Extreme Networks has signed a definitive agreement to acquire Enterasys, a privately held global provider of wired and wireless network infrastructure and security and management solutions, in a transaction valued at $180 million.
Extreme Networks states that the combined companies will continue to support the product roadmaps of both Extreme Networks and Enterasys, and will significantly increase Extreme Networks’s R&D investments to accelerate the vision for high performance open networking including a single, modular operating system supporting the entire combined portfolio, with new protocols, security features and network management capabilities.
“The combination of Extreme Networks and Enterasys is significant in that it brings together two companies with distinct strengths addressing the key areas of the network, from unified wired and wireless edge, to the enterprise core, to the data center and cloud,” said Zeus Kerravala, principal analyst and president of ZK Research. “With an open software approach, the companies can drive product innovations and customers will benefit from their increased resources and larger scale.”
The combined company will be committed to continue to support the product roadmaps of both companies going forward to protect the investments of current customers and avoid any disruption to businesses.
The companies’ revenue will be approximately double that of either company alone. Significantly increased scale is expected to enable greater investments in R&D to accelerate innovation and bring better technologies and products to market faster.
For Extreme Networks’ full press release, as well as reaction from industry experts, click here.