Cisco Secures $9.3 Billion in AI Infrastructure Orders for FY2026

Cisco reported revenue of $17.3 billion for the fourth quarter, marking an 18% increase compared to the previous year. The company also recorded $4 billion in AI-related orders during the quarter. Despite these strong results, Cisco's shares declined by 4% following the earnings release, primarily due to cautious margin expectations. The company forecasts a non-GAAP gross margin of approximately 65–66% for the first quarter, reflecting ongoing challenges even for industry leaders in executing AI strategies. The substantial AI infrastructure orders underscore the growing importance of network equipment in supporting AI deployment across various sectors, signaling a strategic shift and increased investment in AI-capable infrastructure.