Logitech today announced that it has agreed to acquire privately held LifeSize Communications of Austin, Texas for $405 million in cash.
LifeSize makes high definition (HD) video communication systems, with more than 9,000 video conferencing customers across 80 countries in large enterprises, small-to-medium businesses (SMBs) and public healthcare, education and government organizations.
This acquisition could signal Logitech's intent to go head-to-head against Cisco in bringing video conferencing to consumers' living rooms. In a New York Times article, Andrew W. Davis, senior partner at the consulting firm Wainhouse Research, said Logitech has been aggressive in this space across a variety of fronts, and thats who youll see in your living room, not Cisco.
Logitech plans for LifeSize to operate as a separate division in Austin. The deal is expected to close in December.

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