This week ended with a bang as Cisco announced their acquisition of Scientific Atlanta. As more companies move towards IPTV and video-based networking, buying Scientific Atlanta puts Cisco in a good position to benefit. The question is how soon?
"Video is emerging as the key strategic application in the service provider triple play bundle of consumer entertainment, communication and online services," said John Chambers, president and chief executive officer of Cisco Systems. "The combination of Cisco and Scientific-Atlanta brings unmatched experience and innovation in delivering large scale video systems and networks, and the addition of Scientific-Atlanta further extends Cisco's commitment to and leadership in the service provider market. Moreover, Cisco's international presence and IP leadership will also create strategic synergies that accelerate the combined growth opportunity."
Scientic Atlanta will be aligned with Linksys within the company. Cisco said the move would create an "end-to-end" triple play solution for service providers and Cisco will begin to develop and deliver a variety of integrated media services in the connected home.
Cisco will look at leveraging their international relationships to try and sell Scientific Atlanta's products, which are mostly sold in the U.S.
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