Cisco Makes Hyperflex Line Of Systems and Diverts Focus To Datacenters

Cisco has launched hyperlex systems and is expanding its presence in the business of data centers.

Cisco Systems is making many changes in the way its runs its business. The IT giant company has now added software storage to its platform of UCS and has even created hyperflex systems. The tech company has been making headlines for acquiring many startups that are into could computing, which indicates its interest in datacenters and cloud management and computing.

The Information Technology Company has been rapidly getting into the business of datacenters since 2009. It introduced the Unified Computing System, which aided its own networking and servers, as storage was made convenient with partners. Now it has launched hyperconverged system, which is going to take software-based storage from Springpath and mix computing and networking.

Cisco Systems calls this system ‘hyperflex’ because it is the company’s largest datacenter movement after the launch of UCS. The tech giant is trying to make things easier by moving all the datacenters into a giant singular one that will look like a node to VMware’s and vSphere. This recent addition and a step forward towards the business of datacenters is going to be great for the future and the tech required by the company to compete efficiently with its rivals.

Hyperflex system is going to run a software-based storage called, HX Data platform, which combines all the drives into one gigantic center of storage. The platform is going to be capable of compression, cloning and many other advanced features, according to the company. The director of product marketing at Cisco, Todd Brannon, said that Springpath has existed in the organization’s portfolio since 2012 and has led the business to its C-series in terms of venture funds.

These advanced tech system introduced by the company will consist of more flexibility in order to match and even add resources. The hyperflex system is going to help the organization’s application centric infrastructure for the running of hybrid cloud computing. The tech business has also made another announcement of adding new datacenter software and switches including Nexus 9000 switches that are capable of transferring 10/40GB per second. The switches are going to be adaptive of traffic congestion and will be automated through the company’s Nexus Fabric manager.

Many companies nowadays are using Hyperflex systems because of its function and facilities. These systems are comparatively easy to install and only take minutes to set up rather than days. This is great time for Cisco to get into the game as the hyperconverged business is small for now but is growing rapidly.

Reasons For Broadcom To Be A Long Term Stock To Buy

Chip maker has seen its stock fly by 40% during the past one year against NASDAQ 20% beats EPS estimates six times in a row.

Broadcom Corporation (NASDAQ:BRCM) seems like a nice bet to buy its stock for the long run. The semiconductor solutions provider stock price has performed  better than NASDAQ (40% against 20%) during the past one year, and has also beaten past the EPS six times consecutively, and nine out of ten times in the past, as illustrated by the first quarter results. Segment revenue was reported growing at 11% year-to-year to clock in at more than $2 billion. 

According to researcher, Susan Eustis, the LTE wireless market size reaches around less than $80 billion. She points to the fact that everything is moving towards the mobile field, which is driven by the wave of smartphones that are becoming cheaper and more easily accessible among the worldwide population. This, in turn, is driving universal connectivity as well.

In fact, based on a study by Statista, there are currently around 1 billion HSPA and over 60 million LTE mobile network subscribers around the world. By 2018, they are expected to increase to around 1.35 billion subscribers. This growth potential is expected to drive Broadcom’s LTE and TDS CDMA solutions for the next five years. Right now, there is a very big market for LTE subscriptions existing in China, with local telecom provider, China Mobile, taking full advantage of the boom. However, there is still a lot of room for them to grow there, so it looks like an ideal time for Broadcom to invest there.

On top of this, there is an ongoing activity concerning the next generation Internet of Things, something that the Information Technology giant, Qualcomm, is currently leading. Broadcom is catching up though, having shipped a substantial number of WICED development kit, a complete package of hardware and software based solutions for prototyping IoT products.

Similarly, mobile broadband is also booming, with forecasters expecting a CAGR of 16% growth over the next five years. Most of the growth will come over from the emerging markets, which are starting from a low base, and expecting to catch up fast. Once it happens, it will provide a boon for companies to market their products and services online to gain more access to consumers while earning supplemental income from advertising.

In addition to the aforementioned points, the company has a dividend yield of over 1.30% and a healthy cash flow that will help to sustain its dividend for the future.
Broadcom Corporation stock price ended the day at $27.25, down 1.05% from the previous day.