|
Analyst's Views
3Com will boost HP portfolio, says Saugatech Research
HP will purchase 3Com, a leading provider of networking switching,
routing and security solutions, at a price of $7.90 per share in cash or an
enterprise value of approximately $2.7 billion. The terms of the transaction
have been approved by the HP and 3Com boards of directors.
"By combining HP ProCurve offerings with 3Com's extensive
set of solutions, we will enable customers to build a next-generation network
infrastructure that supports customer needs from the edge of the network to
the heart of the data center." Dave Donatelli, executive vice president
and general manager, Enterprise Servers and Networking, HP.
"Our extensive product line and innovative technology
together with HP's breadth and scale will expand our global opportunity,"
said Bob Mao, chief executive officer, 3Com.
Analysts believe 3Com can provide HP with direct competition
for Cisco in data center networking, including security. According to Saugatech
Research, 3Com plugs important gaps in HP's networking portfolio, adding backbone
switching and management to HP's ProCurve LAN-oriented offerings, and security
management through 3Com's TippingPoint subsidiary.
|
