Thursday, March 29, 2007

Finally an acquistion that makes sense!!!

After a truck load of acquistions that made analysts go 'huh?', Cisco has finally bought a company closer to its core competency,Networking!!! Cisco has announced its intentions to acquire SpansLogic, a provider of packet speed enhancing processors. The report quotes a senior executive of Cisco saying

It is imperative that the network be tightly integrated with very high speed processing capabilities eliminating bottlenecks,said Tom Edsall, Senior Vice President, Datacenter Business Unit (DCBU). With SpansLogic, Cisco will be able to improve overall traffic efficiency and throughput across the network.

Cisco had its own set of network processors which it was experimenting with a couple of years ago. Very curious to know whether they are still in the works or Cisco has given it up and decided to buy this company. Also, I am sure I read about the speculation regarding this acquistion atleast couple of months before. So it is safe to say, this has been on the cards for sometime now.

Networking folks, in case you were losing hope that Cisco was going to buy only Social Networking companies, this is a good enough reason to stick with Networks :)

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