- Cisco Systems has acquired Radiata Communications, an Australian wireless technology developer, for $A567 million ($US295 million) worth of Cisco stock.
Radiata originally grew out of wireless projects at the Commonwealth Scientific and Industrial Research Organisation (CSIRO) and Macquarie University. Cisco and Broadcom were also early partners in the venture.
For Cisco, the main gain from the purchase is technology facilitating wireless high-speed communication between personal computers and a variety of portable devices.
Radiata's owners, David Skellern and Neil Weste, were remaining tight-lipped about how much they personally benefited from the deal. However, while they are no doubt celebrating their good fortune, some commentators, particularly out of the venture capital space and finance area, attacked the sale, with industry insiders describing it as a cop-out, according to some reports.
Prior to the sale, Cisco already owned 11% of the company.