Cisco as well as many other vendors locks their equipment to only work with their own branded SFPs. The problem is that none of the big vendors actually manufactures the modules themselves – they use 3rd parties like avago or finisar. This extremely shameful practice is wide spread so almost everyone does this – Cisco, Juniper, Brocade or NetApp all are guilty of this. One issue is price – the aforementioned companies are willing to ask you 10 or even 100 times more for a branded sfp under the pretense of supportability.
Random thoughts on networking