Why Silver Spring Should Be Worried About Cisco (CSCO)

A solid piece of analysis from earth2tech:

When you’re a networking giant, it’s probably a good idea to develop a strategy for participating in the biggest network build-out of the decade. This morning, Cisco is doing just that, with an announcement of its game plan for becoming a major player in the smart grid, with technology for everything from the utility data center to energy management for the light switches in your home and the VoIP phones in your office.

Cisco estimates that the smart grid communications market represents a $20 billion a year opportunity as the systems are built out over the next five years, and the company is angling to seize a substantial portion of that value. For now, Cisco’s smart grid plan lacks a lot of specific detail, but it demonstrates that the company is making aggressive movement into the space — and signals to some startups that there’s a powerful new competitor (or partner) on the scene. One company in particular should be concerned: Silver Spring Networks. Despite the recent rosy glow surrounding Silver Spring, Cisco’s size and networking experience could put a few clouds on the startup’s horizon....MORE