Data communications giant Cisco Systems Chief Science Officer, Bruce Nelson, says the company is actively seeking start-ups in Israel to acquire.
Gary Drutin, Cisco Israel’s Marketing Manager, says that senior Cisco personnel from both the US and Europe involved in business development and global alliances, are in Israel at least once a month looking for new technologies. The sheer numbers and frequency with which these Cisco representatives are meeting with Israeli start-ups, make an imminent acquisition virtually inevitable.
Nelson told "Globes" today that there are two potential models for companies aspiring to sell technologies to Cisco. The first channel would be an existing company with an existing product, able to show Cisco why that product will prove necessary to the company in the future, and seeking an OEM agreement or to license its product to Cisco.
The second channel, according to Nelson, is for entrepreneurs with prototypes or germ-stage ideas. These entrepreneurs, who do not yet have actual customers, hoping to be bought out by Cisco, should come with a business plan that closely dovetails with Cisco’s aims.
Nelson noted that he is in the market for entrepreneurs with security products, voice over Internet Protocol, the underlying technologies involved in call and signal processing, and cost-effective micropayments solutions. Nelson also notes that, as the Internet comes of age, the need will arise for technologies that detect IP-based fraud, similar to what exists now for calling card fraud detection.
Published by Israel's Business Arena February 24, 1999