Enterprise networking giant Cisco has acquired digital signal processing (DSP) solution maker CoreOptics in a $99 million all-cash deal, the company has announced.
CoreOptics develops DSP solutions for high-speed enterprise optical network connections.
Cisco said in a statement that CoreOptics' technology will enable it to offer customers transmission speeds of up to 100Gbps in order to deal with the increase in internet traffic due to the rise in video streaming, mobile applications and cloud computing.
The company is planning to strengthen its hold in the European optical networking market by offering state-of-the-art technology to service providers.
According to the acquisition deal, people working at CoreOptics will join Cisco's Service Provider Technology Group and work with existing Cisco optical networking staff in India, Italy and the United States.
Cisco has been planning to develop its optical engineering department for a long time, and this deal will allow it to expand its product portfolio by integrating CoreOptics technology into its existing services.