Is Cisco gaining market share against its competitors?
In broad terms, we gained meaningful market share in the quarter. The eight key competitors we follow in North America, saw their revenues decrease on average in the high teens in their most recent quarterly results, while we showed 3% sequential revenue growth. Q: Does Cisco plan additional reductions in headcount? A: Having implemented a very difficult decision in the first half of the year, reducing headcount by approximately 20 percent since March 2001, including regular and temporary employees, and Cisco is now focused on the future. Given the projected improvement in the industry in the next 6-12 months, expenses associated with severance packages, the disruption to the business and confidence in the employee base, we do not believe that it makes sense to make dramatic changes in headcount at this time. If the market were to change in a major way versus what we are modeling, we would obviously have to adjust our expense model as well. Cisco’s total reported headcount ended Q1 at
