Cisco Acquires Flip Video Camera Maker for $590 Million

Authored by Mark Hefflinger on March 19, 2009 - 7:55am.

San Jose, Calif. - Networking equipment giant Cisco (NASD: CSCO) announced on Thursday that it will acquire Pure Digital Technologies, maker of the Flip Video line of Web-ready digital camcorders, for $590 million in stock. Cisco will also offer $15 million as incentives for retaining Pure Digital employees. San Francisco-based Pure Digital began selling its camcorders, priced at $100 to $299, in 2007, and has since sold more than 2 million units.

The cameras feature an on-board USB adapter that plugs directly into a computer, and can upload video directly to sites like YouTube and MySpace.

"The acquisition of Pure Digital is key to Cisco's strategy to expand our momentum in the media-enabled home and to capture the consumer market transition to visual networking," said Ned Hooper, senior vice president of Cisco's corporate development and consumer groups.

"This acquisition will take Cisco's consumer business to the next level as the company develops new video capabilities and drives the next generation of entertainment and communication experiences."

Related Links:
http://biz.yahoo.com/iw/090319/0483407.html

http://www.cisco.com

http://www.theflip.com

Published in DMW Daily, March 19, 2009

Next story: Sony eBook Store Adds 500,000 Free Titles From Google

Email this page

Comments

great move

Submitted by flip video review (not verified) on March 27, 2009 - 2:01pm.

This is an excellent opportunity for what frankly was a product that should have failed but persistently carried on. Now we can look forward to better look, feel and design for the flip video in the very near future