Cisco Systems Acquires Meraki Cloud Computing Company for $1.2 Billion

Cisco Systems; the world’s biggest maker of computer networking gear, announced on Sunday that they are buying Meraki for $1.2 billion; to expand its ability to let customers compute in the cloud.

Cisco Systems Acquires Meraki Cloud Computing Company for $1.2 Billion
Cisco Systems Acquires Meraki Cloud Computing Company for $1.2 Billion

Greatresponder.com on Nov 19, 2012: Cisco Systems; the world’s biggest maker of computer networking gear, announced on Sunday that they are buying Meraki for $1.2 billion; to expand its ability to let customers compute in the cloud. Meraki Inc. is based in San Francisco and also has offices in New York, London and Mexico. The privately held company was founded in 2006 by members of MIT’s Laboratory for Computer Science. Meraki technology offers customers Wi-Fi, switching, security and mobile device management centrally managed from the cloud.

Rob Soderbery, senior vice-president, Cisco Enterprise Networking Group, said in a statement, “Meraki’s solution was built from the ground up optimized for cloud, with tremendous scale, and is already in use by thousands of customers to manage hundreds of thousands of devices.”

Cisco, based in San Jose, Calif., expects the acquisition to close in its second fiscal quarter ending in January. The $1.2 billion purchase price includes cash and retention-based incentives. Meraki will form Cisco’s new Cloud Networking group, led by Meraki CEO Sanjit Biswas. The company said on its website it had originally planned to remain independent and go public, but joining Cisco will help it achieve its goal of hitting $1 billion in revenue a year. The purchase follows its $125 million purchase last week of Cloupia, which develops software that helps data centre operators manage their resources.

New Cloud Computing Data Center for IBM in China

New cloud computing in China beside other two data centers, also another two in Japan and Singapore. All these data centers is belong to IBM.

New Cloud Computing Data Center For IBM in China
New Cloud Computing Data Center For IBM in China

GreatResponder.com wrote on (2012-03-31): Cloud Computing can be defined as  a device to deliver computer service which shared software, resources, plus info and provided to computers over the network which is look like Internet. The main idea of cloud computing is to centalized services with the data, software, and computation on a published application programming interface (API) over a network. It has a lot of overlap with software as a service (SaaS).

According to Gartner research the differences in how major geographies evolve toward cloud infrastructures services will challenge CIO, IT and sourcing managers. Data center outsourcing spending in North America was $33 billion in 2011, while web hosting and colocation totalled $23 billion. This region has the highest cloud adoption rate, with 60 percent of public cloud services worldwide, and the US hosting market has continued to accelerate the fast innovation and transformation.

Also the study research in Asia shows that that customers in many Asia countries prefer their data to be near them in local data centers because they want to have control over their data. For this reason IBM will build a new cloud computing center in Jilin (China), which will be the third facility for IBM in China, this data center suppose to power digital city and cross industry cloud computing services for north eastern China, and inner Mongolia.

IBM has been significantly expanding in the Asia due to the huge demand for cloud computing services as the spending on data center services in the Asia reached $10 billion in 2011, while web hosting and colocation were $2.5 billion.

IBM has another two cloud computing centers in China one in Hebei, which is considered the largest cloud computing center in Asia, and another one in Jiangsu. Also IBM recently opened two data centers in Japan and a data center in Singapore beside cloud labs in the Asia Pacific region, including China, India, Korea, Japan, Hong Kong, Vietnam and Singapore. The project supposed to open in April 2012, the new China data center will provide comprehensive cloud services and technology portfolio via IBM’s cloud delivery infrastructure. IBM is also partnering with Jilin University on establishing joint R&D organizations. The university will establish a local center in Liaoyuan for graduate students with a focus in computing applications and software.