CLAIM #17862 · Cisco Systems Inc (CSCO) · 2026Q1 earnings call · Nov 12, 2025

“We expect this demand to increase. Driven by onshoring of manufacturing to The United States, the increase of AI workloads at the network edge, and the emergence of physical AI.”

Chuck Robbins · CEO

How to check this claim

Look at: Industrial IoT orders growth, year-over-year

It came true if: Year-over-year industrial IoT order growth rate reported in a subsequent quarter exceeds the 25% figure cited for Q1

Where: Company quarterly earnings call management commentary / investor materials

Knowable after: 2026-07-31

In context

“ireless, industrial IoT, servers. Within our campus networking portfolio, we are seeing very strong demand for switch routing and wireless products, indicating that enterprise customers are investing in the connectivity needed for AI deployments. As early catalyst switching generations like the 4Ks and 6Ks near end of support, we see growing demand for our Cat 9Ks series. Additionally, all of our next-generation solutions, including smart switches, secure routers, and Wi-Fi 7 wireless products, are ramping faster than in prior product launches. This marks the beginning of a multi-year multibillion-dollar refresh opportunity. We are also seeing consistent progress across our industrial IoT portfolio, including new ruggedized equipment with orders growing more than 25% year over year in Q1. We expect this demand to increase. Driven by onshoring of manufacturing to The United States, the increase of AI workloads at the network edge, and the emergence of physical AI. AI infrastructure orders taken from in Q1 totaled $1.3 billion, balanced between Silicon One systems and optics. Marking a significant acceleration in growth demonstrating our strength for advanced AI use cases. Expect to recognize roughly $3 billion in AI infrastructure revenue from hyperscalers in fiscal year 2026. As these hyperscale customers look to extend AI clusters across their infrastructure, we see robust demand for Acacia's market-leading coherent pluggable optics offering significant cost and power savings. All hyperscalers are now customers of these products. In Q1, we also announced our latest 80 Cisco 8,223 router powered by our Silicon One P200 chip. This first-to-market 51.2 terabits per second fixed Ethernet routing system is designed for the intense AI workload traffic”

Verify independently

SEC filings for CSCO ↗ · Quote is verbatim from the 2026Q1 earnings call.