Cisco Closing Flip Business and Cutting 550 Jobs

[OverDone]

Source: CNN Money

Cisco Systems is Closing Flip Business and Cutting 550 Jobs.


Read more: http://money.cnn.com/2011/04/12/technology/cisco_kills_flip/

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Just another company that continues to fall and cut workers. It just continues on every day with little to no recovery in sight. Kinda sad to see, all this mess and all that gets reported is we are in a recovery. Another site to Check out http://www.dailyjobcuts.com

What is going to happen once Japan will no longer be shipping the US electronics? What is going to happen then, since we are not up to speed here in the US to make our own products. Thats what is getting me.

[TNDemo]

1. Cisco way overpaid for Flip.

They shouldn't have gotten into the consumer electronics business. Someone will buy Flip.

[OverDone]

2. You Are Correct

Its sucks to see anything go under. But yeah Cisco Needs to get back to Routers, Switches, Server type High End Business Equipment.

[apnu]

3. They shouldn't have gotten in the phone business either.

But hey, its Cisco, they've always been weirdos that have a history of buying good products (Stormwatch, Linksys and more) and turning them to shit.

[Xithras]

7. They don't want to sell Flip.

Flip was originally purchased as a way to get into the consumer video market. Cisco is banking HARD on telepresence, which is also why they recently dropped $3 billion to pick up Tandberg. The idea with Flip was originally to use the platform as a segue into the realtime mobile video market. While it's now obvious that smartphones own that market, that fact wasn't so clear when Cisco started talking to Flip in 2008.

Cisco is now focusing their consumer efforts on fixed devices like the Umi. Personally, I don't think they will get any further with that. I do think that we'll have video telepresence in our homes in the next decade, but I think that devices like the Microsoft Kinekt are probably going to come out on top.

[snooper2]

4. Makes absolute sense...

Based on last discussion I had with some of their marketing folks...

They are really starting to push the Lync box and cloud communications/computing. I don't blame them for getting away from residential services.


FYI, OP comments make no sense at all.

[OverDone]

5. Comments

What I was saying was, Cisco needs to stick to there core products.

Also was saying the whole Japan thing is going to have major rippling effects here in the US. I know a couple people that work for a few major firms which are already experiencing problems getting small electronic boards they use in there products. How are US companies going to adjust to this? One part and the whole line is stopped/slowed. Look at the car industry, I have no knowledge of what goes on there but already reports of shortages. Its been 1 month, and we are feeling the effects. What happens if Japan is down for 3 months, 6 months, 2 years. It will eventually lead to closing and layoffs, unless an alternative part source can be found. Just a prime example of Just in Time Economy.

[snooper2]

6. That will be interesting to see...

I haven't seen any effects on that in the telecom industry to date...

Everything is usually on backorder anyway so :shrug: