Cisco plans to sell Linksys

Now many companies, both large and not very much, are trying to concentrate on 1-2 areas of their activities, getting rid of non-core assets. Of course, not everyone does this, but Cisco, for example, does the same. In order to leave only the core areas of work, the company gets rid of promising, but not basic, divisions. The other day it became known that Cisco is looking for a buyer for its Linksys division.

It is worth recalling that Linksys manufactures routers for home networks, which is not very much in the “stream” of Cisco corporate business lines. As for the division itself, his company did not create from scratch. Cisco bought Linksys in 2003, and, in general, all this time trying to maintain the purchased asset afloat.
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The very direction of work, the production of routers for the home, is not very profitable, so Linksys are unlikely to sell for an amount in excess of $ 500 million (it is for that amount that Linksys was purchased in 2003). In any case, experts say so. Cisco itself has not yet commented on the possibility of selling its division, the Bloomberg edition reported about it ...

It is worth noting that Cisco is very tough in the centralization of its activities. For example, about 8 thousand employees have already been laid off, plus some non-core units have been closed / sold.

Via CNET