Cisco shells out $330m for WiMAX firm

Cisco has agreed to acquire Navini Networks for $330m in cash.

Navini develops WiMax antennas and base stations.

Cisco hopes to fold Navini into its Networking Business Unit. The technology will be used primarily in Cisco's line of Wi-Fi hardware for service providers.

Cisco has previously scoffed at WiMAX, saying that the wireless system lacked a viable business model for most developed countries.

The company still plans to steer the new WiMAX products away from the developed world. The new hardware will be pitched primarily to service providers in emerging countries.

WiMAX is a wide range, high speed networking technology. It is proposed as a way to introduce broadband internet into areas that lack wired connections, both in the third world and in rural areas.

Cisco envisons WiMAX as a way to enable cheaper, reliable connections for rural or geographically remote areas.

Cisco hopes to complete the deal by January.