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Journal forged's Journal: Cisco to Acquires Linksys 8

Journal by forged
The Boston Globe is reporting that networking giant Cisco Systems will acquire Linksys later this year for $500M, thus entering the consumers market. Linksys press release is here. The good news is that those who bought a Linksys access point now have a Cisco access point for 1/2 of the price ;)
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Cisco to Acquires Linksys More

Cisco to Acquires Linksys

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  • Whoa! That gave me a flashback to the 80's and 90's "Microsofr Acquires [something large]"
    • The press release (or one of the articles?) says that it's the 3rd one this year, but what made it exciting to me is that Linksys is a fairly reputable brand for Home Networking gear...

      Of course now the buying frenzy is far more ocnservative compared to what it was in the 1999-2000 era. at the time, Cisco were buying up to 40 companies per year (almost one per week *sigh*)

  • is this a Good Thing?

    What does this mean to me as Joe switch/access point user?
    • I don't think that this will have any short-term impact for anyone. Says the press releases, Linksys will stay a separate division and largely continue to operate on its own.

      In the long run, I don't know. I guess it's a good deal for both companies: Linksys will benefit from Cisco sales channels, and Cisco enters the profitable Households market.

      • Linksys will benefit from Cisco sales channels, and Cisco enters the profitable Households market.

        Dunno. Cisco has great channels for Pro/Business gear. Don't know how appropriate it is to try to push home network products through those channels.

        And is the home market really that profitable? My impression is that margins are a lot thinner there. Then again, feel free to educate me. :-)
  • Woah, my second story [slashdot.org] accepted. I should go out more, or something :-)
  • Is Linksys going to remain a separate company producing cheapo gear, or is Cisco trying to pull a Combinet?

    "IOS-compatible" WAP11s, anyone? :-)

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