Networking giant Cisco Systems on Wednesday said it would buy Linksys, a manufacturer of networking gear for consumers, in a stock deal valued at $500 million.
The deal will facilitate Cisco's entry into the consumer networking market, the company said in a statement. Following the close of the acquisition, Cisco will operate Linksys as a division and will continue to sell its products under the Linksys brand name. Though long a seller of small business goods and services and a strong vendor for the enterprise, Cisco's purchase of Linksys would considerably extend its tendrils into the consumer space. Linksys has the most extensive product line in home networking, with more than 70 products, covering WiFi as well as hardwired networking solutions.
The deal will facilitate Cisco's entry into the consumer networking market, the company said in a statement. Following the close of the acquisition, Cisco will operate Linksys as a division and will continue to sell its products under the Linksys brand name. Though long a seller of small business goods and services and a strong vendor for the enterprise, Cisco's purchase of Linksys would considerably extend its tendrils into the consumer space. Linksys has the most extensive product line in home networking, with more than 70 products, covering WiFi as well as hardwired networking solutions.
