As we focus on this market transition with the convergence of server, processing capabilities, networking and storage into the cloud, the UCS in the data center grew year-over-year at 122% in terms of orders and 116% in terms of revenues, and is now at a $1 billion annualized revenue run rate.
Even though the Nexus 2000 and 5000 are included in our switching product summary, not the data center, they are obviously tied very tightly to the UCS. Again, you saw the Nexus 2000 through the 5000 combination orders growth of approximately 120%, and revenue growth of approximately 80%. These 2 product lines together, now have an annualized run rate of approximately $1 billion.
We are focusing on all aspects of Cisco in gross margins. With our aggressive focus, you saw the UCS and Nexus 2000 through 5000 combined margin increase in Q1 by 3 points from Q4. We added 15,700 — I’m sorry, I highlighted one extra 0, 1,572 new UCS customers in Q1, bringing the total to 8,983.
Cisco Systems’ CEO Discusses Q1 2012 Results - Earnings Call Transcript - Seeking Alpha
Noted.
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