The San Francisco-based company sells a line of handheld video cameras under the Flip Video brand. Pure Digital claims to have sold more than two million units.
The acquisition is seen as the latest in an ongoing campaign by Cisco to boost its consumer electronics operations. Chief executive John Chambers first announced plans to focus on the consumer end earlier this year at the Consumer Electronics Show in Las Vegas.
"The acquisition of Pure Digital is key to Cisco's strategy to expand our momentum in the media-enabled home, and to capture the consumer market transition to visual networking," said Ned Hooper, senior vice president of corporate development and consumer groups at Cisco.
"This acquisition will take Cisco's consumer business to the next level as the company develops new video capabilities and drives the next generation of entertainment and communication experiences."
Pure Digital is a privately held company, and Cisco declined to reveal the terms of the deal.
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