JUNIPER BUYS PERIBIT AND REDLINE
Juniper is definitely stocking up on ammo for their battle against Cisco. $337 million for Peribit Networks and $132 million for Redline Network.
Stepping up its challenge to industry giant Cisco Systems, Juniper Networks agreed Tuesday to pay $469 million for two Silicon Valley start-ups that provide technology to help businesses improve the performance of their computer networks.
Juniper said it is buying Peribit Networks of Santa Clara for $337 million in cash, stock and assumed stock options, and paying $132 million in cash and stock options for Redline Networks of Campbell.
"What they accomplish together and in concert with the rest of the Juniper portfolio is to make the network more aware of what the user is trying to do," Juniper Chairman and Chief Executive Scott Kriens said in an interview. "All of that adds up to making the network smarter."
The companies' technology helps businesses run software applications in branch offices and other locations outside of a company's main office.
"These are both areas were Cisco is fundamentally weak," said Sam Wilson, analyst with JMP Securities. ``Juniper finally got ahead and went where the puck is going, not where the puck has been. . . . They're getting in front of where the market is going." (full article)
My fellow AlwaysOn columnist, Greg Ness, senior director of corporate communications at Redline. Congratulations, Greg, on the buyout! I don't know when he joined Redline, but I hope he made out well.