Written by Stacey Higginbotham
Posted Monday, December 8, 2008 at 5:12 AM PT

 

Cisco Grasps at Video to Keep Growing

When you’ve got to grow a $40 billion-a-year company, sometimes there’s just no way to do it other than to capitalize on fear. In the case of Cisco’s medianet concept, defining a series of networks transporting video, launched today, the company seems to be capitalizing on the supposed fear of online video swallowing the web (this fear is used by carriers to implement bandwidth caps and tiered pricing). Cisco says it is launching a series of products to enable this “medianet,” but really it’s only launching a video processing engine that will transcode videos to allow them to be played on any device. This isn’t that special.

The other “big” medianet announcements are an IPTV customer win, an addendum to the edge router launched last month noting that the router has the ability to add ads to video content and cache that content for faster delivery, and an expansion of Cisco’s telepresence video-conferencing service so it it can be used via satellite.

Cisco has used the increasing amount of video content online to sell more equipment, both in the telecommunications networks and in the home. Cisco has latched onto video with its visual networking index, telepresence, and it even owns a set-top box maker. To celebrate the launch of sell the new video-focused products, Cisco has added a few new data points from its visual networking index launched last June. The goal is to show how much video traffic is growing and taking over the web.

  • Professional/traditional broadcast video content will become 80% of all Internet video viewed on PCs/laptops by 2012.
  • Traffic associated with user-generated video content will triple from 2008 to 2012.
  • By 2012 more than 4 billion video streams per month will be delivered through Internet-enabled set-top boxes, which include gaming consoles and set to boxes from independent vendors.
  • Global video on demand traffic increased by 2.4 times from 2007 to 2008

Did it work? Are you ready to buy Cisco’s new medianet products yet?

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Comments & Trackbacks

  1. [...] When you’ve got to grow a $40 billion-a-year company , sometimes there’s just no way to do it other than to capitalize on fear. In the case of Cisco’s medianet concept, defining a series of networks transporting video, launched today, the Video Web Hosting Data [...]

    Chat latin free live video chat and web cam | Video Web Hosting on December 8th, 2008 at 9:29 am - Permalink

  2. Didnt Sony announce something similar not too long ago?

    WebHostingAffiliate on December 9th, 2008 at 5:55 pm - Permalink

  3. [...] pretty much stalled, Cisco is looking at video to help it sell equipment to carriers. To do that it’s positioning video traffic as the new data — ready to take over the web. Because if you’re going to convince service providers to [...]

    Cisco’s Grand Video Plan - GigaOM on December 10th, 2008 at 5:18 pm - Permalink

  4. [...] seems like a good strategic backer given its recent emphasis on video. For instance, Cisco invested in P2P video platform Grid Networks last year and [...]

    Cisco Puts Money into Digitalsmiths « NewTeeVee on January 26th, 2009 at 9:43 am - Permalink

  5. [...] is already under pressure as the demand for online video explodes — another phenomenon that that shows no sign of letting up anytime soon. (Related post: Why We Need Fat Pipes: The Top 5 Bandwidth-hungry [...]

    Why Network Virtualization Is Important on February 2nd, 2009 at 11:05 pm - Permalink

  6. [...] in the consumer market and give it control of a device that produces video, which it hopes will drive the sale of its Internet routing and switching equipment. Pure Digital has raised $68 million in its seven-year [...]

    Cisco To Buy Pure Digital for $590M on March 19th, 2009 at 6:54 am - Permalink

  7. [...] sees video as the main driver of network bandwidth consumption. In its recent Visual Networking Index, the company said that traffic associated with user-generated video content will triple from 2008 [...]

    Cisco Acquires Flip Maker Pure Digital for $590M on March 19th, 2009 at 7:53 am - Permalink

  8. [...] Private Content Distribution Service sounds like it may be based on, or is competitive to, Cisco’s media:net, which manages video within the corporation. That means Cisco has either scored a great client for [...]

    AT&T Creates Private CDN for Corporate Video on April 21st, 2009 at 7:34 am - Permalink

  9. [...] from Nielsen shows why Internet Service Providers and telecommunications equipment vendors are increasingly demonizing video. It consumes a lot of bandwidth, and could compete with an ISP’s existing video businesses, [...]

    Nielsen Data Offers Real Reason ISPs Are Metering on April 22nd, 2009 at 4:31 pm - Permalink

  10. [...] from Nielsen shows why Internet Service Providers and telecommunications equipment vendors are increasingly demonizing video. It consumes a lot of bandwidth, and could compete with an ISP’s existing video businesses, [...]

    Nielsen Data Offers Real Reason ISPs Are Metering (Hint: Video!) on April 22nd, 2009 at 4:37 pm - Permalink

  11. [...] from Nielsen shows why Internet Service Providers and telecommunications equipment vendors are increasingly demonizing video. It consumes a lot of bandwidth, and could compete with an ISP’s existing video businesses, [...]

    TechWrap » Nielsen Data Offers Real Reason ISPs Are Metering on April 22nd, 2009 at 5:32 pm - Permalink

  12. [...] from Nielsen shows why Internet Service Providers and telecommunications equipment vendors are increasingly demonizing video. It consumes a lot of bandwidth, and could compete with an ISP’s existing video businesses, [...]

    Nielsen Data Offers Real Reason ISPs Are Metering [GigaOM] | BYOHosting.com Blogs on April 23rd, 2009 at 5:20 am - Permalink

  13. [...] from Nielsen shows why Internet Service Providers and telecommunications equipment vendors are increasingly demonizing video. It consumes a lot of bandwidth, and could compete with an ISP’s existing video businesses, [...]

    Nielsen Data Offers Real Reason ISPs Are Metering (Hint: Video!) [NewTeeVee] | BYOHosting.com Blogs on April 23rd, 2009 at 5:20 am - Permalink

  14. [...] from Nielsen shows why Internet Service Providers and telecommunications equipment vendors are increasingly demonizing video. It consumes a lot of bandwidth, and could compete with an ISP’s existing video businesses, but [...]

    Stone Dead Parrot » Metered Broadband and Internet Video… on April 23rd, 2009 at 11:42 am - Permalink

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