Cisco already offers a host of technologies such as instant messaging and document management as a service, and is clearly keen to tap into the growing demand for storing and managing emails with its PostPath deal.
There has already been a flurry of activity in the hosted email market, with Dell snapping up MessageOne for $155 million and Google shelling out $625 million for Postini last summer. More recently, SaaS specialist Proofpoint picked up email vendor Fortiva for an undisclosed fee.
Cisco was clearly more interested in PostPaths technology than it was in the vendors customer list. At the start of last year, the startup claimed fewer than 10 paying customers, although PostPaths growing reputation as "the Exchange Buster" had nonetheless garnered some $30 million in VC funding.
PostPath, which competes with Mirapoint, IPswitch, and Scalix, also claimed to have received its first orders from Fortune 500 companies earlier this year.
Based in Mountain View, Calif., PostPath also has an R&D facility in Sofia, Bulgaria. Cisco said it intends to keep the companys workforce, including CEO Duncan Greatwood.
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