Cisco Systems has announced the acquisition of Silicon Valley-based Jasper Technologies for $1.4 billion. The latter is a 12 year old company which is focused on developing IOT devices. As a part of the deal, Jasper CEO Jahangir Mohammed will join Cisco to run the new IoT Software Business Unit.
It s a highly strategic move by Cisco, given that it has been for decades, making equipment that connects machines and networks to the Internet. The motive behind this deal is to bolster Cisco’s offerings in the growing market for technology that lets people manage devices like jet engines and vending machines over the Internet.
Under Chief Executive Officer Chuck Robbins, Cisco is working to extend its reach beyond corporate networking as more kinds of devices and products- from refrigerators and thermostats to industrial equipment; become capable of linking to the Web, giving them new functionality and allowing them to be controlled in new ways.
Adding a comment on the development, Robbins stated, “Cisco sees IoT as both a top priority for the company as well as a massive market opportunity.”
Jasper’s software is already in use by Ford Motor Co. and Nissan Motor Co., enabling users to remotely unlock doors, start the engine or call emergency roadside assistance. Amazon.com Inc.’s Kindle electronic readers use Jasper software to get e-books delivered over the Internet, and Heineken NV uses it to monitor beer quality and keg levels.Category Business News