Cisco Buys MOTO! (No, Not Motorola)


Cisco Systems announced Tuesday that it will acquire privately held MOTO Development Group, the San Francisco consumer products design-consulting firm that was behind the Flip video camera (see Cisco Flips Into Home Video Cameras).

But when I read the headline “Cisco Announces Definitive Agreement to Acquire MOTO” this morning, there was a split-second when I thought the cable duopoly was becoming a monopoly. No, Moto(rola) continues on its own track, with the cable-oriented Home business now paired with the declining Mobile unit (see Motorola Goes Back to Splitsville).

The momentary confusion was reminiscent of Cisco’s announcement last October 2009 that it would buy Tandberg, the videoconferencing firm — not Tandberg Television, which has been fully subsumed by Ericsson at least in name (see Cisco Takes Control Of Videoconferencing Firm Tandberg and Adjø, Tandberg Television!).

The design firm MOTO, which has about 35 employees, will “enable Cisco to rapidly enhance its consumer product development road map,” such as the Flip Video and Linksys lines, the networking giant said. Financial terms weren’t disclosed.