Cisco makes a rare hardware play with Leaba Semiconductor acquisition

Cisco is buying a chip design company that could bolster its datacenter networking expertise

Cisco Systems is buying in some chip expertise that could help it in the datacenter.

The networking giant's latest acquisition target is Leaba Semiconductor, a fabless semiconductor company based in Israel.

The company is "in stealth mode," according to its website, which indicates only that it develops semiconductors to address "significant infrastructure challenges."

Cisco had little more to say concerning Leaba's field of work in its blog post about the acquisition by Rob Salvagno, head of its mergers, acquisitions and venture investment team.

However, according to information provided by Israel's Ministry of Economy, Leaba specializes in the design of chips for connecting memory, storage and compute in data center environments.

The company's software manager, Omer Sali, is a former datacenter manager, according to his LinkedIn profile, while the company's CEO Eyal Dagan and other senior figures are former employees of semiconductor company Broadcom.

Cisco will pay US$320 million in cash and equity for the young company, and plans to incorporate it into its own engineering team, reporting into its Core Hardware Group, led by Senior Vice President Ravi Cherukuri.

The acquisition is a rare hardware play for Cisco, which in recent years has focused on buying software firms to bolster its cloud, security, analytics and Internet of Things capabilities. On Tuesday it bought CliQr, a cloud orchestration specialist, and last month splashed $1.4 billion on IoT management platform Jasper Technologies.

Join the newsletter!

Error: Please check your email address.
Rocket to Success - Your 10 Tips for Smarter ERP System Selection
Keep up with the latest tech news, reviews and previews by subscribing to the Good Gear Guide newsletter.

Peter Sayer

IDG News Service
Show Comments

Most Popular Reviews

Latest Articles

Resources

PCW Evaluation Team

Ben Ramsden

Sharp PN-40TC1 Huddle Board

Brainstorming, innovation, problem solving, and negotiation have all become much more productive and valuable if people can easily collaborate in real time with minimal friction.

Sarah Ieroianni

Brother QL-820NWB Professional Label Printer

The print quality also does not disappoint, it’s clear, bold, doesn’t smudge and the text is perfectly sized.

Ratchada Dunn

Sharp PN-40TC1 Huddle Board

The Huddle Board’s built in program; Sharp Touch Viewing software allows us to easily manipulate and edit our documents (jpegs and PDFs) all at the same time on the dashboard.

George Khoury

Sharp PN-40TC1 Huddle Board

The biggest perks for me would be that it comes with easy to use and comprehensive programs that make the collaboration process a whole lot more intuitive and organic

David Coyle

Brother PocketJet PJ-773 A4 Portable Thermal Printer

I rate the printer as a 5 out of 5 stars as it has been able to fit seamlessly into my busy and mobile lifestyle.

Kurt Hegetschweiler

Brother PocketJet PJ-773 A4 Portable Thermal Printer

It’s perfect for mobile workers. Just take it out — it’s small enough to sit anywhere — turn it on, load a sheet of paper, and start printing.

Featured Content

Latest Jobs

Don’t have an account? Sign up here

Don't have an account? Sign up now

Forgot password?