Light Reading
The acquisition of a 12-year-old, profitable software company gives Cisco more IP and optical management tools that could boost its software-defined networking strategy

Cisco to Spend $141M for More SDN Help

Craig Matsumoto
News Analysis
Craig Matsumoto
11/29/2012
50%
50%

Cisco Systems Inc. (Nasdaq: CSCO) is buying Cariden Technologies Inc. , a vendor of capacity planning and management tools, giving itself a multilayer and possibly multivendor viewpoint similar to what Cyan Inc. offers.

The $141 million cash deal is expected to close before February. Cariden's team would report to the Software and Applications Group within Cisco's Service Provider Networking Group.

Founded in 2001, Cariden provides tools that peek into the state of optical and IP networks. Cariden claims it's been successful there, having been profitable since 2003, but it's a really small market.

To expand, the company recently got into analytics. Part of the company's value there lies in its ability to "read" each vendor's gear, interpreting the states of VPNs or of quality-of-service metrics.

Cariden also introduced an operating system for network services, called NS-OS, in August.

Why this matters
It's a network management play that could be of help in software-defined networking (SDN).

Cariden's tools would let Cisco provide a view into converged IP/optical networks, much the way Cyan does. (Cyan's multilayer, multivendor network management netted it a Leading Lights award earlier this month.)

Cariden could also help program those layers, making it relevant to the Open Networking Environment (ONE), the architecture behind Cisco's SDN plans. A major part of ONE involves using application programing interfaces (APIs) to program various layers of the network.

Despite Cisco's penchant for providing entire networks end-to-end, it might also be acquiring tools useful for running multivendor networks. One purported advantage of SDN is the ability to more easily manage a multivendor environment, and Cariden worked hard to develop hooks into all the large vendors' management systems.

For more



— Craig Matsumoto, Managing Editor, Light Reading

(2)  | 
Comment  | 
Print  | 
Newest First  |  Oldest First  |  Threaded View
Pete Baldwin
50%
50%
Pete Baldwin,
User Rank: Light Beer
12/5/2012 | 5:16:50 PM
re: Cisco to Spend $141M for More SDN Help


Greg Ferro of Packet Pushers fame (@etherealmind on Twitter) brings up a good point: What's this mean for Insieme?


His impression is that Insieme is all about the software -- in which case Cariden shouldn't have been all that necessary. Hm.


https://twitter.com/etherealmind/status/274147552759259136

Pete Baldwin
50%
50%
Pete Baldwin,
User Rank: Light Beer
12/5/2012 | 5:16:50 PM
re: Cisco to Spend $141M for More SDN Help


The comparisons to Cyan are my own off-the-cuff impression. Cariden absolutely did not compete with Cyan, but Cisco+Cariden ... I think that could create some pressure for Cyan.


Not that Cyan is the biggest fish, but they've got some impressive network management abilities (hence the Leading Light award), and Cisco might be on the way to rivaling that. Maybe. I'm sure someone will let me know if I'm off-base here.


Also, $141M doesn't seem like a lot for a profitable 12-year-old company, especially one that's already ensconced with Tier 1s (Brian Marshall of ISI lists VZ, Telstra, SingTel, Swisscom and Deutsche Telecom.)  Then again, Cariden's market has always been small, as the company itself admits.

Flash Poll
LRTV Huawei Video Resource Center
Sales Director of INIT on Plug & Play Switch Devices

9|19|14   |   3:21   |   (0) comments


INIT Italy uses both the Huawei S5700 and S7700 series switches for the campus LAN environment. Sales Director Andrea Curti says their company chose these Huawei devices over others because of their performance, flexible scalability and plug-and-play features.
LRTV Huawei Video Resource Center
Saudi Arabia Upgrades Vocational Training System

9|19|14   |   3:31   |   (0) comments


The Technical and Vocational Training Corporation (TVTC) has 100,000 students, 150 government-owned institutions and oversees 1000 private institutes. The CIO of TVTC explains that Huawei devices have allowed them to manage multiple datacenters using just one software program, scientifically tracking the progress of students and teachers, saving them millions.
LRTV Huawei Video Resource Center
Huawei's Media Solutions Are Here to Stay

9|19|14   |   4:35   |   (0) comments


The current media revolution requires rapid upgrades in technology. New formats (HD, 3D, 4K etc.) and the subsequent explosion of file sizes demand sophisticated network and storage architecture. Social media and the multiple distribution channels require a robust asset management system. Gartner analyst Venecia Liu speaks about the current technological trends in ...
LRTV Huawei Video Resource Center
Microgenesis on Huawei's Switches

9|19|14   |   3:57   |   (0) comments


Microgenesis is a solutions and system integrator company in the Philippines whose areas of expertise include data centers, networking and security products. In this video, Executive Director Jeffrey Choa talks to us about his customers needs and they benefit from using Huawei switches.
LRTV Huawei Video Resource Center
Network Solutions Help the Philippines Jump Ahead

9|17|14   |   2:59   |   (0) comments


In the past, the Philippines has under-invested in technology. Now, the CEO of Softshell talks about how Huawei products help the Philippines jump ahead as the economy improves.
LRTV Huawei Video Resource Center
VCS Observation for Safer Cities in the Netherlands

9|17|14   |   5:20   |   (0) comments


Holland's VCS Observation has been operating for 22 years. Its main goal is to get cities safer. CEO Wim van Deijzen tells us some of the challenges his company faces and how Huawei is helping to overcome these challenges.
LRTV Huawei Video Resource Center
A Conversation With Serbia's Ministry of Interior

9|17|14   |   4:38   |   (0) comments


At HCC 2014, the Assistant Minister of the Ministry of Interior of the Republic of Serbia talks to us about his projects and corporation with Huawei. Solutions like Safe City and E-Government and services like cloud computing are just some of the areas his department is interested in.
LRTV Huawei Video Resource Center
IHS Analyst Discusses eLTE at CCW 2014

9|10|14   |   7:09   |   (0) comments


Thomas Lynch, associate director of critical communications at IHS Technology, talks about broadband in critical communications.
LRTV Huawei Video Resource Center
TCAA on Huawei eLTE: A Broadband Solution for Mission-Critical Communications

9|10|14   |   2:29   |   (0) comments


At CCW2014 in Singapore, the TCCA's Phil Kidner talks about the importance of broadband data for critical communications.
LRTV Custom TV
Spotlight on Cisco: SDN for Optical Networks

9|8|14   |   9:27   |   (0) comments


Cisco's Greg Nehib talks OpenFlow and more on the 'Software-Defined Networking for Optical Networks' panel at the Big Telecom Event in June 2014.
LRTV Custom TV
Cisco's Evolved Programmable Network (EPN)

9|8|14   |   4:05   |   (0) comments


A look at the various demos Cisco showed at Light Reading's Big Telecom Event highlighting Cisco's EPN innovation and how SDN and NFV technologies are enabling a variety of new services.
LRTV Huawei Video Resource Center
The Future of Ultra-Broadband, With Kevin Kelly (UBBF2014)

9|5|14   |   1:13   |   (1) comment


If you think the technological changes we've seen up to now are astounding, just wait until you see what the future has in store. Discuss upcoming breakthroughs with Kevin Kelly, Founding Executive Editor of Wired Magazine, at the Huawei Ultra-Broadband Forum on September 24.
Upcoming Live Events
October 29, 2014, New York City
November 6, 2014, Santa Clara
November 11, 2014, Atlanta, GA
December 2, 2014, New York City
December 3, 2014, New York City
December 9-10, 2014, Reykjavik, Iceland
June 9-10, 2015, Chicago, IL
Infographics
A survey conducted by Vasona Networks suggests that 72% of mobile users expect good performance all the time, and they'll blame the network operator when it's not up to par.
Today's Cartoon
Vacation Special Caption Competition Click Here
Latest Comment
Hot Topics
Photos: Qualcomm Takes Over San Francisco
Sarah Reedy, Senior Editor, 9/19/2014
NFV & The Data Center: Top 10 Takeaways
Sarah Reedy, Senior Editor, 9/18/2014
New NFV Forum Focused on Interoperability
Carol Wilson, Editor-at-large, 9/16/2014
Pics: LR's Women in Telecom Breakfast
Sarah Reedy, Senior Editor, 9/16/2014
North KC Says Free Gigabit for All
Jason Meyers, Senior Editor, Utility Communications/IoT, 9/16/2014
Like Us on Facebook
Twitter Feed