Cisco buys CoreOptics for $118m

Cisco has reached an agreement to acquire CoreOptics, a specialist in digital signal processing tools for high-speed optical networks.

Cisco estimates that adding CoreOptics products into its high-speed networking operations will allow it to offer optical network speeds of up to 100Gbit/s.

The offerings will be targeted at service providers looking to expand speed and bandwidth for customers.

Cisco will pay roughly US$99m ($118m) to acquire all shares in CoreOptics, and expects the deal to close some time in the second half of this year.

CoreOptics' products and employees will become part of Cisco's service provider technology group.

"With this acquisition, Cisco reinforces its commitment to investing in its core networking business and delivering next-generation IP networks at 100Gbit/s and beyond," said Surya Panditi, service provider access and transport technology general manager at Cisco.

"We are continuing to deliver an industry-leading portfolio of routing, switching and optical transport systems that enable our service provider customers to better address the ever-present business challenge of managing tight capital and operating budgets while accommodating the tremendous growth in network traffic."