EU, U.S. Justice Department Approve Cisco's $3.4 Billion Acquisition of Tandberg
Cisco and the Norway and New York-based Tandberg both develop competing tele- conferencing technologies. The release says that the European Commission took into account Cisco’s ambitions to incorporate Tandberg’s technologies to further “interoperability between its multi-screen video conferencing products and competitive products.” As a condition of the approval of the deal, Cisco is required to appoint an independent monitor, who must be approved by the Commission, to oversee the implementation of these commitments. Once the Commission approves the independent monitor, the deal can close.
Cisco recently bought up Rohati Systems, and acquired the set-top box business of one of China’s largest cable companies, DVN, for $44.5 million. This deal was peanuts compared to Cisco’s other 2009 acquisitions including the acquisition of ScanSafe for $183 million. And last fall, Cisco announced a $2.9 billion acquisition of mobile networking infrastructure provider Starent Networks. It’s been quite a shopping spree for Cisco; and it must be a relief to have its most expensive purchase finally approved.
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