Cisco is playing catchup with NT in one segment of the market - connecting routers to PBXs for IP Telephony. This explains the purchase of Selsius. NT probably has more PBX customers than Cisco.
Chambers was talking about NT and LU coming to him. This is an example of Cisco going to NT and LU.
Cisco Boosts Voice Strategy With
Selsius Buy
By Margie Semilof
San Jose, Calif.
12:26 PM EDT Wed., Oct. 14, 1998
..............
Need more evidence that traditional data networking companies
are panting to bring telephony applications to their customers?
Cisco Systems Inc. Wednesday snapped up Selsius Systems Inc.,
a Dallas-based maker of IP PBX systems that delivers telephony
over IP networks, for $145 million in stock and cash.
Cisco has been driving hard to develop an enterprise telephony
strategy, and Selsius now will play a key part of that strategy, said
David Tucker, president and chief executive of Selsius.
"This is in line with what [Cisco Chief Executive] John Chambers is
saying," Tucker said. "We will see IP carry all of your media. It
sends a message to the industry that Cisco will be a major player in
this business."
Cisco's acquisition means an instant channel for tiny Selsius, which
was founded in July 1997 and has just 51 employees. The company
had changed its name from Incite, which was a subsidiary of
Intecom, a Dallas-based PBX maker.
"We'll have a large sales force and a large channel," Tucker said.
"It's a little overwhelming when I think of my seven sales people."
At least initially, Selsius will operate as a separate business unit,
remaining in Dallas, Tucker said. It will become part of Cisco's
Enterprise business headed by Mario Mazzola, Cisco's senior vice
president.
In addition to the IP PBX, Selsius makes an NT PBX, and an
Ethernet IP phone.
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