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Cisco and HP overlooked by Telecoms

Google operates a wide range of largest computer networks worldwide, a web of machines that extends from Oregon to Finland to Taiwan. This is their strategy to deliver tons of Internet services to a number of people in so many countries rapidly, from Google Search to Google Maps to Youtube. 

Cisco, along with Dell, HP, and IBM are known as the supplier of hardware for most of the world’s computer networks. However, Google has made its massive network without much help from these companies. Google has made its own hardware designs. 

About 15 years ago, network of Google expanded largely and in order to build their networks, they needed a cheaper and a more efficient alternative way. Its traditional gear coming from traditional suppliers cost higher, overly elaborate, and it’s hard to manage. 


Therefore, Google makes own designs for its gear, worked with different Asian companies and find a manufacturer with a more streamlined kind of hardware. It includes computer servers as well as the networking switches that are able to send data between servers. Moreover, Google has built switches that could operate its own software. A software that is easier to reprogram to suit it needs. This, however, is not possible to do with a traditional gear. 

It was a very remarkable worked for Google, however, the implications extend well beyond the company. As the social network, Facebook grew largely to hundreds of millions of people, it as well designed its own hardware. Moreover, with the sponsorship of a nonprofit known as the “Open Compute Project”, Facebook has open sourced these designs. 

Furthermore, other firms are able to use the designs, as well as improved them, and cut costs under mass production. Big companies such as Apple, Microsoft, Rackspace, and Goldman Sachs did that alone. This new trend of hardware is not just a Google thing, rather, it’s a practical way for largest online services to be built. 

The hardware new breed allows a huge wave of companies to aim and push for this movement further. Four giant telecoms such as AT&T, Verizon, Germany’s Deutsche Telekom, and South Korea’s SK Telecom settled to join the Open Compute Project. These companies will discover open source servers, including equipments for networking that is able to increase efficiency and cut down costs, through a sub-project intended to what the telecoms need. 


A director of architecture planning at Verizon said to his firm and others who agreed to join the project, “Everyone is looking for that same synergy and agility.” He added, “The learning and the sharing will go both ways.” The statement is remarkable as telecoms are the biggest hardware buyers worldwide. It suggests that the new trend could take away a large part on continuing to traditional data center, instead companies will engage in streamlined, programmable gear fashioned by Google and Facebook. 

JR Rivers, who once designed Cisco’s hardware and helped Google to develop its networking switches said, . “The telecoms are realizing the value they get out of a traditional supplier is continuing to diminish.” 

He is currently selling a Google-like networking software to giant online businesses, as well as telecoms. He added, “Open Compute is natural way of dealing with this. It helps highlight a more open and malleable hardware supply chain ecosystems, as opposed to one-stop shopping form existing suppliers.”

As Cisco and HP overlooked by Telecoms, tons of investors will likely watch out for signals about this company stock. You too can earn bigger profits and execute better trades here at Trade12 by reading the latest market updates on our official website, Striving to become the best forex broker for you, Trade12 reviews daily market events essential to your trading activities to help you develop a keen understanding of certain trends involving stocks, currencies, indices, commodities, and metals. With all the positive Trade12 feedback from clients, you will be assured that your trading account is safe and secured.

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