Cisco today announced its intent to acquire privately held Composite Software, Inc., a market leader in data virtualization software and services. Headquartered in San Mateo, Calif., Composite provides software technology that connects many types of data from across the network and makes it appear as if it's in one place. Composite's software integrates traditional and new data sources including cloud and big data, into a simplified consolidated view. This simplified and optimized logical view of data enables organizations to make better, more informed decisions in real time.
Composite will expand Cisco's portfolio of Smart Services and extend our next-generation services platform by connecting data and infrastructure. Through this connection, companies will be able to better leverage network knowledge (APIs) and programmability, which maximizes the benefits of data virtualization. As with the transition from physical servers to server virtualization and from physical networks to network virtualization, together Cisco and Composite will accelerate the shift from physical data integration to data virtualization for customers and partners.
"Cisco's strategy is to create a next generation IT model that provides highly differentiated solutions to help solve our customers' most challenging business problems," said Gary Moore, Cisco president and chief operating officer. "By combining our network expertise with the performance of Cisco's Unified Computing System and Composite's software, we will provide customers with instant access to data analysis for greater business intelligence."
This acquisition builds on Cisco's framework for a unified platform and our software services strategy with the recent acquisition of SolveDirect. Composite's data virtualization solution combined with SolveDirect's process integration platform will provide cross-domain data and workflow integration capabilities to enable real time business insights and operations.
Upon completion of the acquisition, Composite employees will join the Cisco services team, under the leadership of Mala Anand, senior vice president, Cisco Services Platforms Group and Mike Flannagan, senior director and general manager of the Integration Brokerage Technology Group. Under the terms of the agreement, Cisco will pay approximately $180 million in cash and retention-based incentives in exchange for all shares of Composite. The acquisition of Composite is expected to close in the first quarter of fiscal year 2014, subject to customary closing conditions.
