Cisco to buy IoT startup for $1.4 billion
Cisco announced that it was buying Jasper for $1.4 billion cash and equity. Jasper – who bills itself as "The On Switch for the IoT" – makes a cloud-based software service platform that helps businesses launch, manage, and monetize their connected devices business.
According to Rob Salvagno, Cisco’s vice president of corporate development, "We’ve been keeping an eye on this market and what we noticed was that Jasper represented a unique asset. We believe they are the largest Internet of Things service platform of scale today."
Jasper is the largest deal for Cisco since 2013, when it acquired security company Sourcefire for $2.7 billion. Jasper had been preparing for an IPO, but now its CEO, Jahangir Mohammed, will stay on with Cisco and run a new Internet of Things Software Business unit. The deal is expected to close in the third quarter.