Cisco acquisition of Five Across

I suspect most have heard of the Cisco acquisition of Five Across (the parent company of The NY Times has a short write-up:

"But along with the recent purchase of a social network design firm, Five Across, the deal will give Cisco the technology to help large corporate clients create services resembling MySpace or YouTube to bring their customers together online. And that ambition highlights a significant shift in the way companies and entrepreneurs are thinking about social networks."

Analyst Mike Gotta has some thoughts on the acquisition that bode well for IBM, particularly the comments about required partner model, and professional services:

As I mentioned in an earlier post on the Five Across acquisition by Cisco, there are many factors ranging from brand (what people associate with Cisco), professional services (building out any type of community-oriented strategy requires more than technology competencies), and partner model (Cisco may not attract partners that it might normally have been able to do business with since they are not competing with vendors at the application layer) and so on. Unless one of these acquisitions delivers credibility outside the technology aspect of social networking, I remain skeptical that these moves will amount to anything.

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