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Cisco has historically bought lots of other companies to fill gaps in its technology portfolio. It had purchased 127 companies as of April 2008. It would be a huge break in tradition if they didn't continue buying more.
Source(s):
http://en.wikipedia.org/wiki/List_of_acquisitions_by_Cisco_Systems
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It's a way of letting others take the risk as opposed to doing a lot of fundamental R&D themselves.
Many large companies do this nowadays, also in other domains (e.g. Pfizer in pharmaceuticals). Most of them do some own research as well, but as a whole they seem to be more of a financial group annex marketing company.
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| July 27, 2009 02:51 AM |
Source(s):
http://en.wikipedia.org/wiki/List_of_acquisitions_by_Cisco_Systems
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• Both great answers, I had a hard time decided! But I have to pick the winner and lgkeys was first :)
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July 27, 2009 10:57 AM
Yes, their strategy is to let small startups invent new technologies, buy them and then do a lot of marketing around those new technologies while integrating them into the Cisco portfolio. It's a way of letting others take the risk as opposed to doing a lot of fundamental R&D themselves.
Many large companies do this nowadays, also in other domains (e.g. Pfizer in pharmaceuticals). Most of them do some own research as well, but as a whole they seem to be more of a financial group annex marketing company.
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