Cisco Scoops Up BNI Video for $99M, Moves Deeper Into TV
The West Coast roll-up of Boston-area tech companies continues.
On the heels of Oracle’s acquisition of Endeca this week, networking and communications giant Cisco Systems said today it plans to acquire Boxborough, MA-based BNI Video for $99 million in cash and retention-based incentives. Cisco is one of the startup’s investors. The deal is expected to be complete by the end of this year, at which time BNI’s employees will join Cisco’s service provider video technology group.
BNI Video started in early 2009, originally known as Beaumaris Networks, to develop technology for video service providers. About a year ago, my colleague Erin reported on the company’s software, which is aimed at helping cable companies compete better with Internet video providers.
The startup’s cloud-based software manages how cable content is organized on the back end so that consumers can search and browse their programs across various Internet-connected devices such as laptops, tablets, and smartphones. The company is led by CEO Conrad Clemson.
BNI raised nearly $17 million in venture capital over two rounds, from Charles River Ventures, Comcast Interactive Capital, Cisco, TIme Warner Cable, and Castile Ventures. So this looks like a pretty healthy return for the startup’s investors. BNI had 50 employees as of a year ago.
San Jose, CA-based Cisco (NASDAQ: CSCO) says it plans to use BNI’s technology to advance its own Videoscape TV platform, which lets service providers deliver video to Internet-connected devices. Cisco recently acquired ExtendMedia and Inlet Technologies in the video sector, and also previously bought Starent Networks and LineSider Technologies in Massachusetts.