Cisco puts on investor's hat to charm Indian companies

Networking major Cisco Systems is on the move again to identify companies-especially start-ups-plum for investment.

However, this time around, its hunting ground is India and has introduced its direct investment practice into the country for the first time. The company has identified five technology areas wherein it would be looking at companies, which it could invest into. These are: consumer broadband, Wi-Fi, storage network, VoIP and network security. So far only Intel has a significant strategy for such investments in the Indian market.

"Organizations whose technology focus drives the adoption of IP-networks are the ones we would be looking forward to," elaborates S Devarajan, MD, Cisco Systems India. He also doesn't deny the possibility of considering some of company's existing channel partners in the country for investment. He further adds that the prospective companies could be on the hardware as well as software side.

While not putting a cap on the amount of investment it would make, Devarajan asserts that company would pick up only a minority stake and is not looking at acquisitions. The nature of the investments would be that of an early to mid-stage VC funding. "We have invested in over 100 companies during last 10 years across US, Europe and APac. With India being a hotbed for technology companies, it was logical for us to bring the practice here as well," says Sameet Mehta, Manager-Business Development, Cisco Systems. He further informs that the company has invested close to $300 mn in ventures in the APac region, over last five years. 

GOLDIE

Bangalore