Cisco Systems is acquiring US-based network memory company Nemo Systems for $12.5m (£7.3m) to help reduce the cost to users of scaling its network products.
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Cisco said it would incorporate Nemo's technology into Cisco products so customers could cut costs by scaling their network configurations and bandwidth requirements more efficiently.
The acquisition is subject to regulatory approval. Cisco said it expected to complete the acquisition later this month.
Once the deal is complete, Cisco said Nemo would be integrated into its datacentre, switching and security technology group, headed by vice-president and general manager Tom Edsall.