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Cisco Targets SMBs with New Switches and Software: Page 3 of 3

McCool says that small and medium sized businesses "are now adopting the same kind of high-value enterprise applications that large enterprises adopted in the 1990s. To help them take advantage of that, we've repackaged our technology, right-sized it, reduced its complexity, and made it easier to use. Small and medium-sized businesses are making technology a change agent, and we're going to help them."

Cisco, like other networking vendors, is targeting SMBs because it represents a sizable and fast-growing technology market. McCool estimates that the market for SMB networking is $10 billion today, and growing at a compound annual rate of 15 to 20 percent. Peter Alexander, Cisco Vice President for worldwide commercial marketing estimates that Cisco has 44 percent of the SMB networking market share.

"We see an opportunity for increased market share and growing it quickly, as increasingly SMBs adopt high value information technology," Alexander says.