Cisco is getting a reboot thanks to new CEO Chuck Robbins. Now one year on the job, Robbins is focusing more on software and subscription services and less on Cisco’s traditional business of selling routers and switches. Robbins tells Fortune’s Susie Gharib that selling hardware is still a “fundamental foundation” for Cisco, but “more and more of the capabilities we deliver will be through software, and that’s how our customers want to procure our technologies.”
And that strategy seems to be working. Cisco (”CSCO”) is now ranked 54 on the Fortune 500, as its 2015 revenues rose more than 4% to $49 billion and profits jumped 14.5% in Robbins’ first year as Cisco’s new boss.
But like many large, established technology companies, Robbins knows he has to make Cisco more agile to compete with fast-moving startup companies. He says he is trying to create an “internal startup mentality” inside the company and is confident that Cisco “can deliver on innovation in these areas in ways that others can’t.”