Cisco Systems has joined Project Glasswing alongside Anthropic, Amazon and other tech companies to detect software vulnerabilities using advanced AI models. The collaboration includes early access to Anthropic's Claude Mythos Preview and has already identified security flaws missed by existing tools. The initiative aligns with Cisco's strategy of integrating AI-driven security capabilities into its networking and collaboration products. For investors, the partnership positions Cisco to address software risks for large enterprise and government customers as AI reshapes cybersecurity. Cisco shares currently trade at $83.17, approximately 7% below the analyst target of $89.04. The company has raised $295 million to date, with recent 30-day returns of roughly 7%. Success depends on real-world effectiveness and maintaining customer trust in AI-based defences.

Cisco has appointed Pete Shimer to its board of directors, effective immediately. Shimer will serve on the board's Audit Committee. Shimer brings 40 years of executive leadership experience from Deloitte, where he held C-suite positions including chief operating officer, chief financial officer and interim chief executive officer. His expertise spans enterprise transformation, strategic planning and digital innovation. He currently serves on the boards of Alaska Airlines, Korn Ferry and Synopsys, and is executive chair of the Cancer Artificial Intelligence Alliance. Shimer holds a Bachelor of Arts degree in Accounting from the University of Washington. Cisco chair and CEO Chuck Robbins said Shimer's experience leading global organisations and guiding digital transformation brings valuable insight as Cisco delivers infrastructure for AI innovation.

Applied Digital topped Q4 IT services and tech stocks, while the sector overall saw revenues beat analyst estimates by 5.3%. The 20 tracked companies reported strong results, though share prices averaged a 10.4% decline following earnings announcements. Cisco reported revenues of $15.35 billion, up 9.7% year on year, exceeding analyst expectations by 1.5%. The networking equipment maker delivered a strong quarter with revenue guidance surpassing forecasts. CEO Chuck Robbins highlighted the company's portfolio strength and its role in connecting and protecting customers. Despite positive results, Cisco's stock fell 7.6% post-earnings to $79.08. The IT services sector faces growth opportunities from cloud adoption and AI-driven automation, whilst navigating challenges including competition from cloud-native providers and supply chain constraints for networking hardware.