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Cisco to Buy Chipset Maker Radiata
Nov 2000
SAN JOSE, Calif., Nov. 15 -- Cisco Systems Inc. will purchase privately held Radiata Inc., a privately-held supplier of chipsets for high-speed wireless networks based in Sydney, Australia. The $295-million acquisition will strengthen Cisco's ability to deliver faster chips for wireless networks using the IEEE 802.11a standard for faster data rates, Cisco said. The purchase will be finalized during the second quarter of fiscal 2001. Radiata's 53 employees will become part of a new Cisco business unit.
Cisco currently holds an 11 percent stake in Radiata and will take control of up to 2 cents per share with the acquisition. Radiata will help Cisco develop wireless networks that will operate in the unlicensed 5-GHz frequency, enabling wireless communications between devices at speeds that were previously only possible with wired connections.

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