Cisco to Buy WebEx for $3.2B

摘要

There s just no substitute for A killer app was the message, after Cisco Systems announced on Thursday it would acquire online conference provider WebEx Communications for $3.2 billion. At $57 a share, Cisco agreed to cough up more than $10 above the stock's closing price on the day before the announcement, and pay more than eight times WebEx's 2006 earnings to buy the company. The rich price, however, may be worth it if WebEx's technology services help Cisco wrap up an important market, such as unified communications, and beat back competition from the likes of Nortel and Microsoft.