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Cisco to buy BroadSoft for $1.7 bln

2017年 10月 24日 Tuesday - 01:15

Cisco Systems will buy U.S. telecommunications software company BroadSoft in a deal valued at $1.7 billion. Fred Katayama reports.

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Cisco Systems is shelling out $1.7 billion for the U.S. telecommunications software company BroadSoft. That works out to $55 per share with a two percent premium. The deal gets the networking giant a stronger foothold in selling unified communications software to big telecommunications firms, such as Verizon and AT&T. JMP Securities' Erik Suppiger. (SOUNDBITE) ERIK SUPPIGER, SENIOR RESEARCH ANALYST, JMP SECURITIES (ENGLISH) SAYING: "This is a part of a broader strategy on the part of Cisco to transform itself. Cisco, you know, has traditionally been very hardware centric. And they're trying to evolve more towards a software solution. In many of the acquisitions they've done, it's been more on the enterprise side that they're moving towards a software architecture. But I think this is demonstrative of Cisco making that transition also across the service provider space." The deal is expected to close during the first quarter of 2018. It's Cisco's second major acquisition this year. In March, the company bought privately-held AppDynamics for $3.7 billion.

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Cisco to buy BroadSoft for $1.7 bln

2017年 10月 24日 Tuesday - 01:15