Cisco’s most lucrative product segment is switching, which accounted for revenue of over 13.9 billion U.S. dollars in 2017, almost 30 percent of the company’s total product revenue. Switching involves grouping transmitted data, regardless of content or type, into suitable blocks called packets. These packets of data can then be shared among users on a network. Cisco is the global market leader in Ethernet switches, with an industry share of about 53.4 percent in the first quarter of 2018. Its closest competitors in the market are Hewlett Packard Enterprise (HPE) and Huawei with a market share of 6 and 8.1 percent respectively. This market generated revenues for Cisco of around 14 billion U.S. dollars in 2017.
Cisco is also one of the largest vendor of servers in the world based on revenue, but has fallen out of the top five server vendors worldwide in early 2018. In terms of server units shipped, Cisco is also no longer part of the top five vendors worldwide at this time. For quarters where figures are available for Cisco's unit shipments, the company has shipped around 80,000 server units. As of early 2018 Cisco's share of the server systems market was around five percent. Dell, HPE and ODM Direct are the top three vendors in the server systems market at this time.