Cisco's takeover of Tandberg gets the go-ahead

European Commission gives networking giant the green light

Cisco also revealed that it has won a multi-year deal to supply TelePresence systems to Bank of America

Cisco’s acquisition of Norwegian videoconferencing product manufacturer Tandberg has been given the green light by European authorities.

The European Commission has approved the proposed acquisition under the EU Merger Regulation.

The Commission had identified serious concerns regarding competition, owing to interoperability issues between the merged entity's solutions and those of its competitors.

However, it said that it is now satisfied that both parties have offered sufficient remedies to prevent it significantly impeding effective competition in Europe.

"The remedies package offered by Cisco is suitable for safeguarding competition in the market for video communications where the merged entity will have a strong presence,” said Joaquín Almunia, vice president for competition.

The investigation was conducted with the US Department of Justice, which also cleared the transaction on 30/03/10.

The company also revealed that it has won a multi-year deal to supply TelePresence systems to Bank of America, as advanced video communications systems continue to rise in popularity.

The company said 200 units of TelePresence will be deployed across the Bank of America's global operations by the end of the year, with more expected in the following years.

Although Cisco has never revealed how much the acquisition was worth, analysts speculate that it paid over $40m (£26.5m).