Cisco has agreed to sell its manufacturing facility in Juarez, Mexico to Foxconn Technology Group, as part of its plans to streamline operations.
Cisco took over ownership of the Mexican facility, which manufactures video and telecommunications equipment for the service provider market, with the acquisition of Scientific Atlanta in 2006.
The transaction positions the companies to further expand their strategic partnership in North America.
Cisco EVP and COO Gary Moore said they remain fully committed to service provider customers and partners, and will continue investing in existing and new video platforms, including set-top-boxes, as part of Videoscape vision.
Foxconn Communication and Network Solutions Business Group GM Michael Ling said through this strategic alignment with Cisco, the company will be able to leverage the operation’s unrivalled talent, technology, and expertise in video and telco infrastructure to broaden vertical supply chain services in the video, broadband, networking, and telecommunications infrastructure sectors.
The transaction, which is subject to regulatory approvals, is expected to close in 2011.
