Belkin on Thursday announced plans to acquire Cisco’s Home Networking Business Unit, including its products, technology, employees, and even the well-known Linksys brand. Belkin says it plans to maintain the Linksys brand and will offer support for Linksys products as part of the transaction, financial details for which were not disclosed.
Cisco confirmed Belkin’s intent to acquire Linksys in a blog post, in which Hilton Romanski, Cisco’s Vice President of Corporate Business Development, said “Linksys has long been an important member of the Cisco family and we are confident that we have found the best buyer in Belkin.” In another statement, he said:
Linksys is one of the leading home networking providers and has created a market-leading suite of products and services to meet customer needs. While part of Cisco, Linksys has continuously innovated, while strengthening the brand and expanding its market leadership. As part of Cisco’s commitment to service providers, we are pleased about this strategic relationship with Belkin to build on Linksys’ position of strength.
The Linksys brand spans home and small office networking products (SOHO) by a company that was originally founded back in 1988. It was acquired by Cisco Systems in 2003, rebranding all the products as Linksys by Cisco, but the parent company has been reportedly looking to sell it for months.
Support will include honoring warranty for all valid products under the Linksys, as well as future products. Once the deal is closed, Belkin will account for around 30% of the US retail home and small business networking market. It has worked out really well for Cisco, who was looking to exit the consumer space and Belkin who are looking to juice up their presence in the consumer space scooping up Linksys and various other parts of Cisco’s business will only help them achieve their goals.