Cisco reported that second quarter revenue in its Service Provider Video segment grew 30 percent year over year, in its Wireless segment by 27 percent, and in its Data Center segment 77 percent; the average for the company as a whole was 5 percent.

Chairman and CEO John Chambers said that the company saw growth in service provider Wi-Fi systems and revenue growth of 40 percent associated with the ASR 9000. ASR sales came at the expense of the company’s CRS platform.

As a case in point, the company separately announced that Czech telecommunications operator T-Mobile has chosen the the ASR 5000 to manage its new LTE network, together with existing 2G and 3G networks. The equipment will be installed this year.

Chambers said the company continues to see “capex spending continuing to be challenged.” Nonetheless, the companys said, "We are starting to see some good signs in the U.S. and other parts of the world which are encouraging.” Comments from the company’s conference call with analysts are from the transcript of the call provided by Seeking Alpha.

Acknowledging that carrier spending worldwide in general was down, Chambers said, “The North American spend especially in the U.S. is probably stronger than you saw in another parts of the world.”

Cisco's fiscal quarters end a month later than most other major technology companies, giving it additional time to assess economic conditions.

Cisco's net income jumped 14 percent in the latest quarter as revenue at all four of its divisions rose for the first time in a year and a half.

Cisco earned $2.5 billion, or 46 cents a share, in its fiscal third quarter, which ended April 27. That's up from $2.2 billion, or 40 cents a share, a year ago. Excluding one-time items Cisco earned 51 cents a share in the latest quarter, and its revenue increased 5 percent to $12.2 billion from $11.6 billion.

Revenue in the U.S. improved and sales from emerging markets grew more than 10 percent.

The company said total orders rose 4 percent during the quarter. Orders in the Americas grew 7 percent. The company said government spending improved as local and state governments and education departments spent more money. Orders from the federal government decreased.

"We believe this balanced approach to growth is a positive signal for the U.S. economy going forward," Chambers said during a conference call. Orders from emerging markets like Russia, Brazil, China, and Mexico improved and the company said it is seeing some signs of improvement in Europe.

"You're beginning to see Europe bottom out with the exception of the South," said Chambers.

Cisco expects further signs of a slow and steady recovery in the fiscal fourth quarter.

During the quarter, Cisco completed the divestiture of Linksys, continued working to integrate its NDS acquisition, and announced two more acquisitions in software (Ubiquisys) and cloud (SolveDirect).

– The Associated Press contributed to this report