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January 23, 2013

Cisco News - Cisco to Acquire SON Software Maker Intucell for $475 Million

By Erin Harrison, Executive Editor, Cloud Computing

Networking giant Cisco (News - Alert) said it will acquire self-optimizing network (SON) software maker Intucell for $475 million in cash and retention-based incentives.

Intucell, which is based in Ra’anana, Israel, provides SON software for mobile carriers and is designed to help them plan, configure, manage, optimize and heal cellular networks automatically, based on real-time changing network demands.

Given the proliferation of connected mobile devices, faster network speeds, and the growing demand for high-bandwidth applications and services, there is a heightened demand for greater network traffic and complexity, according to Kelly Ahuja, senior vice president and general manager of Cisco Service Provider Mobility Group.

“The mobile network of the future must be able to scale intelligently to address growing and often unpredictable traffic patterns, while also enabling carriers to generate incremental revenue streams,” Ahuja said in a company statement. “Through the addition of Intucell's industry-leading SON technology, Cisco’s service provider mobility portfolio provides operators with unparalleled network intelligence and the unique ability to not only accommodate exploding network traffic, but to profit from it.”

Intucell’s SON software platform is designed to address these challenges by looking at the network, identifying issues in real time and adapting the network to meet demand. 

The acquisition of Intucell will expand Cisco’s ability to deliver next-generation solutions with a SON software platform that supports multi-application, multi-vendor and multi-technology capabilities and allows service providers to manage operational costs and make better use of infrastructure investments, company officials said.

Cisco officials said the acquisition of Intucell also enhances its commitment to global service providers by adding a critical network intelligence layer that ultimately improves the quality of the mobile experience.

Following the acquisition, which is expected to close in the third quarter of this year, Intucell employees will be integrated into Cisco’s Service Provider Mobility Group, reporting to Shailesh Shukla, vice president and general manager, of the company’s software and applications group.

Intucell had raised $8.5 million in venture capital from Genesis Partners and Bessemer Venture Partners, according to CrunchBase.

To find out more about Roberto D. De La Mora, Sr. Director, Unified Communications (News - Alert) and Cisco, visit the company at ITEXPO Miami 2013, taking place Jan. 29- Feb 1, in Miami, Florida. Roberto D. De La Mora is speaking during “ Making UC and Collaboration More Business Relevant to Individual Users For more information on ITEXPO Miami 2013 click here.

Edited by Brooke Neuman

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