Cisco forks out $3B for video conferencing co.
Cisco struck a deal last night to buy Norway-based video conferencing company Tandberg for $3 billion.
With Tandberg’s assets, Cisco will bolster its video conferencing lineup, which includes its TelePresence and WebEx platforms.
Pending the usual regulatory reviews, the deal is expected to close in the first half of next year.
Once the transaction is completed, Tandberg CEO Fredrik Halvorsen will lead the new TelePresence Technology Group, reporting to Marthin De Beer, senior vice president of Cisco's Emerging Technologies Group.
"Cisco and Tandberg have remarkably similar cultures and a shared vision to change the way the world works through collaboration and video communications technologies," said Cisco Chairman and CEO John Chambers. "Collaboration is a $34 billion market and is growing rapidly – enabled by networked Web 2.0 technologies. This acquisition showcases Cisco's financial strength and ability to quickly capture key market transitions for growth."