Speaking in Singapore on 8 Dec 2006 as part of IDA's Distinguished Infocomm Speaker Series, Chairman and Chief Executive Officer of Cisco Systems Inc Mr John T. Chambers says that the network is transforming the way that people work, live and play and this will ultimately change the way that business is done.

Mr John Chambers, Chairman and Chief Executive Officer, Cisco Systems Inc

Mr Chambers said that in order to succeed, businesses needed to invest in technology that would only reap benefits five to six years down the road. "The problem is in listening to what the market and your customers need," he said. "Many companies also do not have the commitment to invest in technologies that they cannot see an immediate benefit or profit from."

This was part of the reason for Cisco's success, Mr Chambers said. "We have made a business out of listening to our customers. When they told us they wanted added functionality in our products we went and developed products that could do what they wanted and more. If they were without the expertise needed in-house, Cisco set out to acquire those who did," Mr Chambers added.

But he cautioned that companies setting out on an acquisition strategy need to be careful as the infocomm sector typically sees 90% of acquisitions falter and fail. Mr Chambers said it is a testament to the strategy that Cisco has in place for dealing with acquisitions, and the problems that may occur. In doing so, out of all the acquisitions that Cisco has done, literally 70% have exceeded the expectations laid out by the board of directors.

"We have gained market share in every market around the world thanks to this strategy. We acquired Linksys to move into the consumer space and now we are a world leader," Mr Chambers added. In fact, this strategy this strategy has allowed Cisco to gain market share in 10 out of 12 market segments.

Any acquisition brings with it its share of problems. Mr Chambers said that success after an acquisition is aided through having a corporate culture in place that is ready to accept changes and is responsive enough to adapt to these changes. Cisco is only just coming to terms with its acquisition of Scientific Atlanta but is already starting to see the benefits from it.

Mr Chambers said that this adaptive ability and willingness to embrace new technology was also one of the reasons for Singapore's success and initiatives like the iN2015, (Singapore's 10-year infocomm masterplan) would continue to drive growth for the country.