Cisco Discovers Open Source IP PBX Threat, Opportunity
The sleeping giant has awakened. It looks like Cisco Systems is addressing the potential Asterisk open source IP PBX threat -- and opportunity. Here's the scoop from The VAR Guy at Cisco Partner Summit.
The sleeping giant has awakened. It looks like Cisco Systems is addressing the potential Asterisk open source IP PBX threat — and opportunity. Here’s the scoop from The VAR Guy at Cisco Partner Summit.
Cisco announced a series of small business solutions today. Buried within the announcement was an IP Telephony Gateway that allows small businesses to “connect their open source IP PBX to existing analog phones and fax machines.”
Cisco didn’t mention Asterisk by name in the press release. Yes, the blogosphere has certainly written about Cisco-Asterisk integration for years. And during today’s press conference, Cisco VP Andrew Sage noted that Cisco’s SIP phones have long supported open source IP PBX systems.
However, The VAR Guy can’t recall Cisco ever mentioning open source IP PBXes in a channel partner-related press release…
Cisco’s Asterisk strategy sounds similar to Microsoft’s old “embrace and replace” mantra. First, Cisco wants to interoperate with Asterisk open source IP PBXes. Then, if possible, transition those customers over to a full Cisco solution that doesn’t necessarily require Asterisk.
History Repeats Itself?
Similar to how Linux chips away at the Windows empire, Asterisk can potentially disrupt traditional VoIP systems from Avaya, Cisco, Nortel and other big networking companies.
Skeptical? Consider these anecdotes: In recent months, technology companies such as Digium and Fonality have successfully recruited channel partners to sell, service and support Asterisk-oriented IP PBXes. Heck, even Dell and Tech Data now resell Asterisk-oriented phone systems. Plus, both Digium and Fonality landed on The VAR Guy’s Open Source 50, which tracks the most promising open source partner programs. Finally, VARs are increasingly pursuing Asterisk certification.
Admittedly, Asterisk is still a small threat to Cisco. But CEO John Chambers said yesterday one thing keeps him up at night: The fear of missing “the next” technology wave. Asterisk, The VAR Guy believes, could be one such a wave.
Instead of ignoring the potential Asterisk disruption, Cisco is picking up the phone and trying to dial up new partner opportunities. Smart move.
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Cisco is right to worry about Asterisk, and it’s not as small a threat as they portray. Asterisk is being used at both ends of the spectrum now – SMB and enterprise, and that should be fairly terrifying as both ends of the market are consumed by open-source solutions. The costs of proprietary solutions are staggering when compared to the costs of Asterisk, even when one includes integration and custom development. More importantly, flexibility allows any implementation of Asterisk to do almost anything that the user wishes it to – the code is open, and there are hundreds of thousands of sites out there with an active community, and thousands of aggressive and smart third-party companies doing niche and custom solutions for customers.
A few quotes in here were kind of amusing – “Cisco’s SIP phones have long supported open source IP PBX systems” – I think that’s the wrong direction. Asterisk has supported Cisco’s SIP phones for a long time, and even Cisco’s proprietary SCCP phones. And with Nortel’s proprietary IP phones. Along with various other not-so-standard SIP implementations. I think it’s pretty clear who is the champion for the end-user: Asterisk.
JT
Asterisk Community Director – Digium, Inc.
jtodd@digium.com
JT: Thank you for sharing your perspectives. But more importantly, thank you for disclosing your affiliation with Digium.
The VAR Guy works hard to ensure readers understand who is posting comments, and why.
I don’t work for Digium, and I second everything Mr. Todd said. Suggesting that Cisco has long supported SIP phones for open source telephony is grossly misleading. A better choice of words might be “reluctantly supported” and, even then, the code has been plagued with bugs to the point that some have suggested that Cisco goes out of its way to assure that its SIP offering doesn’t work “too well.”
Hi Ward: Thanks for offering your two cents on SIP. The VAR Guy must concede he’s never used Cisco SIP phones with Asterisk … so our resident blogger can’t offer any personal perspective on CSCO’s claims.
We’ve been successful recently in winning a few deals where we competed with Avaya and Cisco using an asterisk based solution. Essentially, 70% of the features at 50% (or less) of the cost. Also, the training component for the integrator was interesting in terms of building up and configuring the system.
Peter: No doubt Asterisk is proving to be a money-saving solution in some key markets. But The VAR Guy does want to play devil’s advocate: Sometimes Asterisk can suffer from a lack of local support (too few trained resellers/VARs). And certainly many large enterprises trust the established brands (Cisco, etc.) based on a history of reliability, support, etc.
Yes, The VAR Guy sees Asterisk continuing to gaining momentum. Fast. But a lot of journalists spend too much time either favoring open source or favoring closed source. The VAR Guy tries to point out some of the realities around both approaches… …
Good points. Pick the right solution for the right environment and client.
I’m not a Digium employee either, but as someone who has been a part of their channel, the Asterisk community and have seen millions in Cisco phones go out the doors since 2003, I’d agree with John and Ward that Cisco SIP, is not SIP.
First off with Cisco IP phones, you need to pay to use SIP. Then you need to go through the hassle of upgrading them to SIP. So while it is true that SOME of their phones are compatible with open source SIP phone systems, they don’t make it easy (or affordable).
Secondly Asterisk, while still the largest open source telephony platform, is one of 100 plus platforms out there. I read somewhere that open source phone systems now comprise 28% of all new phone system deployments in North America – maybe Asterisk is a small threat, but open source telephony is a huge threat to Cisco.
Lastly the product in question, the Cisco SPA8800 (which is a solid product having tested it), comes from the “Linksys” side of the Cisco house. It’s a product developed by most of the team from Sipura Technologies who was acquired by Linksys a few years back.
Sipura has roots in the open source world as that is who the bulk of their first customers where from their VoIP adapters and the SPA841 VoIP phone. But this new offering is far from being a huge step towards “embracing open source” or even a way to “embrace and replace.”
People aren’t going to go from Asterisk to Cisco because of a Cisco gateway.
In reality what I think you’re starting to see is Cisco trying to quietly figure out how to approach open source telephony as they are likely getting their behinds handed to them in competitive bid situations due to the economic environment.
Garrett: The VAR Guy has always been a big fan of your blog, SmithOnVoIP. Thanks for sharing your analysis with The VAR Guy’s readers.
Good Luck Asterisk…. Good Luck….. Cisco is not the leader by chance….
Cisco provides the BEST solutions…. bow down
Hahah: Cisco is the market leader… but Asterisk is growing… and growing…
I’ve deployed both Asterisk-based IP PBX’s and Cisco CallManager (now Unified Communications Manager). I’ve found that both have their strengths and weaknesses. Asterisk’s greatest strength I believe is in it’s price point. Cisco has no comparison. But Cisco is a MUCH better unified communications solution. Costs aside, I would go with a Cisco deployment every time.
Fieryhail: Thanks for injecting new perspectives on an old blog post. The VAR Guy continues to greatly respect Digium and the Asterisk movement. But our resident blogger has to concede: Cisco remains the dominant force in unified communications.
-TVG