Cisco Systems is to acquire privately-held Airespace, a San Jose, CA- based provider of wireless local area networking (WLAN) systems.
Airespace’s product portfolio includes WLAN controllers, Access Points, WLAN Management and Location Software, and Security capabilities, including IDS.
Under the terms of an agreement between the two companies, Cisco will pay approximately $450 million in stock and assumed options for Airespace.
The acquisition is subject to various standard closing conditions, including approval under the Hart-Scott-Rodino Antitrust Improvements Act, and is expected to close in the third quarter of Cisco’s fiscal year 2005 ending April 30, 2005.
In the near term, Cisco will continue to offer and support both the existing Cisco Structured Wireless-Aware Network framework (SWAN) and Airespace product lines.
Upon close of the transaction, Airespace will join Cisco’s Data Center, Switching and Wireless Technology Group, led by Senior Vice President Luca Cafiero. Airespace was founded in July 2001 and has approximately 175 employees.