[Techtaffy Newsdesk]

Cisco is acquiring NDS Group, a provider of video software and content security solutions, for approximately $5 billion. The acquisition has been approved by the boards of directors of both companies.

The acquisition of NDS will complement and accelerate the delivery of its Videoscape offerings, says Cisco, as also expand its reach into emerging markets, such as China and India, where NDS has an established customer footprint.

John Chambers (Chairman and CEO, Cisco): Our strategy has always been driven by customer need and on capturing market transitions. Our acquisition of NDS fits squarely into this strategy, enabling content and service providers to deliver new video solutions that leverage the cloud and drive new monetization opportunities and service differentiation.

The acquisition is expected to close during the second half of calendar year 2012, subject to customary closing conditions, including regulatory review in the United States and elsewhere.

Upon completion of the transaction, NDS’s global operations, including sites in the United Kingdom, Israel, France, India and China, and its approximately 5,000 employees will join the Cisco Service Provider Video Technology Group (SPVTG), led by senior vice president and general manager Jesper Andersen.

Dr. Abe Peled, NDS executive chairman, will be named senior vice president and chief strategist for Cisco’s Video & Collaboration Group, of which SPVTG is a part. Dr. Peled will report directly to Marthin De Beer, senior vice president, Cisco Video and Collaboration Group.