Cisco Opens Green Technology R&D Lab

"Cisco's innovation initiative and its establishment of a green technology lab are clear examples of our commitment to China, and our focus on the long-term growth potential," said John Chambers, chairman and chief executive officer, Cisco. "Today's announcement further demonstrates our strategic approach to capturing local innovation, win-win partnerships and leadership development through collaboration."

Underscoring the strategic importance of China to its global operations and the company's determination to deliver on its $16 billion multi-year investment, Cisco has introduced a cultivated innovation model aimed at boosting local innovation through capital, technology, process expertise, incubation resources and leadership investments. The model is expected to accelerate time to market for Cisco and its partners and customers as they pursue new local and global market opportunities together.

Cisco intends to allocate $1 billion of its $16 billion investment commitment, announced in November 2007 to support this new innovation model. This initiative will underpin Cisco's collaboration with top universities and entrepreneurs to support programmes to develop technologies for intelligent urbanisation, promote growth enterprises and foster next-generation Internet development.

Cisco said the new model in China will spur even greater innovation through cultivation and collaboration. It is said to be designed to expand the capabilities of Cisco and its partners to pursue new local market opportunities with greater speed, agility and market relevance.

The cultivated innovation model initially focusses on three major areas -- intelligent urbanisation, new business model initiatives for growth enterprises and next-generation Internet, including video and mobility.

As part of intelligent urbanisation, Cisco intends to collaborate with Tongfang to jointly explore and create new markets and business models for intelligent urbanisation in China.

As part of its investment in video development, Shanghai DigiVision in early March announced an investment from Cisco that includes access to select Cisco video technologies. DigiVision is focussing on the design of an open, interactive, HD digital cable TV platform that will support new value-added business models to facilitate Shanghai's plan for cable TV digitisation.

Cisco is working with Ambow, a provider of e-learning technologies and education services in China, to explore business models for connected cities and connected schools. These initiatives are aligned with China's priorities of preparing college graduates for job readiness, developing replicable business process outsourcing skills and instigating 21st-century education in earthquake-stricken areas of Sichuan.

In addition, as part of Cisco's prior commitment, the company today announced it would establish a Supply Chain Institute with Fudan University to support China's ongoing development through a jointly designed and delivered educational programme. The first of its kind for Cisco in China, the Supply Chain Institute will offer learning and development for leaders of Chinese companies, driving thought leadership in supply chain management and accelerating participants' ability to lead on a global scale, Cisco said.