Cisco CEO Pressured by Goldman Sachs to Embrace Software

When your clients gang up and start fighting back:

Goldman Sachs Group Inc., Verizon Communications Inc. and Coca-Cola Enterprises Inc. are telling the world’s largest networking-gear maker that they won’t keep paying for expensive equipment, when software can squeeze out more performance and make the machines more versatile.

“What we spent on your gear last year is not what we’re going to spend on your gear this year, unless you do something really different,” Martin Chavez, chief information officer at Goldman Sachs, recalled telling Chambers earlier this year.

Cisco CEO Pressured by Goldman Sachs to Embrace Software – Bloomberg.