Cisco Goes on a Spending Spree, Acquires Cloud Networking Firm for $1.2 Billion
"The acquisition of Meraki enables Cisco to make simple, secure, cloud managed networks available to our global customer base of mid-sized businesses and enterprises. These companies have the same IT needs as larger organizations, but without the resources to integrate complex IT solutions," said Rob Soderbery, senior vice president, Cisco Enterprise Networking Group. "Meraki’s solution was built from the ground up optimized for cloud, with tremendous scale, and is already in use by thousands of customers to manage hundreds of thousands of devices."
Cisco said it was important for the company to extend its reach to cloud networking and device and security services as the IT industry transforms in the mobile-cloud era.
In addition to acquiring Meraki for $1.2 billion, Cisco on Friday announced its intent to spend an additional $125 million for Cloupia, a privately held company in Santa Clara, California, that automates converged data center infrastructures.