Tech Insider

Saturday, April 16, 2005

Cisco Acquires Topspin for $250M

Cisco Systems, Inc. yesterday announced its decision to acquire a privately held firm, Topspin Communications, for $250 million and exclusive options.

Topspin Communications makes server fabric switches for large data centers and research facilities where a number of servers are linked together to manage substantial data load. Before the acquisition, Topspin provided InfiniBand switching solutions to accompany Cisco products.

Cisco Systems said Topspin will allow the company to offer better solutions to its enterprise customers that demand scalability and a better range of products throughout.

Market research firm IDC thinks highly of this acquisition. Rick Villars, research analyst for IDC, said this deal will allow Cisco to further strengthen their position in the market. Villars believes Topspin’s technology to be solid match for the networking giant.

According to Cisco Systems, the deal is expected to close in Q4 of their 2005 fiscal financial year. The company will re-hire 135 employees from Topspin and move them to the Switching and Wireless Technology Group.

0 Comments:

Post a Comment

<< Home