I think Cisco believes that the world of work will change a lot more than it already has over the years since the dot.com bust.
I also remember a few years back learning that Cisco was involved (in alliance with Electronic Arts, I believe .. I'd have to go back to the source, a book titled Work 2.0) in some quiet research about the use of video game principles and techniques in workplace application. I was doing the research because I was trying to convince one of my then clients that the video-game idiom would be found in more and more workplace productivity and learning applications in about ten years (that was five years ago).
Anyway .. Cisco just forked out a lot of moolah for a web service that helps people conduct meetings online .... a really lot of moolah, $3.2 billion !
Via AP and the New York Times:
Cisco to Pay $3.2 Billion for WebEx
March 15, 2007
SAN FRANCISCO (AP) -- Cisco Systems Inc. said Thursday that it has agreed to acquire the online meeting company WebEx Communications Inc. for about $3.2 billion in cash.
Cisco, the leading maker of routers and switches that direct data over computer networks, said it will pay $57 per share of WebEx. That represents a 23 percent premium over WebEx's closing price of $46.20 Wednesday on the Nasdaq Stock Market.
Shares of WebEx soared $10.53, or more than 22 percent, to $56.73 in early trading on the Nasdaq Stock Market. Cisco shares lost 6 cents to $25.79 on the same exchange.
Cisco said the acquisition has been approved by both boards and is expected to close in the fourth quarter of fiscal 2007. Cisco said it expects transaction to have an immaterial effect on its fiscal year 2008 earnings after one-time charges are subtracted. The total purchase price will be about $2.9 billion when factoring in WebEx's $300 million in cash on hand.
The San Jose-based company has recently made a number of acquisitions branching out from its core business of supplying networking gear and into communications, social networking and other areas that help drive traffic over the network and increase demand for its core equipment.
Tags: Cisco, EA, WebEx, networking, collaboration, the future of work
Powered by Qumana




