Cisco plans to open a R&D center in Japan

Cisco plans to open a R&D center in Japan

Cisco is continuing their plans to establish a dominating position in the Japanese market. They recently signed a hardware deal with local player Fujitsu to manufacture high-end routers and switches for the local market. Latest news is that they are now planning to open a research and development center in Tokyo.

It would work on creating new technologies in the Internet software and routing market. The center is planned to come into existence in February 2005 and comes in wake of Cisco winning major contracts for its software and equipment based on the CRS-1 system in the local market.

The initial planned investment from the US networking giant is reported to be in the region of USD 12 million. This development from Cisco is just the latest one in a series of announcements from American companies who are planning to open new research centers offshore.

Bandwidth costs are lower in Japan and a large market is available to sell products in. Cisco is also planning to develop products in Japan, which can later be sold throughout the world. The initial focus however is to work on the IP version 6, multicast, wireless, security, and quality-of-service technologies.