Oracle Corp. this week agreed to acquire session border controller specialist Acme Packet for approximately $2.1 billion in a deal that will pit it against Cisco in the IP networks space.
The business software giant will gain a foothold in the VoIP networking market with the acquisition; Acme Packet is deployed widely across global enterprises and 89 of the world’s top 100 communications companies to support secure delivery of next-generation voice, data and unified communications services, and applications across IP networks, handling translation and security duties at the edge of the network.
Combined with Oracle’s policy, monetization, databasing and other BSS/OSS functionality, and the hardware Oracle acquired with its $7.4 Sun Microsystems acquisition in 2010, the union could result in an end-to-end approach to carrier and large enterprise IP deployment–the proverbial single throat to choke.
“The proposed acquisition of Acme Packet is another important piece in Oracle’s overall strategy to deliver integrated best-in-class products that address critical customer requirements in key industries,” said Oracle President Mark Hurd. “The addition of Acme Packet to Oracle’s leading communications portfolio will enable service providers and enterprises to deliver innovative solutions that will change the way we interact, conduct commerce, deliver healthcare, secure our homes, and much more.”
The move also gives Oracle visibility into the voice over LTE (VoLTE) market–a place where Cisco has been working hard to dominate. Acme Packet has positioned its SBC and IMS functionality as a key enabler of 4G voice.
Shares of Acme Packet gained 22 percent on Monday after the deal was announced.