Cisco is making a substantial move to establish itself in the cybersecurity field
This acquisition strengthens the company's position in the IT industry
Cisco Systems, a US network equipment manufacturer, has reached an agreement to acquire cybersecurity solutions developer Splunk. The acquisition entails a payment of $157 per Splunk share, with the total transaction value amounting to $28 billion. The deal, scheduled to close in the third quarter of 2024, aims to boost revenue growth for Cisco and collaborate on advanced AI-based cybersecurity systems.
Cisco intends to provide businesses with solutions for identifying, forecasting, and preventing malicious software infiltrations, leveraging the capabilities of Splunk. Experts anticipate that this acquisition will trigger a flurry of mergers and acquisitions in the software industry and bolster Cisco’s position in the cybersecurity sector, enabling it to compete more effectively with industry giants like Google, Oracle, Amazon, Adobe, IBM, and Microsoft. Previously, Splunk had partnered with Microsoft to extend its AI innovations to users of the Azure enterprise cloud platform.
