Cisco (CSCO) today announced its intent to acquire mobile networking company Intucell for $475 million in a deal that will position the networking giant for huge growth in mobile data traffic.
Intucell provides advanced self-optimizing network (SON) software, which enables mobile carriers to manage and optimize cellular networks automatically, according to real-time changing network demands. The addition of Intucell will help Cisco target global service providers, adding a network intelligence layer to manage and optimize spectrum, coverage and capacity, and ultimately the quality of the mobile experience.
"The mobile network of the future must be able to scale intelligently to address growing and often unpredictable traffic patterns, while also enabling carriers to generate incremental revenue streams," said Kelly Ahuja, senior vice president and general manager, Cisco Service Provider Mobility Group. "Through the addition of Intucell's industry-leading SON technology, Cisco's service provider mobility portfolio provides operators with unparalleled network intelligence and the unique ability to not only accommodate exploding network traffic, but to profit from it."
The Cisco Visual Networking Index predicts that mobile data traffic will grow 18-fold from 2011 to 2016, a compound annual growth rate of 78 percent. The report also predicts that global mobile data traffic will reach an annual run rate of 130 Exabytes in 2016.
The Intucell acquisition enhances Cisco's ability to deliver next-generation solutions with a SON software platform that supports multi-application, multi-vendor and multi-technology capabilities and enables service providers to manage operational costs and make better use of infrastructure investments. Upon the close of the acquisition, Intucell employees will be integrated into Cisco's Service Provider Mobility Group, reporting to Shailesh Shukla, vice president and general manager, Software and Applications Group.
"The mobile network of the future must be able to scale intelligently to address growing and often unpredictable traffic patterns, while also enabling carriers to generate incremental revenue streams," said Kelly Ahuja, senior vice president and general manager, Cisco Service Provider Mobility Group. "Through the addition of Intucell's industry-leading SON technology, Cisco's service provider mobility portfolio provides operators with unparalleled network intelligence and the unique ability to not only accommodate exploding network traffic, but to profit from it."
