Remember the days where the only reliable wireless router you could buy was a Linksys? The brand was huge, and it’s safe to assume that other companies wanted what Linksys had.
Belkin made the move and is being rewarded.
Cisco Systems, which owns the popular Linksys brand, sold its home-networking business to Belkin. Cisco said it’s opting to focus more on selling broader technology to business.
The deal is expected to close in March, according to the Wall Street Journal.
Cisco rose to prominence selling routers and switches that pass information over the Internet, mostly to large businesses. The San Jose, Calif., company acquired Linksys in 2003 for $500 million as part of an effort to address consumers.
Cisco eventually made other forays into the consumer market as part of an aggressive expansion plan in which it targeted more than 30 new fields. Most notably, it acquired the maker of Flip video cameras in 2009. Cisco shut down the Flip unit as part of a broader restructuring in 2011. It also has abandoned a push to sell high-end video-conferencing units to consumers.
Belkin’s business is fairly wide spread, including routers, smartphone and tablet cases and accessories, entertainment and wireless technology. By adding the Linksys brand, Belkin should beef up its wireless networking division.
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