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Cisco's new headquarters: Bangalore


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October 30, 2006

Cisco's new headquarters: Bangalore

Steve Hamm

I just got the scoop that Cisco Systems in early December plans to announce that it will establish a second corporate headquarters, this one in Bangalore. Cisco, which is based in San Jose, Calif., already has a major presence in Bangalore, with about 1,200 engineers working there at its largest global development center outside the US. The company also taps into engineering and BPO help from HCL, Wipro, and Infosys. Now Cisco plans on consolidating its operations in a new campus and locating one of its top US executives there--Wim Elfrink, the senior vice-president for customer advocacy, who reports directly to CEO John Chambers. This is the first time that a major US technology company has established a corporate headquarters in India, and it's yet another sign of the growing importance of India on the world technology map.

10:04 AM

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It does not show the importance of India it shows the cost savings of India. Outsourcing the bottom level programming and development to India is great. However the clients that I deal with still like to hear correct English even if the person on the other side goes by a new given name such as "Jon" or "Sally". In my experiece with Fortune 20 companies people are still rooted in American technology but do not mind at all providing a handout of the work that most deem trying and focus on the business model that allows them to be profitable. Kindest Regards.

Posted by: William Reed at October 31, 2006 01:44 PM

I am truely impressed by how India has emerged in technology. It has a good presense in all knowledge based in industry including Pharma, software and now high end chip design. I would just like to get others opinions on what you think of my comment. Thank you.

Posted by: Jim Russo at October 31, 2006 07:17 PM

How deserving! A greedy US MNC executive who outsource thousands of American jobs is dispatched to live in India. Last time after I came back from an India business trip, I could smell India for weeks. The sorry images of Indian bare footed beggards just hang in my heads for months literally. Outsourcing American IT jobs to India is really a lose-lose deal for both American and Indian. For Americans, it is about thousands of jobs of American middle class. For Indian, it is all about the scarse and precious few with high IQs drained to greedy American MNCs who could otherwise serve thier own country. If we do want to outsource, we should outsource the jobs of those greedy executives. They deserve to live in those filthy environment.

Posted by: Software Architect at November 2, 2006 01:20 AM

Any kind of change would affect someone for sure. In fact the globalizing trend that you see is only a manifestation of increasing power of global business giants. They are no longer limited to country , they spread their financial clout to any where , where profits can be made and arm twist states to deliver their expectations . This again is not a few greedy exceutives, they are a part of you , he is just one other person in the society that you and I live in.

I think poverty is a reality but more dangerous is detached individuals who just dont care. I think many of the efforts as a part of globalization has infact given jobs to millions of individuals who are in need and that plays a big role to maintain balance of economics btw countries and not a handful of powerful countries imposing themselevs on the rest and thats true equality.

Posted by: Jaidevq at November 6, 2006 09:40 AM

Its right that one of the important things is the cost savings of India, but there are more things also like timing, qualified peole, english speeking people etc. Any ways its not loose-loose situation as indian people are getting jobs and their US companies are selling their products world wide including asia.I think its a great news that Cisco is opening their head quaters in India.Its shows growing importance of India arround the Globe.

Posted by: Guarav Srivastava at November 8, 2006 02:10 AM

If you classify acc. to low-end and high-end work, you will see that it all started with low-end work - based on low costs and english education; more of voice enabled services.

Just a yr. or so back, Indian companies decided to move up the value chain by going for more high end work. May be that's why Infy is near to being on the Nasdaq 100. Voice enabled services are now just a fraction of our earnings;

Most come for technical knowledge, Accountancy for Americans, pharma knowledge, back-end processing for operations and treatments in the West, etc. The list is long.

Mind you BPO is not only : "Hi, I'm John" when the person's name is actually Jayesh. It's a lot more than that

Posted by: Tirath at November 9, 2006 10:03 AM

I could understand the negative sentiments of American employee's when they loose their jobs to us Indians, but I think the outsourcing game is much more than cost saving and/or 'bad' English. If quality was not in the equation, i'm sure no company in their senses would re-locate or outsource to India. So the bottm line is that we are doing something else right other than learning to say "Hi, I'm John".

Cheers!!!

Please note: One of the key reasons we use proxy American names is because we make it easier for the American consumers to pronounce/remember the name of the person with who they are having the conversation.

Posted by: Ashok at November 14, 2006 05:03 AM

It is a very good oppurtunity for the freshers to avail. I m currently persuing my B.E in APIIT SD INDIA, Panipat, India in second year and also doing the CNAP-1 programme in the institute itself. I will currently give the exam of

Module-5 of CNAP-1

Posted by: Mohammad Asim Ali at November 28, 2006 06:06 AM

Its no more cost saving game.. I was quite excited on seeing the MNC's crowd in Bangalore's during my last visit. Novell, Verisign etc etc are like a pity shops built in the main city..Cisco and Sun microsystems stand together like twin tower. Its all because of the domain expertise Indians built. Just havin the english speaking skill will never fuel an economy like this.

Posted by: Antony Johnson at November 28, 2006 08:11 PM

Outsourcing is very real and is here to stay and the fact that poverty exists side by side with growing prosperity is real too...I have been in this industry long enough to see that the focus has been shifting from outsourcing of low value jobs to entire product development life cycles being handled from India...and that is a testimony to the intellectual prowess of its people as also the fact there is a tremendous cost saving involved. So heres to India, beggars and all notwithstanding, that will not be stopped...

Posted by: Prashanth at December 8, 2006 07:25 AM

Outsourcing does not mean having to deal with Rajesh pretending to be Roger.

Outsourcing is not restricted just to call centers.

A lot of hi-tech jobs are also being outsourced. As we see in this post, the jobs created by Cisco in India require specific engineering skills.

Other than hi-tech, jobs like tax-preparation, stock market analysis, engineering design etc .. are also being outsourced.

Outsourcing keeps inflation under check in America. Remember, if these services have to be affordable, the only option is to outsource.

If TV's were made in US instead of China, can Americans have a TV in every room.

Americans continue to enjoy a very high standard of living because the poor toil in India and China.

Posted by: ammadio at January 24, 2007 05:56 AM

Ciscos move is not simply outsourcing us jobs, an inreasing amount of ciscos sales are from asia.

It is logical that cisco grows in the areas where its sales are.

If they do not supply these markets using a local cost base, they will loose buisness.

Posted by: jon at January 25, 2007 09:12 AM


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