Cisco swoops on PostPath

Cisco Systems Inc. plans to acquire PostPath, a venture-backed start-up that offers open-source e-mail, for $215 million, the New York Times reports.

The acquisition, which was announced Aug. 27, will supplement San Jose, Calif.-based Cisco's collaboration tools. Cisco entered online workplace collaboration in March 2007 when it bought WebEx, a company that hosts Web meetings, for $3.2 billion. PostPath's products will augment the company's growing collaboration platform and enhance the company's ability to compete with Microsoft Exchange's collaboration tools.

The acquisition is Cisco's fourth this year, the newspaper reports, which makes it a slow year for a company that typically buys 10 to 15 companies annually.

Once the transaction is completed, PostPath employees will join Cisco's Collaboration Software Group.

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