Cisco thinks Mythos means instant death for unsupported networking kit

Cisco CEO Chuck Robbins warned that the "Mythos Effect" could force customers to replace unsupported networking equipment immediately. Mythos is a bug-finding model from Anthropic that has been highly effective, leading to the discovery of more security flaws and prompting vendors to release more patches. Cisco's Q4 earnings call revealed that customers are aware of Mythos and concerned that unsupported devices will become too risky to operate once patches cease.

One Cisco customer had already begun replacing outdated equipment. Robbins noted a significant increase in the pipeline of network refreshes due to Mythos. CFO Mark Patterson assured that customers will not face delays in receiving replacements, unlike competitors have suggested. The CEO said the "Mythos Effect" is one of three drivers for a "supercycle" of network spending, alongside quantum computing preparation and AI adoption.

Cisco reported a 17% increase in Q4 revenue to $17.3 billion and a 12% growth to $63.3 billion for the year, with net income rising 51% to $3.9 billion. The CEO boasted about Cisco's highest revenue, operating margin, and earnings per employee in thirty years, and reported a 30% jump in the full-year figure. Share prices spiked after the earnings announcement but then fell by four percent.

Cisco's AI capabilities were highlighted, with 145,000 support cases resolved entirely by AI with zero human intervention during FY26. Cisco also operates an in-house AI Assistant, "Circuit," which handled over 75 million prompts in Q4, embedded in Cisco's operations and managing token consumption on its Secure AI Factory infrastructure.