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Cisco has completed its acquisition of data platform company Splunk, positioning itself as a dominant provider of infrastructure networking, security, and observability solutions. The acquisition sets the foundation for Cisco to establish itself as a data analytics and business insights leader and one of the largest software companies in the world.

Expected to yield economic advantages such as growth and margin expansion for customers and partners, the acquisition will also afford operational benefits across the digital spectrum — from enhanced security solutions and full-stack observability to industry-leading networking infrastructure and AI empowerment — all under a single roof.

Connecting and protecting all aspects of the enterprise

The integration of the two companies’ product portfolios enables organizations to harness the full power of artificial intelligence (AI).

Chuck Robbins, Chair and CEO of Cisco, expressed enthusiasm, stating, “As one of the world’s largest software companies, we will revolutionize the way our customers leverage data to connect and protect every aspect of their organization as we help power and protect the AI revolution.”

Gary Steele, Executive Vice President and General Manager at Splunk, emphasized the value proposition of the acquisition, stating, “The combination of Cisco and Splunk will provide truly comprehensive visibility and insights across an organization’s entire digital footprint, delivering an unprecedented level of resilience through the most extensive and powerful security and observability product portfolio on the market.”

Benefits to customers and partners

The acquisition is anticipated to provide users and resellers with:

  • Improved security: Comprehensive security across cloud, network, and endpoint traffic that includes built-in threat prevention, detection, investigation, and response.
  • Enhanced observability: Full-stack observability across multi-cloud hybrid environments with comprehensive insights, optimized performance, and issue mitigation.
  • Optimized networking: Access to a secure networking solution built on intelligent, resilient, and continuously optimized infrastructure.
  • AI empowerment: The ability to harness a comprehensive data platform that harnesses the power of AI securely.
  • Cost-effective solutions: Consolidation and integration of numerous point products to enable the streamlining of multiple business systems and infrastructure.

Value to the IT channel

The acquisition holds promise throughout the IT channel, offering a comprehensive suite of solutions and services that cater to evolving customer and partner needs. By consolidating the two organization’s diverse offerings and fostering collaborative innovation, the merged organizations empower users to drive tangible business outcomes and capitalize on emerging market trends.

According to Stephen Elliot, Group Vice President at IDC, “Cisco and Splunk is a transformative combination that will allow customers to do things that weren’t possible before.”

Julie Sweet, Chair and CEO of Accenture, echoed similar sentiments, stating, “We have enjoyed long-term partnerships with both companies and look forward to the opportunities this collaboration presents to our clients in the future.”

As organizations navigate the complexities of digital transformation, the power of the combined companies’ product offerings enables transformative business operations that propel organizations into the future.

To accelerate growth and innovation, learn about the headwinds channel partners face in their IT service delivery efforts. Gain insights on how IT service delivery is evolving in our article on the 2024 Channel Partners Conference & Expo, where we distill it all down for you.

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