Cisco Systems is all set to acquire Acano Limited, a UK-based audio and video technology maker for a deal worth $700 million in cash.
Based in London, Acano is known for developing video infrastructure and conferencing software. It’s hardware and software consists of gateways, and video and audio binding technology that allows customers to connect video systems from various vendors across both cloud and hybrid environments.
Now with the acquisition, Cisco expects Acano will support its collaboration strategy of delivering video to multiple interoperable endpoints, screens and workplaces, at scale. Also, it expects Acano will help Cisco deliver video to tens of thousands of users from the cloud to any screen, including Microsoft platforms, through support of the WebRTC protocol. Company in the statement said, “Acquisition will accelerate Cisco’s collaboration strategy to deliver video everywhere, providing the best collaboration experience across every endpoint, every screen, every workspace and to every user.”
Rowan Trollope, senior vice president and general manger at Cisco’s Collaboration Technology Group said, “Collaboration has been on a tear in the last year, and six months. There’s a drive towards video in every single conference room and it needs to work with existing infrastructure, like Microsoft Lync. Acano has the best interoperability story in the market.” There seems to be less than 10% of the conference rooms in the world are connected via video which Cisco intends to change.
People, companies and organizations are more geographically dispersed than ever before, and collaboration is essential to helping teams increase productivity and drive growth,” said Rob Salvagno, vice president, Cisco Corporate Development.
Further to the acquisition, Acano employees will join the Cisco Collaboration Technology Group led by Rowan Trollope. Apart from the purchase price, Cisco will pay retention-based incentives for Acano employees who would join Cisco. The deal is expected to close in Cisco’s fiscal 2016 third quarter which ends in April, 2016. As per the agreement, Cisco will pay cash and assumed equity awards, plus additional retention based incentives for Acano employees who join Cisco.