Cisco Buys Streaming Video Firm For $800 Million

If Cisco Systems' story is ever turned into a movie, it might be called "The Company that Ate Cleveland." The networking company famous for its appetite said Wednesday it will acquire its seventh company in three months. Cisco execs said they will buy privately held SightPath Inc., a maker of appliances that supply streaming media, for $800 million in stock.

SightPath's products distribute real-time video and online training over the Internet and intranets. The technology also can be used by application service providers and Web hosts that deploy bulky applications to millions of customers every day.

The deal is expected to close by the end of July. All 76 employees of SightPath, based in Waltham, Mass., will be integrated into Cisco's content-services business unit. SightPath CEO Jim Ricotta will continue to head the unit and will report to James Richardson, senior VP at Cisco.