itself, to drive further growth; just as the internet has done.
jabailo
100%
0%
jabailo,
User Rank: Light Sabre
3/3/2015 | 9:59:09 AM
Customer Is Always Right
Governments, and especially municipal governments when the IoT gets very pervasive, are going to be big consumers of these services, so we'd all better listen!

The IoT will handle the streetwise stuff.   Parking violations are already becoming entangled with smartphone apps.   Now about about automated enforcement with land-based drones, or just ordinary monitors?   

All the monitoring and response systems that can replace the need for making individual complaints.   Pollution tracking, traffic optimization and so on.   The job of the bureaucracy can move from processing to acting!

More Blogs from Jonestown
The AT&T acquisition seems to suggest that Ma Bell will get deeper into fixed 5G services and more.
There's one important thing still up in the air about 5G.
Motorola CVP says the vendor could get to 5G through Moto Mods modules.
T-Mobile is expecting telecoms acquisitions this year, as the content, cable, Internet and wireless industries collapse in on each other, but the operator said that it can continue to grow alone too.
From The Founder
Following a recent board meeting, the New IP Agency (NIA) has a new strategy to help accelerate the adoption of NFV capabilities, explains the Agency's Founder and Secretary, Steve Saunders.
Flash Poll
Live Streaming Video
Charting the CSP's Future
Six different communications service providers join to debate their visions of the future CSP, following a landmark presentation from AT&T on its massive virtualization efforts and a look back on where the telecom industry has been and where it's going from two industry veterans.
LRTV Interviews
AT&T: Creating Dynamic Networks to Meet Business Needs

5|26|17   |   4:24   |   (0) comments


As enterprises need more dynamic networks, service providers need to deliver on-demand, virtual services to meet those needs. AT&T is creating a networking fabric to mix-and-match SDN technologies for enterprise customers, says Roman Pacewicz, AT&T senior vice president for offer management and service integration, in an interview at Light Reading's
LRTV Interviews
EdgeConneX on Industry Headwinds & Tailwinds

5|26|17   |   2:41   |   (0) comments


At Light Reading's Big Communications Event 2017, EdgeConneX CTO Don MacNeil discussed the value of partnerships in the digital world.
LRTV Documentaries
4 Steps Toward a Higher Network IQ

5|26|17   |     |   (0) comments


At the Big Communications Event in Austin, Texas, EXFO CEO Philippe Morin explains how sensors and analytics can boost a network's intelligence and enable on-demand customer experiences. Find more BCE 2017 coverage here.
LRTV Interviews
BT's McRae Sheds Light on 4K Strategy

5|25|17   |   4:45   |   (0) comments


At Light Reading's Big Communications Event 2017 in Austin, Texas, BT Group's Chief Network Architect Neil McRae talks about what it took for BT to broadcast live sports in 4K. Catch up with all our BCE coverage at http://www.lightreading.com/bce.asp.
From the Founder
How the NIA Aims to Advance NFV

5|25|17   |   08:07   |   (1) comment


Following a recent board meeting, the New IP Agency (NIA) has a new strategy to help accelerate the adoption of NFV capabilities, explains the Agency's Founder and Secretary, Steve Saunders.
LRTV Custom TV
Better Solutions That Address Growing Scale

5|25|17   |     |   (0) comments


For Comcast, the X1 rollout and 17-fold increases in broadband speeds in the past 16 years are among factors driving the need for Energy 2020 solutions that reduce cost and consumption, says Mark Hess.
LRTV Custom TV
Ethernity Network Delivers Instant Offloading of Network Functions With All-Programmable Intelligent NIC

5|25|17   |     |   (0) comments


David Levi, CEO of Ethernity Networks, explains that programmability of the hardware makes the company's All-Programmable Intelligent NIC uniquely beneficial for communications service providers that need advanced data appliances with agile support of virtualization. Utilizing the company's patented network processing technology, Ethernity offers data path ...
LRTV Documentaries
BCE 2017: Vodafone Gets Obsessed With Cloud-Native

5|25|17   |     |   (0) comments


Vodafone's Matt Beal updates us on Project Ocean and explains why simple virtualization isn't enough of a goal for network transformation. Catch up with other BCE 2017 keynotes and news at http://www.lightreading.com/bce.asp.
LRTV Documentaries
BCE 2017: Intel's Take on Network Transformation

5|24|17   |     |   (0) comments


In this BCE 2017 keynote, Lynn Comp discusses Intel's vision for areas such as analytics, automation and service assurance. For more videos and BCE coverage, see http://www.lightreading.com/bce.asp.
LRTV Documentaries
Order From Chaos: The Steve Saunders BCE Keynote

5|24|17   |   17:27   |   (0) comments


Kicking off BCE 2017, Light Reading founder Steve Saunders lays blame for NFV's slow ramp-up and urges telecom to return to old-fashioned standards building and interoperability testing.
Think of this as the video sequel to the recent columns he's written about NFV and the prospect of a telecom app store. (See

LRTV Documentaries
Service Provider Panel: Partnering in the Digital Era

5|22|17   |     |   (0) comments


Coopetition has always been part of telecom, but the ecosphere now includes data centers, vendors, apps developers, cloud service providers and Internet content providers. This BCE 2017 panel explores the new attitudes among network operators as to the value and variety of ...
LRTV Interviews
Site Demo: AT&T's IoT Flow Platform

5|19|17   |   04:25   |   (0) comments


At AT&T's R&D center in Tel Aviv, Israel, project leader Eyal Segev talks about the operator's Flow platform and how it helps to prototype IoT applications.
Infographics
With the mobile ecosystem becoming increasingly vulnerable to security threats, AdaptiveMobile has laid out some of the key considerations for the wireless community.
Hot Topics
Cities Clamor for More Clout at FCC
Mari Silbey, Senior Editor, Cable/Video, 5/23/2017
What's Blocking 4K TV Today
Alan Breznick, Cable/Video Practice Leader, Light Reading, 5/22/2017
Sonus & Genband Finally Combine to Form $745M Company
Dan Jones, Mobile Editor, 5/23/2017
Like Us on Facebook
Twitter Feed
BETWEEN THE CEOs - Executive Interviews
One of the nice bits of my job (other than the teeny tiny salary, obviously) is that I get to pick and choose who I interview for this slot on the Light Reading home ...
TEOCO Founder and CEO Atul Jain talks to Light Reading Founder and CEO Steve Saunders about the challenges around cost control and service monetization in the mobile and IoT sectors.
Animals with Phones
What Brogrammers Look Like to the Rest of Us Click Here
Live Digital Audio

Playing it safe can only get you so far. Sometimes the biggest bets have the biggest payouts, and that is true in your career as well. For this radio show, Caroline Chan, general manager of the 5G Infrastructure Division of the Network Platform Group at Intel, will share her own personal story of how she successfully took big bets to build a successful career, as well as offer advice on how you can do the same. We’ll cover everything from how to overcome fear and manage risk, how to be prepared for where technology is going in the future and how to structure your career in a way to ensure you keep progressing. Chan, a seasoned telecom veteran and effective risk taker herself, will also leave plenty of time to answer all your questions live on the air.