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Feb 28, 2011

After years of buying, Cisco may need to sell

NEW YORK (Reuters) – For years, the question at Cisco Systems Inc was what to buy next, expanding from routers and switches into consumer electronics in an effort to keep its revenue rising by double digits.

Now, the question may be what to cut or sell off.

Since Cisco reported a weak outlook and lower-than-expected margins this month, investors and analysts wonder if it would be better off without some of its less successful businesses, including consumer router unit Linksys.

Feb 17, 2011

Machine trounces man on “Jeopardy!” quiz show

NEW YORK (Reuters) – Under the category of artificial intelligence, it represents both a loss and a triumph for humans.

What is “Watson”?

An IBM computer handily beat two human competitors on the popular U.S. quiz show “Jeopardy!” in a three-day showdown that ended on Wednesday, highlighting at the same time the progress people have made in making machines able to think like them.

Feb 16, 2011

NetApp’s profit outlook disappoints, shares fall

NEW YORK, Feb 16 (Reuters) – Data storage equipment maker
NetApp Inc (NTAP.O: Quote, Profile, Research, Stock Buzz) gave a weaker-than-expected profit
forecast, blaming a components shortage, pushing the company’s
shares down 4 percent.

NetApp Chief Executive Tom Georgens said the company failed
to keep up with demand for its new “FAS3200″ storage systems,
due to a shortage of some semiconductor components.

Feb 15, 2011

Man ties machine on Day 1 of “Jeopardy!” showdown

NEW YORK (Reuters) – A man-versus-machine showdown on popular U.S. quiz show “Jeopardy!” ended in a tie on the first day of a three-day challenge, when an IBM computer showed off its knowledge of the Beatles, as well as a few glitches.

The machine, dubbed Watson after International Business Machines Corp’s former president Thomas Watson, is the computer and software maker’s latest display of its expertise in advanced science.

Feb 11, 2011

Cisco shares plummet, bellwether becomes laggard

NEW YORK, Feb 10 (Reuters) – After disappointing Wall
Street quarter after quarter, Cisco Systems Inc (CSCO.O: Quote, Profile, Research, Stock Buzz) has
lost its status as a tech industry bellwether.

Cisco shares fell 14.2 percent on Thursday to their lowest
level since July 2009, as eroding margins stoked concerns that
competition and dwindling public sector spending are stunting
its growth. [ID:nN08294447]

Feb 10, 2011

Cisco bucks tide of tech optimism, shares fall

NEW YORK, Feb 10 (Reuters) – After disappointing Wall
Street quarter after quarter, Cisco Systems Inc (CSCO.O: Quote, Profile, Research, Stock Buzz) may be
losing its status as a tech industry bellwether.

Cisco shares were down 13 percent by midday on Thursday and
falling margins stoked concerns that competition and dwindling
public sector spending are stunting its growth.
[ID:nN08294447]

Feb 10, 2011

Cisco spooks Street again with weak outlook, margins

NEW YORK, Feb 9 (Reuters) – Network equipment maker Cisco
Systems Inc’s (CSCO.O: Quote, Profile, Research, Stock Buzz) CEO John Chambers spooked investors for
the third time in as many quarters, warning of dwindling public
spending and weaker margins from tough competition.

Cisco shares fell 10 percent after hours on Wednesday.
Shares of peers such as Juniper Networks Inc (JNPR.N: Quote, Profile, Research, Stock Buzz), F5
Networks Inc (FFIV.O: Quote, Profile, Research, Stock Buzz) and Riverbed Technology Inc (RVBD.O: Quote, Profile, Research, Stock Buzz) also
declined, but the recurring let-downs raised questions about
whether Cisco is still the industry bellwether it once was.

Feb 9, 2011

Cisco sales beat Street but margin disappoints

NEW YORK (Reuters) – Network equipment maker Cisco Systems Inc’s weaker quarterly margins seemed to confirm investors’ fears that growing competition may be forcing the company to cut prices to protect market share.

Shares of Cisco fell more than 7 percent after Cisco Chief Executive John Chambers failed to reassure investors that public sector spending, a major source of concern in prior quarters, would improve. It could weaken in the next few quarters, he said.

Feb 9, 2011

Cisco investors hope for stability, stronger orders

NEW YORK, Feb 9 (Reuters) – After spooking the market for
two quarters with cautious forecasts, Cisco Systems Inc
must do more than meet or modestly beat analysts’ forecasts to
win back investor confidence.

Investors want Chief Executive John Chambers to show the
network equipment maker is gaining stability, and fighting off
rivals like Hewlett-Packard Co while winning orders for
routers and switches despite budget cuts among public sector
clients.

Feb 4, 2011

Cisco investors wary over rivalries and public debt

NEW YORK (Reuters) – No longer Wall Street’s top over-achiever, network equipment maker Cisco Systems Inc (CSCO.O: Quote, Profile, Research, Stock Buzz) must persuade wary investors it can fight off rivals such as Hewlett-Packard Co (HPQ.N: Quote, Profile, Research, Stock Buzz) and soothe concerns about public sector spending cuts.

Although most investors forecast modest year-over-year revenue growth, some said they were approaching Cisco’s quarterly report next Wednesday with caution after surprisingly weak forecasts in the past two quarters.