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October 13, 2016updated 25 Oct 2016 1:08pm

Cisco CTO departs in corporate restructuring

Move is part of an “updated alignment” of its engineering teams.

By James Nunns

Cisco is undergoing a corporate restructuring that has seen its CTO and top cloud executive leave the company.

The company said that Zorawar Biri Singh, who became CTO in 2015, will leave as part of an “updated alignment” of its engineering teams.

Singh was named CTO in June 2015.

Singh was named CTO in June 2015.

The departure of Sing, who is also senior vice president of Cloud Services and platforms, comes as the company restructures in order to invest in priority areas such as security and the Internet of Things.

The networking giant has been trying to adapt to the growing demand for cloud services and has been undertaking a large restructuring plan in order to better compete.

In 2014 it revealed it would be investing $1bn to expand its cloud services. But at Canalys Channels Forum 2016, the company’s EMEA and Russia president Edwin Paalvast said: “No doubt AWS have won in mass startup markets like very big data applications. They are the norm and can’t be beaten any more.”

In August it revealed up to 5,500 job losses, totally around 7% of its global workforce, would be seen in order to: “optimise our cost base in lower growth areas of our portfolio and further invest in key priority areas such as security, IoT, collaboration, next generation data centre and cloud,” the company said.

Singh became CTO in June 2015 after replacing Padmasree Warrior, who had been in the position since 2007.

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Singh had been responsible for the company’s overall technology strategy and the company is yet to replace him.

While the company looks for a replacement a number of its engineering leaders will now report to David Goeckeler and Rowan Trollope, Cisco said.

Cisco recently reported a 2% drop in its revenue to $12.6bn from $12.84bn in the quarter to 30th July, however, it saw a 21% increase in profit for its fourth quarter ending at the same time. Profit increased to $2.81bn in the May-July quarter, up from $2.3bn for the same quarter last year.

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