Bit of an odd question but I'd like to use the Anonymous forum to hear the opinion from anyone either current or ex in the Transceivers Group. Is there anything really better about the Cisco branded Transceivers vs. ones you can buy from 3rd parties?
Cisco optics for us cost around $900 ea. while the equivalent from a 3rd party is $30-60.
Same reason why branded medications cost more than their equivalent generic versions.
It is not just Cisco that does this. Every branded component from any major vendor costs a LOT more. Memory, NICS, optics etc. They have to cover the testing, certification, support, documentation etc whilst still making a profit.
Cisco does not make transceivers, rather they just certify them. I saw a contract discount schedule for a large customer and the transceivers had insanely high discounts - due to the built-in margin.
Cisco branded transceivers have been tested and certified for the equipment whereas 3rd party ones haven't. So in one sense you're paying for the QA and support. That's a part of the story (a weak part, but not untrue).
Expensive transceivers let Cisco sell the switch/router for a lower price - making the device more attractive - whilst making the money back (and then some) via the transceivers.
Thanks for the reply @zcd+1fgBwpq6, I think what I'm more asking for is what value do they think that add to make it 15-30 times more expensive.
If the third party optics do the same job needed for you, at 1/30th the cost - it seems like you've answered your own question.
What could possibly make a cisco branded anything worth 30 times what a competitor charges?
And you might not get Cisco products for a year out now... even though the sales reps are highly encouraged to lie and not let you know about the massive supply shortages. So if you purchase a competitors product - you may get it in a useful time frame to boot!