Cisco buys Starent Networks for $3.2bn

Cisco has announced plans to acquire Starent Networks, a provider of IP-based mobile infrastructure solutions.

The networking giant expects to use the US$2.9bn ($3.2bn) purchase to increase its presence in the growing mobile internet environment.

"We are very pleased that Starent will be joining the Cisco team, and we believe their products and engineering talent will greatly benefit our service provider customers as they build out their mobile internet offerings," said John Chambers, chairman and chief executive at Cisco.

Pankaj Patel, senior vice president at Cisco's service provider business, added: "Cisco and Starent share a common vision and bring complementary technologies designed to accelerate the transition to the mobile internet, where the network is the platform for service providers to launch, deliver and monetise the next generation of mobile multimedia applications and services."

Starent's strengths lie in core network functions and services that manage access from any 2.5G, 3G and 4G radio network to a mobile operator's packet core network.

"Combining Cisco's strength in video and IP with Starent's leading mobile infrastructure solutions creates a compelling portfolio of products that provides an integrated architecture to offer rich, quality multimedia experiences to mobile subscribers on 3G and 4G networks," said Starent president and chief executive Ashraf Dahod.

The deal is expected to close next year, when Starent will become the new Cisco Mobile Internet Technology Group under Dahod.