Cisco Systems, the giant San Jose maker of networking equipment, announced today it intends to buy Arch Rock, a San Francisco developer of smart-grid software.
Financial terms weren’t disclosed.
“This acquisition further positions Cisco as a strategic partner to utilities working to better manage power supply and demand, improve the security and reliability of energy delivery, and optimize operational costs,” Laura Ipsen, senior vice president and general manager of Cisco’s smart grid unit, said in a news release.
According to the release, Arch Rock makes software that helps utilities connect smart meters and other devices over wireless networks.
Cisco on Wednesday announced a collaboration with Liberty Lake, Wash.-based smart-meter provider Itron to develop Internet-based smart-grid technology that Ipsen described as “a major step forward in the realization of a modern, more intelligent energy infrastructure.”
Cisco expects the Arch Rock deal to close by the end of the year. The company’s employees would become part of Cisco’s smart grid unit.
According to its website, Arch Rock received $15 million in venture funding from New Enterprise Associates, Shasta Ventures and Intel Capital.
CEO Roland Acra joined Arch Rock in 2005. Previously, he was CEO of Procket Networks, which was sold to Cisco in 2004.
Before that, he worked at Cisco from 1991 to 2003 in several positions including chief technology officer.
Co-founders David E. Culler and Wei Hong both have ties to the University of California-Berkeley.
Culler is a computer science professor at UC-Berkeley; Hong holds a doctorate in computer science from the university and was a senior researcher at Intel Research Berkeley.
At 8:27 a.m. PDT, Cisco stock was at $20.60, up 34 cents, or 1.7 percent.
Source:http://www.mercurynews.com/news/ci_15972896?source=rss&nclick_check=1
