Cisco Announces Completion of CoreOptics Acquisition

SAN JOSE, Calif. - July 16, 2010 - Cisco today announced it has completed its acquisition of privately-held CoreOptics Inc., a designer of digital signal processing (DSP) solutions for high-speed optical networking applications. Based in San Jose, with the majority of its employee base in Nuremberg and Gerlingen, Germany, CoreOptics enables Cisco to equip service provider customers with highly advanced 100 Gigabits per second (Gbps) transmission technology to scale their networks to meet the demands of rapidly growing Internet Protocol traffic driven by video, mobility and cloud services.

The next phase of innovation in optical networking will be driven by sophisticated modulation formats and advanced DSP technologies. These new capabilities enable the efficient transmission of large amounts of data over existing fiber optic installations. By enabling high speeds across an existing infrastructure, Cisco and CoreOptics will address the challenge facing service providers of accommodating the growth in network traffic while managing tight capital expenditure budgets.

The acquisition of CoreOptics expands Cisco's optical presence in Europe, builds on its existing European operations in Monza, Italy, and contributes to continued innovation in optical networking. With the close of the acquisition, CoreOptics employees become part of the Cisco Service Provider Technology Group and work with Cisco's existing optical engineering teams in Monza, Italy; Bangalore, India; and Richardson, Texas.

Frequently Asked Questions

Q. Why did Cisco acquire CoreOptics?
A: Recognizing the transition of the optical market in which advanced modulation electronics will play a significantly more important role in the enablement of high-speed networks, Cisco chose to acquire CoreOptics based on a strong, established working relationship and on CoreOptics's expertise in advanced modulation high-speed design.
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Q. Will this transaction shift Cisco's attention away from customers?
A: We believe this will significantly increase our focus on our key customers.
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