"They want to redirect the linksys biz to thier brand which will increase market share."
Though you make a interesting case, you are wrong. Cisco will keep Linksys whole because Linksys is a well run company with happy employees, a large customer base and a fantastic bottom line.
"Cisco does not like the cheaper alternative because it will find its way into bigger buisness frm the SOHO market."
Linksys was never a threat to csco, not in any way. Cisco likes the way Linksys does business and will keep them (mostly) as is. For the most part, when csco acquires a company we try to intigrate them as quickly and painlessly as possible. We also try to keep the way they do business whole, whenever possible.
Cisco has been very successfull with the majority of it's acquisitions. This trend will continue with the Linksys acquisition. You will see...
(the "csco" below should clue you in that I'm not the "general geek public" read-worked in M&A at csco for 4 years) . .
In what market(s) or product line(s) was Linksys ever a competitor to csco?
Cisco will do the same thing with Linksys product that it did with Aironet product. The idea behind this acquisition is to gain a path to the soho market. That being the case, Linksys product will not get killed or go up in price. Linksys makes a good product that sells very well in it's market.
Cisco is in business to make money. Why would csco break a money making machine that works well?
That's a interesting idea... How many Cisco acquisitions have ended up gathering dust on a shelf? Hrm... I'll tell you, not many, almost none. The Lynksys product line will most likely go the same way the Aironet product has. Aironet product was great when we acquired them and just as great now. This deal should be a great path to the soho market.
Regarding csco feeling any hit in the bottom line due to Linksys, well, that's just silly. Linksys and csco were not competitors.
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I think that's the most intelligent comment I've seen yet.
"They want to redirect the linksys biz to thier brand which will increase market share."
Though you make a interesting case, you are wrong. Cisco will keep Linksys whole because Linksys is a well run company with happy employees, a large customer base and a fantastic bottom line.
"Cisco does not like the cheaper alternative because it will find its way into bigger buisness frm the SOHO market."
Linksys was never a threat to csco, not in any way. Cisco likes the way Linksys does business and will keep them (mostly) as is. For the most part, when csco acquires a company we try to intigrate them as quickly and painlessly as possible. We also try to keep the way they do business whole, whenever possible.
Cisco has been very successfull with the majority of it's acquisitions. This trend will continue with the Linksys acquisition. You will see...
(the "csco" below should clue you in that I'm not the "general geek public" read-worked in M&A at csco for 4 years)
.
.
In what market(s) or product line(s) was Linksys ever a competitor to csco?
Cisco will do the same thing with Linksys product that it did with Aironet product. The idea behind this acquisition is to gain a path to the soho market. That being the case, Linksys product will not get killed or go up in price. Linksys makes a good product that sells very well in it's market.
Cisco is in business to make money. Why would csco break a money making machine that works well?
That's a interesting idea... How many Cisco acquisitions have ended up gathering dust on a shelf? Hrm... I'll tell you, not many, almost none. The Lynksys product line will most likely go the same way the Aironet product has. Aironet product was great when we acquired them and just as great now. This deal should be a great path to the soho market.
Regarding csco feeling any hit in the bottom line due to Linksys, well, that's just silly. Linksys and csco were not competitors.