Wed Feb 12 21:10:00 UTC 2025: ## Cisco Raises Revenue Forecast on AI-Driven Demand
**San Jose, CA –** Cisco Systems Inc. announced a raised annual revenue forecast for fiscal year 2025, driven by surging demand for its networking equipment fueled by the burgeoning artificial intelligence (AI) sector. The company now projects revenue between $56 billion and $56.5 billion, exceeding its previous forecast and analyst expectations.
The increase reflects a significant corporate investment in AI infrastructure, boosting the need for data centers and, consequently, Cisco’s core products like ethernet switches and routers. CEO Chuck Robbins stated that Cisco is well-positioned to support this growth, helping customers scale their network infrastructure and bolster AI security.
Cisco’s positive outlook follows recent strategic moves in the AI space. This week, the company partnered with French AI firm Mistral to develop an AI agent for workflow automation, and earlier this year launched Cisco AI Defense to combat the emerging cybersecurity risks associated with AI technology.
The company’s second-quarter revenue reached $14 billion, surpassing analyst predictions of $13.87 billion. The news sent Cisco shares up approximately 6% in after-hours trading. The upward revision in the revenue forecast underscores the significant impact of AI on the networking industry and Cisco’s leading position within it.
First Piper 