Cisco Systems (Nasdaq:CSCO) is about to release earnings results. Ponder this Bear Case Scenario.
As the cloud coalesces sales will be to an increasingly small but very powerful customer. Pricing power will dissipate and margins will compress.
The near dominance in layer 2-3 switches is diminishing. Competitors are circling. The wolves are at the door.
George Gutowski writes from a caveat emptor perspective.