Cisco Buying Network Traffic Software Vendor Cariden
The networking giant is buying Cariden, whose products will help boost Cisco’s offerings to service providers, for $141 million.Cisco Systems is bolstering its network traffic management capabilities by buying Cariden Technologies, the networking giant's latest purchase in its ongoing acquisition spree and the third company it's bought in November. Cisco officials announced the $141 million deal for Cariden Nov. 29, saying the deal will give service providers another tool to help them speed up, optimize and monetize their networks. "Given the widespread convergence of IP and optical networks, Cariden's technology will help carriers more efficiently manage bandwidth, network traffic and intelligence," Surya Panditi, senior vice president and general manager of Cisco's Service Provider Networking Group, said in a statement. "This acquisition signals the next phase in Cisco's packet and optical convergence strategy and further strengthens our ability to lead this market transition in networking." Service providers are converging their IP and optical networks to deal with the rapid growth in Internet traffic and the increase in mobile traffic, according to Cisco officials. The networking vendor has been talking about the skyrocketing growth in network traffic, fueled by such trends as increases in the number of mobile devices and Internet users, as well as the growing popularity of video on the Internet.
In their latest Visual Networking Index Forecast released earlier this year, Cisco officials are predicting that Internet traffic will quadruple by 2016, by which time there will be 3.4 billion Internet users. There also will be almost 18.9 billion network connections—there were 10.3 billion in 2011—that include not only smartphones, tablets and notebooks, but also machine-to-machine connections, such as smart appliances.