Cisco Systems
Cisco is to buy WebEx Communications, a producer of communications and collaboration software

Cisco in $3.2bn WebEx acquisition

Networking giant makes second deal of the week

Shaun Nichols in California

Cisco Systems has agreed to acquire communications service vendor WebEx Communications for $3.2bn in cash. 

The deal is Cisco's second purchase in as many days, having picked up NeoPath Networks for an undisclosed sum on 15 March.  

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WebEx produces communications and collaboration software, including online conferencing, instant messaging and document-sharing services. The company teamed up with AOL last year to launch the AIM Pro business IM application.  

WebEx will continue to operate an independent entity under the Cisco Development Organisation.

Cisco said that it does not plan to make any changes to the current WebEx subscription service or business model, which currently claims more than 2.2 million registered users.

The WebEx product line will also be integrated into Cisco's Unified Communications programme, and will be targeted at small and medium-sized businesses.

Cisco expects the acquisition to close by the end of July.

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