Polycom buys HP's video conferencing unit; Forges WebOS pact

Summary:Polycom will buy Hewlett-Packard's video conferencing unit as part of a broad strategic pact.

Polycom on Wednesday said it will buy Hewlett-Packard's video conferencing unit as part of a broad strategic pact. Under the partnership, Polycom will also make its video applications available on HP's WebOS. Polycom's video conferencing systems are also going to be available on Android. HP will also resell Polycom and make the company an exclusive partner for select unified communications and telepresence deployments.

HP's video conferencing unit includes Halo products as well as managed services. The deal between Polycom and HP makes sense on many fronts, but the two companies are mostly connected via a mutual rival: Cisco.

Terms of the deal weren't disclosed, but Reuters put it at $89 million.

Meanwhile, Polycom will get a lot of sales scale via HP. Polycom's gear will also ride shotgun with HP's networking unit.

Among other key items:

  • Polycom has expanded its partnership with Microsoft to co-develop unified communications products. The two companies previewed a telepresence room code-named "Rally" that will natively connect to the software giant's Lync system and Office 365.
  • The company led a broad consortium to make video calling easier.
  • Polycom is also splitting its stock 2-for-1.

Topics: Operating Systems, Collaboration, Hewlett-Packard

About

Larry Dignan is Editor in Chief of ZDNet and SmartPlanet as well as Editorial Director of ZDNet's sister site TechRepublic. He was most recently Executive Editor of News and Blogs at ZDNet. Prior to that he was executive news editor at eWeek and news editor at Baseline. He also served as the East Coast news editor and finance editor at CN... Full Bio

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