Cisco has announced it is buying Pure Digital Technologies, the US company that's the creator of the Flip Video brand of small, cheap camcorders.
"The acquisition of Pure Digital is key to Cisco's strategy to expand our momentum in the media-enabled home and to capture the consumer market transition to visual networking", said Ned Hooper, senior vice president of Cisco's corporate development and consumer groups.
"Pure Digital has revolutionized the way people capture and share video with Flip Video. This acquisition will take Cisco's consumer business to the next level as the company develops new video capabilities and drives the next generation of entertainment and communication experiences".
Cisco has revealed that Pure Digital's Flip Video has sold more than 2 million units and that it will pay approximately $590 million in stock in exchange for all shares of Pure Digital, as well as $15 million to staff, in a deal expected to close later this year.