SANTA CLARA, Calif. – Cisco Systems is making a bid to acquire Jasper Technologies, the developers of a cloud-based Internet of Things (IoT) service platform, for $1.4 billion. According to terms of the deal, Cisco will also be paying the assumed equity awards as well as the extra retention-based incentives.
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“IoT has become a business imperative across the globe. Enterprises in every industry need integrated solutions that give them complete visibility and control over their connected services, while also being simple to implement, manage and scale,” says Jahangir Mohammed, Jasper’s CEO. “By coming together, Jasper and Cisco will help mobile operators and enterprises accelerate their IoT success.”
Jasper is involved in the development and provision of a Software-as-a-Service (SaaS) platform that automates the administration of IoT services across devices that are connected. The platform enables companies to develop a novel business model that can convert their offerings into connected services. This will in turn help the companies discover a new means of generating revenue, according to the company.
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Cisco said on Wednesday the acquisition will allow it to offer comprehensive IoT solutions that are interoperable across gadgets and will work in tandem with app developers, IoT service providers and a network of partners.
Cisco will not only build on Jasper’s existing IoT platform, but will also add several new IoT-related services such as security for connected devices, enterprise Wi-Fi and advanced methods to manage the usage of devices in a better manner.
“I am excited about the opportunity for Cisco and Jasper to accelerate how customers recognize the value of the Internet of Things,” says Cisco CEO Chuck Robbins. “Together, we can enable service providers, enterprises and the broader ecosystem to connect, automate, manage, and analyze billions of connected things, across any network, creating new revenue streams and opportunities.”
The deal is anticipated to close by the third of this year.
