Cisco Systems Inc. has come in terms to acquire ParStream, a Big Data analytics startup that functions from Cupertino and Germany. The acquisition deal was led by CEO Peter Jensen but the financial terms of the deal has not been disclosed.
Founded in 2011, the privately owned ParStream provides an analytics database that enables companies to analyse large amounts of data and store it in near real-time anywhere in the network, rather than using a central server. It makes an analytics database for Internet of Things environment. Using compression and indexing capabilities, its database filters billions of records, enabling customers to compute and analyze large amounts of data at the network edge in near real-time.
The acquisition complements Cisco’s current data and analytics portfolio, improvising its ability to offer analytics at the edge of the network, where data is increasingly being generated and in huge quantity. Intelligence contained in the data is what determines the value of IT. Real-time access to data derived from the connected equipment can lead to benefits like decreased equipment downtime through predictive maintenance, increased productivity and historical analysis of environmental patterns.
Rob Salvagno, head of Cisco’s M&A and venture investment team, ” As the burgeoning Internet of Things becomes a reality, it’s estimated that 50 billion devices and objects will be connected to the Internet by 2020. With this massive number of new connections, valuable data will be created at an even faster pace than most companies can manage.”
Being part of the Cisco Entrepreneurs in Residence startup program, a 6-month incubation period, ParStream received lot of support at the early stage, product-focused efforts focuses on Internet of Everything/Things, smart cities, big data/analytics, enterprise mobility and security. Further to the acquisition, the ParStream team will integrate with the Cisco’s Data and Analytics Group. The deal is expected to close in the second quarter of Cisco’s fiscal year 2016, that end in January 2016.