Cisco just dropped FY2026 Q3 results, and it’s a classic “up and sturdy” report. For the quarter ended April 25, revenue hit $15.841B—up 12% YoY and ahead of market expectations. The big story: AI infrastructure demand is directly lifting Cisco’s networking business. As enterprises accelerate compute deployments, they’re also ramping the network layer that connects it all. That shows up in orders: total product orders jumped 35% YoY. Breakdown: product revenue was $12.117B (+17%), while services were $3.724B (-1%). Networking remains the main engine at $8.815B (+25%), security is flat at $2.008B, collaboration dipped 1%, and observability inched up 3%. Cisco says data center switch orders grew 40%+ YoY. It’s not just “buy chips”—it’s system-level buildout for data center networks and high-speed interconnects. Guidance also improved: Cisco raised FY2026 AI infrastructure order expectations from $5B to $9B, and AI-related revenue from $3B to $4B. Even with a planned ~4,000-role reduction, shares surged 20% after the print. AI is moving downstream—to infrastructure winners. #Cisco #AIInfrastructure #DataCenterNetworking #CloudNetworking #Cybersecurity #Semiconductors
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