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Cisco Picks Up PostPath for $215M

Networking vendor plans to offer SaaS-based email archiving services

Cisco has announced its intent to acquire email management specialist PostPath for $215 million, outlining its plans to turn the startups technology into software as a service (SaaS).

PostPath, which is a former Byte and Switch top 10 startup, touts Linux-based software that can be dropped into a Microsoft network and works like an Exchange server. By using a Linux file system instead of Microsoft’s database, the vendor pushes its PostPath Server software as a faster backup alternative to Exchange.

The startup, which was founded in 2003, also sells email archiving software, and recently partnered with VMware to virtualize corporate email.

“We believe that the time is right to move these applications to a Software-as-a-Service (SaaS) model,” said Alex Hadden-Boyd, director of marketing for Cisco’s WebEx division, during a webcast earlier today, but did not divulge specifics. “We can look forward to more details in the coming months."

The PostPath follows a string of SaaS-related acquisitions by Cisco, such as last year’s $100 million for storage specialist Securent and

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