Cisco acquisition brings metro fibre boost

Beefing up its optical arsenal in the MAN (metropolitan area network) space, Cisco Systems on Friday announced plans to acquire Qeyton Systems, based in Stockholm, Sweden, in a stock deal worth approximately $800 million.

Qeyton makes DWDM (dense wavelength division multiplexing) technology for use in metropolitan area networks. DWDM optical technology boosts the capacity of fibre by separating light waves by color to fit more data on a single strand.

Qeyton's metropolitan DWDM technology links carriers' PoPs (points of presence) and customer sites with an optical ring, which will let Cisco give service providers increased capacity without adding or leasing new fibre in the metropolitan areas, according to Cisco. Qeyton's technology will be integrated with Cisco's Optical Networking Solutions 15000 family of products and will become part of Cisco's optical networking group. Cisco said the purchase will let it provide an end-to-end optical solution for service providers' metropolitan networks.

Under the terms of the agreement, Cisco common stock worth approximately $800 million will be exchanged for all outstanding shares of Qeyton. The purchase is expected to close in the fourth quarter. Qeyton's 52 employees in Stockholm will be led by Claes Rickeby, CEO of Qeyton. They will report to the vice president and general manager of Cisco's photonics business unit, Geraint Anderson, according to Cisco.

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