Cisco Buys Sipura

Om Malik, Tuesday, April 26, 2005 at 6:12 AM PT Comments (11)

We know this was coming - Cisco’s Linksys division had been secretly using Sipura technology for such a long time, that it made sense for them to buy the tiny start-up. Cisco will pay about $68 million for San Jose based Sipura, which makes ATA or analog adapters. IDG News says that “Cisco plans to rebrand and keep selling Sipura’s products initially.”Good time for Sipura to exit the market, because the whole ATA business could evaporate as VoIP functionality gets more embedded into other devices.

Readers Tell Us: In 2000, Cisco bought Komodo for $175M. The Komodo ATA became the Cisco ATA-186 — the first ATA used by Vonage, for example. The Komodo talent left Cisco and formed Sipura. A few years later, they get more Cisco$$s and are back to Cisco. Now will they be third time lucky! Like Really Lucky!

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April 27th, 2005
7:57 AM PT

Sipura purchased by Cisco for $68MM

I have liked the Sipura products since they first came out a few years ago. The SPA products are widely used by VoIP service providers (Vonage, etc) for their feature set, flexibility, and low cost. We have been testing out Sipura adapters on the Kuppa…

April 27th, 2005
10:58 AM PT
*scottstuff* said:

Cisco buys Sipura

This isn’t exactly new news, but Cisco bought Sipura yesterday. Sipura makes a number of VoIP products, including the SPA-841 phone that I’ve been using for the past few weeks. They’re generally considered to have the best SIP impleme…

April 30th, 2005
10:45 AM PT

Cisco Acquires Sipura

Cisco (Nasdaq:CSCO) has also been quite active lately from an M&A standpoint, and its most recent acquisition was announced on Tuesday: Sipura Technology.  The transaction, valued at $68 million (a cash and stock options combo) solidifies the…

8 comments so far

April 26th, 2005
6:46 AM PT
Aswath Rao said:

According to Cisco, Sipura is worth more than Dynamicsoft. I guess the intelligence is moving towards the edge. :-)

April 26th, 2005
6:51 AM PT
Om Malik said:

yes that is true… interestingly someone was talking to me about dynamicsoft two days ago - social situation - so did not take notes but had interesting things to say about how they were going to use it etc. anyway let me see if i can get permission to blog that

April 26th, 2005
7:50 AM PT
Jake said:

The Linksys use of the Sipura embedded technology in the router is evidence of the beginning of the evaporation of the ATA business.

The Linksys PAP-2 is a reboxed Sipura ATA - still maintains the ATA form factor.

In 2000, Cisco bought Komodo for $175M. The Komodo ATA became the Cisco ATA-186 — the first ATA used by Vonage, for example. Probably the first 75,000 Vonage lines went on the ATA-186 — though that is just a guess.

The Komodo talent left Cisco and formed Sipura.

Welcome back to Cisco!

April 26th, 2005
7:51 AM PT
lickedcat said:

Didn’t the same guys that sold Cisco the old ATA-186 business a couple of years back go on to start up Sipura?

April 26th, 2005
7:53 AM PT
lickedcat said:

I guess Jake answered my question 1 minute after posting my question. Great service :-)

April 26th, 2005
8:39 AM PT
Om Malik said:

Well, who knew doing ATAs is going to be so tough, and secondly this lucrative. fantastic

April 26th, 2005
9:23 AM PT
Aswath Rao said:

After working this hard and getting all this money what do the consumers get at the end? A standard POTS phone and the associated crummy user interface. I am still waiting for the arrival of “Steve Jobs” and the “iPod” - the real ones and not the recently anointed ones.

April 27th, 2005
5:50 AM PT
Jake said:

Do you want the $100 iPod or the $500 iPod?

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