Cisco Systems Inc said on Tuesday it plans to purchase cybersecurity company Sourcefire Inc for $2.7 billion, a deal that analysts say should spark more acquisitions in the industry as large vendors seek to profit from growing demand for IT security.
Cisco (San Jose, CA, USA), which has been seeking targets to boost its network security business, said it will pay $76 per share in cash for Sourcefire (Columbia, MD, USA), a premium of 28.6 percent over its closing price on Monday of $59.08.
Cisco Systems Inc must pay $70 million in damages to patent licenser XpertUniverse Inc for fraudulently obtaining technology developed by the New York company, a jury found on Friday, according to court filings.
The jury also found that Cisco (San Jose, CA, USA) violated two XpertUniverse (New York City, NY, USA) patents, and awarded an additional $34,000 in damages on those claims.
Cisco, the world's largest manufacturer of networking equipment, said it would appeal if the judge leaves the jury verdict intact.
Juniper Networks Inc is reviewing its enterprise-focused networking business after talks fell through late last year to sell assets, including security unit NetScreen Technologies, several sources close to the matter told Reuters.
Cisco Systems Inc's quarterly results topped Wall Street views on Wednesday amid early signs tech spending was on the mend, but CEO John Chambers warned the picture was mixed and parts of Europe remained challenging.
The company's shares were down 1.7 pct in after hours trading after Cisco (San Jose, USA) reported that revenue growth in Europe - which accounts for a quarter of its business - was down 5 percent. Revenue in the Americas was up 9 percent and was 8.3 percent higher in the Asia-Pacific region.
Oracle Corp will buy network equipment maker Acme Packet Inc for $2.1 billion, putting it in a better position to compete with Cisco Systems Inc (San Jose, USA) in moving data securely over internet networks.
Shares of Acme (Bedford, USA) were trading 7 cents above the offer price of $29.25 in early trading on Monday, suggesting that some investors anticipate a counter bid.
The deal is Oracle's (Redwood Shores, USA) biggest since it bought Sun Microsystems in 2010 for about $7 billion.
Cisco Systems Inc is selling its home networking business to Belkin, the networking giant's latest move to exit the consumer business.
The companies did not disclose the financial terms of the deal, which Belkin (Playa Vista, USA) said on Thursday is expected to close in March.
With the sale, Cisco (San Jose, USA) sheds one of the last remaining pieces of its consumer business, following the shutdown of the Flip video camera business in 2011.
Earlier this month, Cisco said it would shutter its Umi online video-conferencing service.
Networking equipment company Cisco Systems Inc has acquired a small stake in Russian software developer Parallels, Parallels said on Thursday.
Parallels (Moscow, Russia) said in a statement that Cisco (San Jose, USA) has bought about 1 percent of the company and added that the stake sale does not rule out a possible initial public offering of the Russian firm.
"We are looking at all possible ways to ensure liquidity options: dividend payouts, IPO, mergers and acquisitions," Parallel's press service said.
East Carolina University (ECU) has filed a lawsuit against Cisco Systems Inc over the use of its registered trademark "Tomorrow Starts Here", which is central to the network equipment company's new marketing campaign.
The U.S. university said on Friday that it is seeking damages for unauthorized use of the trademark, which it said is "a university-wide brand that represents an overlapping field of goods and services when compared with that of Cisco".
Cisco Systems laid out its mid-term growth strategy on Friday, betting on increased demand for software, services and security as it strives to become the world's leading information technology company.
Cisco (San Jose, USA), whose business roots in routers and switches that move Internet traffic still generate about 50 percent of its revenue, has been steadily expanding its other offerings including data centers, network security and video conferencing.
[Note: as of this writing Cisco's stock is trading up 5.8% on the NYSE, having beaten estimates.]
Cisco Systems Inc reported first quarter results that beat estimates but expects flat earnings and slower revenue growth for the current quarter.
"We are modeling Europe to get worse before it gets better," Chief Executive John Chambers said on Tuesday, echoing his comments from the company's fourth-quarter earnings call in August.
However, he added that "we see signs of improvement in the U.S. in enterprise, service provider and commercial."