Cisco Systems is one of the largest communications corporations in the electronic business world. Offices across the nation use products the San Jose, California based company manufactures. The communications giant plans to further increase its reach and depth by acquiring BNI Video, a company that was founded in early 2009 under the name Beaumaris Networks.

Acquisitions are complicated processes that require scrutiny and attention to ensure that they are done correctly and finish through to completion smoothly. Cisco Systems announced on Thursday, Oct. 20, 2011 that they plan to acquire the smaller corporation for $99 million in cash and retention-based incentives with an expected date of completion later this year.

As a part of the acquisition plan, the employees from the smaller BNI will not be out of a job, but join the Cisco team in their service provider video technology group. The BNI employees are familiar with the software developed by the company which helps the national cable companies stand toe-to-toe with internet video providers.

The software works with the newer cloud technology by allowing internet-connected devices to essentially communicate together, making it easier for consumers to access all of the programs found on their various devices like laptops, smartphones or tablets. The company has had a string of success since they were founded, raising approximately $17 million in venture capital and growing to 50 employees in a count made as recent as last year.

Cisco systems plans to incorporate the BNI software and technology into their own business plan to increase the capabilities of the company's Videoscape TV platform. BNI is not the first acquisition in Cisco System's recent past but one in a string of lucrative ventures, including the acquisition of ExtendMedia, Inlet Technologies, Starent Networks and LineSider Technologies.

Source: Xconomy, "Cisco Scoops Up BNI Video for $99M, Moves Deeper Into TV," Gregory T. Huang, Oct. 20, 2011