SAN JOSE, CA – Cisco has announced plans to buy video software and content security company NDS for $5 billion.
The acquisition of NDS will complement and accelerate the delivery of Cisco’s Videoscape platform that enables service providers and media companies to deliver next-generation entertainment experiences, plus expand its reach into emerging markets such as China and India, where NDS has an established customer footprint, the company said Thursday.
Headquartered in the UK, NDS creates the technologies and applications that enable pay-TV operators to securely deliver digital content to TV set-top boxes, digital video recorders, PCs, mobiles and other multimedia devices.
"Our strategy has always been driven by customer need and on capturing market transitions”, said chairman and CEO John Chambers, in the announcement. “Our acquisition of NDS fits squarely into this strategy, enabling content and service providers to deliver new video solutions that leverage the cloud and drive new monetization opportunities and service differentiation."
The deal, which has already been approved by the boards of directors of both companies, is expected to close during the second half of this year.
