Rumor: Cisco Looking To Sell Off Linksys Division

rated by 0 users
This post has 4 Replies | 0 Followers

Top 10 Contributor
Posts 24,884
Points 1,116,875
Joined: Sep 2007
ForumsAdministrator
News Posted: Mon, Dec 17 2012 2:23 PM
Linksys routers have become virtually ubiquitous in consumers’ homes over the years, but parent company Cisco (NASDAQ: CSCO) is reportedly looking to sell off the brand. Cisco is looking to get out of the consumer business and focus more on enterprise software and services, and unloading Linksys will be a big step in that direction.

Linksys will most likely be fine; it’s a valuable brand and will bolster some lucky company’s consumer portfolio, despite some cuts and reductions that Cisco enacted since buying the company for half a billion bucks in 2003. Bloomberg’s sources indicate that TV makers could be interested in Linksys.

Cisco HQ
Cisco headquarters in California

According to Bloomberg, Cisco also owns Scientific Atlanta and NDS Group, Ltd., which produce consumer-level set-top boxes and software for pay-TV channels, respectively. The report did not indicate whether or not those other assets would also be on the auction block, but it did say that Barclay’s will be helping Cisco find a buyer for its Linksys division.
  • | Post Points: 65
Top 150 Contributor
Posts 756
Points 7,635
Joined: Nov 2012
Location: Dallas, Tx
Dorkstar replied on Mon, Dec 17 2012 4:37 PM

I feel like Cisco is cutting off their arm here, in hopes of being able to replace it.  It's always strange when a company sells off a brand as popular as Linksys is.  

  • | Post Points: 5
Top 100 Contributor
Posts 1,016
Points 10,925
Joined: Dec 2010
Location: Mcallen, Texas
OSunday replied on Mon, Dec 17 2012 7:20 PM

Every router I've used in my home since I was younger has been a linksys... I don't understand why Cisco would want to sell off a successful area of it's own business?

I understand that it has a plan to move in a different direction than consumer products, but I don't understand why one would be willing to turn away from something profitable just for a direction change

  • | Post Points: 5
Not Ranked
Posts 2
Points 10
Joined: Dec 2012

Hi,

There is some problem perhaps with the quality of Linksys. But I think they are down sizing their business.

  • | Post Points: 5
Not Ranked
Posts 2
Points 10
Joined: Dec 2012

Hi,

There is also possibility that the focus to wide and down sizing and reduce the weight and size of the organization would stream line the entire operations

  • | Post Points: 5
Page 1 of 1 (5 items) | RSS