Cisco Buying Flip Video Camera Maker

摘要

Cisco has announced its intent to acquire privately held Pure Digital Technologies, creator of the Flip video camcorder for consumers, for $590 million in stock.The acquisition is key to Cisco's strategy to expand momentum in the media-enabled home, Cisco said. Upon the close of the acquisition, Pure Digital will become part of Cisco's Consumer Business Group, which includes Linksys by Cisco home networking, audio and media-storage products. "Pure Digital will add to Cisco's arsenal of products aimed at driving increased network bandwidth, similar to Cisco's video conferencing products. As more consumers upload video content to the web, it will also drive demand for Cisco's traditional products-switches and routers," said UBS analyst Nikos Theodosopoulos.