Cisco and Skype is a natural fit

According to market rumors that Cisco has made offer for Skype, if the rumors are true, then the deal is for Cisco on a very important strategic significance. But to complete the transaction, Cisco is also facing a huge obstacle.

If the acquisition of a telephone service provider, Cisco is bound to the largest customer base is saying that the formation of competing telecommunications companies.

Market research firm Gartner analyst Kendulani (Ken Dulaney) said: "If you really want to buy Cisco Skype, the world's telephone service operators will be terrified. Skype's core business is to sell low-cost telephone service, while Cisco All products are sold to telephone service operators. it seems is not good. "

Dulaney said he thought the deal might not be approved, as Cisco may face greater conflicts of interest.

Skype revenue of more than 700 million U.S. dollars last year, while the expected price of its own several billion dollars. Cisco's acquisition of Skype most companies are much smaller than the size of the company. However, if the acquired companies have mastered the technology that Cisco is if you want it, it will start acquisition. Last year, it conducted two such different from the conventional acquisition, once acquired video conferencing systems vendor Tandberg, another is the acquisition of networking products maker Starent Networks, the price of those two acquisitions are just three billion U.S. dollars .

Other analysts believe that the transaction is very fit for Cisco, it will never give up.

The combination of Skype and Cisco can be described as a natural fit. Cisco CEO John Chambers is leading the company's VoIP collaboration tools to the field of video and moving, and that happens to be good at Skype and the leading markets.

American technology blog site TechCrunch reported Sunday, Cisco has submitted a bid to Skype. Skype introduced last month, 100 million U.S. dollars worth of IPO application, but Cisco is clearly able to give a higher cash price. Cisco and Skype were not on market rumors