Belkin has announced it has acquired Linksys, Cisco's home networking business.
The firm has purchased the wireless router brand for an undisclosed sum and is expected to close in March. The purchase of Linksys from Cisco means that Belkin will account for 30 percent of the home and business networking market. See also: Group test: what's the best wireless router?
Chet Pipkin, CEO of Belkin. "Our two organizations share many core beliefs – we have similar beginnings and share a passion for meeting the real needs of our customers through the strengths of an entrepreneurial culture. Belkin's ultimate goal is to be the global leader in the connected home and wireless networking space and this acquisition is an important step to realizing that vision."
Belkin said it plans to maintain the Linksys brand and will offer support to existing customers as part of the move. Valid warranties will also be honoured by Belkin. Both companies have offices based in California.
The firm said that access to Cisco's specialised software solutions across its product will 'bring a more seamless user experience for customers'.
Hilton Romanski, vice president of Corporate Business Development at Cisco, said: "While part of Cisco, Linksys has continuously innovated, while strengthening the brand and expanding its market leadership. As part of Cisco’s commitment to service providers, we are pleased about this strategic relationship with Belkin to build on Linksys’ position of strength."
Belkin promised that merging the two companies will set it up to develop the next generation of home networking technology.