Cisco buys collaboration tool vendor, partners with Citrix/VMware for new service

|About: Cisco Systems, Inc. (CSCO)|By:, SA News Editor

Cisco (CSCO +1.5%) has acquired, a provider of mobile collaboration apps (task management, document sharing, messaging) backed by cloud-based sharing/syncing services. Terms are undisclosed.

Cisco states's products will complement its WebEx Web conferencing/collaboration platform, as well as its videoconferencing and unified communications offerings.

Citrix (CTXS - GoToMeeting, Podio) already competes in the mobile collaboration tool market, as do several others firms. Cisco's collaboration sales, which have been pressured by soft videoconferencing hardware demand, rose only 1% Y/Y in the Oct. quarter.

Separately, Cisco is launching a cloud-based PC virtualization service (DaaS) that leverages software from both Citrix and recent VMware (VMW +0.5%) acquisition Desktone, as well as Cisco's UCS servers.

The service will compete against Amazon's WorkSpaces PC virtualization solution, whose November launch led Citrix and VMware's shares to sell off.