Optical communications technology: Cisco acquires Acacia Communications

Last week, representatives of world technology leader Cisco announced the purchase of their supplier Acacia Communications. The deal involves the purchase of a company for $ 70 per share, for a total of $2.6 billion.

According to Cisco analysts, global Internet traffic will increase threefold by 2022. In this regard, Cisco is interested in expanding the reach and capacity of high-speed networks.

Acacia specializes in the development of signal processing algorithms, as well as technologies for designing and testing ASICs, software, and integration and optimization of optical connections.

Thus, Cisco will be able to use technology for cloud providers, enterprises, and service providers.

In addition to its development, Cisco plans to support existing and potential Acacia customers. This task is planned to be implemented through photonic integrated circuits, optical modules, transceivers, digital signal processing modules, and other network equipment.

This transaction will be completed in the second half of fiscal year, after which Acacia will move to the Cisco optical systems division.