Cisco is assessing the costs associated with upgrading its network infrastructure. Fixed investment costs are $800 million, and variable operating costs are estimated at $100 million annually. Cisco expects the upgraded infrastructure to generate annual revenue of $1.2 billion.

Requirements:

• Calculate the total investment and annual operating costs for the infrastructure upgrade.
• Determine the ROI and payback period for the investment.
• Analyze the expected revenue impact of the upgraded infrastructure.
• Discuss the strategic importance of network infrastructure in Cisco's technology solutions.
• Evaluate the financial implications of the investment on Cisco's balance sheet.
• Recommend cybersecurity measures and network optimization strategies.