Is Cisco’s AI Boom Built on Its People?

Cisco’s latest results suggested that human capital when paired with the right AI tools can be just as powerful a growth engine as automation itself. While Amazon, Microsoft, and Accenture have trimmed staff in pursuit of AI efficiency, Cisco is teaching its engineers to code faster, think creatively, and build smarter with AI. And that investment in human capital just powered one of its strongest quarters in years.

Cisco reported $14.88 billion in revenue for the first quarter of fiscal 2026, up 8% from a year earlier, and earnings of $1 per share, surpassing analyst expectations. Net income rose to $2.86 billion, and the company raised its full-year guidance to $60.2–$61 billion in revenue and $4.08–$4.14 in adjusted earnings per share.

“The widespread demand for our technologies highlights the critical role of secure networking and the value of our portfolio as customers move quickly to unlock the potential of AI,” CEO Chuck Robbins told analysts. Shares climbed nearly 8% in late trading after the announcement, marking Cisco’s fourth consecutive quarter of growth.

Betting on People, Not Cuts

Robbins has been one of the few major CEOs to publicly push back. “I don’t want to get rid of a bunch of people right now,” he told CNBC in August. “I just want our engineers we have today to innovate faster and be more productive.”