Juniper Networks, a US-based networking equipment maker, is adding another company to its growing portfolio. The company has acquired the US-based Mist Systems, a networking startup that develops wireless LAN networks powered by artificial intelligence (AI), for $405 million.
Under the terms of the transaction, the deal will be paid in the combination of equity awards and cash. Mist Systems, a heavily funded AI startup, has been added by Juniper to bolster its software-defined enterprise capability as well as its multicloud offerings. Additionally, the deal will also help Juniper in its planned expansion in the highly lucrative cloud-managed area of the huge wireless networking market, according to the company’s recent press release.
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Juniper, according to Silicon Angle, has a huge plan for the AI startup. Aside from establishing a strong foothold in the wireless market, the US networking company plans to use the startup\’s technology add automation to its current offerings.
Founded in 2014 and based in San Francisco Bay Area, Mist Systems has developed the world’s first AI-driven wireless network products, which makes WiFi infrastructure more reliable and measurable. Additionally, the company also developed the networking industry’s only AI-powered virtual assistant, Marvis, that helps IT troubleshoot connectivity and networking issues. The company sells IT services that provide connectivity for a wide range of computing environments.
Mist’s cloud-based platform help power wireless networks at offices, college campuses, and other corporate locations. In addition to its wireless platform, the company also developed a tool that automates radio resource management, which primarily used in optimizing WiFi coverage. Mist sells the service together with a line of wireless access points that can provide connectivity for a wide range of computing environments.
This is not the first time Juniper has acquired an AI-focused company. The US networking stalwart has been beefing up its AI arsenal in the past years. In 2017, it acquired the AI startup Cyphort, which offered an AI-powered platform for detecting cybersecurity intrusions. It also developed a set of virtual assistants that handle and automate daily network management tasks.
Before its deal with Juniper Networks, the startup has managed to raise around $88 million in total funding. Its backers include Alphabet’s GV venture capital arm and Kleiner Pekins.
The deal, which still subjects to regulatory approval and closing conditions, is expected to be complete in Juniper Networks’ fiscal second quarter.