Cisco drops $2bn on IoT buy; Autodesk cuts 925 jobs; T9000 spies on Skype users

Cisco has revealed plans to acquire Internet of Things (IoT) company Jasper Technologies for US$1.4 billion (about AU$1.98 billion) in cash and assumed equity awards.

The deal would also include additional retention-based incentives.

Jasper’s services allow companies to connect devices — such as cars or pacemakers — over mobile networks. The company offers a software as a service (SaaS) platform that helps customers manage connectivity of IoT services.

Cisco said the acquisition would allow it to offer a “complete IoT solution that is interoperable across devices and works with IoT service providers, application developers and an ecosystem of partners”.

Cisco said it would continue to build on the Jasper IoT service platform and add new IoT services like enterprise Wi-Fi, security for connected devices and advanced analytics to help manage device usage.

“I am excited about the opportunity for Cisco and Jasper to accelerate how customers recognise the value of the Internet of Things,” said Chuck Robbins, Cisco CEO.

“Together, we can enable service providers, enterprises and the broader ecosystem to connect, automate, manage and analyse billions of connected things, across any network, creating new revenue streams and opportunities,” Robbins said.

Cisco expects the deal to close in the third quarter of fiscal year 2016, subject to customary closing conditions.

Cisco’s VP of Corporate Business Development, Rob Salvagno, provided some background on the proposed acquisition on the Cisco blog.

“Cisco views Jasper as a unique IoT service platform that is disrupting a massive market with strong strategic alignment with Cisco. Jasper represents the largest platform of scale in IoT today with over 3500 enterprise customers and 27 service providers across 100 countries,” Salvagno wrote.

In an FAQ on the acquisition, Jasper stated that there is “no plan to discontinue any of Jasper’s offerings or diminish its products in any way”.

Autodesk cuts 925 jobs

3D design and engineering software company Autodesk intends to cut 925 jobs as part of a recently announced restructuring plan.

Autodesk said the restructuring plan will accelerate the company’s move to the cloud and its transition to a subscription-based business model.

“As we progress through our business model transition, we continue to take a comprehensive look at our company to see where we can be more effective and efficient,” said Carl Bass, Autodesk president and CEO.

“To realise maximum value for both our customers and shareholders, and as a follow-on to previously discussed cost reduction actions, we are restructuring so we can focus resources on areas that will accelerate the move to the cloud and transition to a subscription-based business.”

As part of the restructure, Autodesk said it plans to reduce staffing levels in the near-term by about 10% — about 925 positions — and to consolidate some of its leased facilities. The company expects these changes will result in additional cost savings in fiscal 2017 and beyond.

Autodesk anticipates taking pre-tax charges of between US$85 million and US$95 million in connection with the restructure.

Bass said: “To be clear, the restructuring announced today is not related to anything we are seeing in the macroeconomic environment. We ended fiscal 2016 on a high note with very strong fourth-quarter billings growth and continued demand for our subscription offerings. Solid revenues, coupled with continued cost controls, led to better than expected non-GAAP EPS during the quarter.”

T9000 malware

Cybersecurity company Palo Alto Networks has provided a detailed analysis of a newly discovered Trojan that can spy on Skype users.

The company dubbed the malware T9000 and said that the Trojan is a newer variant of the T5000 malware family.

“In addition to the basic functionality all backdoors provide, T9000 allows the attacker to capture encrypted data, take screenshots of specific applications and specifically target Skype users,” a blog post on the malware said.

“The malware goes to great lengths to identify a total of 24 potential security products that may be running on a system and customises its installation mechanism to specifically evade those that are installed.”

The blog post said the company has observed T9000 used in multiple targeted attacks against organisations based in the US.

Image courtesy ITU