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Cisco Buys Two Software Firms in Deals Totaling $47.8 Million

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SAN JOSE, CA. — Cisco Systems

is acquiring two small privately held high-tech firms in deals totaling $47.8 million, the company said Friday.

Metreos Corp., which is based in Austin, TX., and Audium Corp., which is based in New York, are software firms focused on drag-and-drop applications that Cisco plans to use as part of its service oriented network architecture.

The acquisitions are part of Cisco's strategy to create its "unified communications" system that will integrate voice, video and Internet Protocol communications across enterprise networks.

Metreos develops IP communication applications. Audium provides VoiceXML speech self-service application development.

"Cisco's Unified Communications system enables businesses to leverage their Cisco networks as a platform for integrating voice, video, data and mobility services," said Don Proctor, senior vice president of Cisco's Voice Technology Group. "Using common service oriented architecture standards, such as XML and VXML, these acquisitions will help our customers streamline key business processes by integrating their communications environment with their information systems."

Cisco (Nasdaq: CSCO) will pay some $28 million in cash for Metreos and $19.8 million in cash for Audium.

Metreos, founded in 2001, has 19 employees. Audium, founded in 1999, has 26 employees.

Cisco employs more than 2,000 people at its campus in Research Triangle Park.

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