Cisco Systems Inc. (NASDAQ:CSCO) has acquired Pure Digital Technologies Inc. for $590 million in stock. Pure Digital is a company that makes digital cameras and video camcorders. In addition to paying $590 million, Cisco will pay about $15 million in equity incentives to keep Pure Digital workers on board.
Pure Digital builds the Flip Video camcorder for $150-$230. The Flip Video can record 60 minutes of video and can be plugged into USB drives. These videos can be uploaded to YouTube.
Pure Digital started about 8 years ago and was powered by VC capital by Sequoia and Benchmark Capital.