Cybersecurity

Cisco to Buy Splunk for $28 Billion in Giant AI-Powered Data Bet

Acquisition is largest deal ever for networking stalwart
Cisco is trying to lessen dependence on one-time sales

The Splunk office in San Jose, California, US.Photographer: David Paul Morris/Bloomberg

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By Katrina Manson, Brody Ford, and Ian King

September 21, 2023 at 11:55 AM UTC

Updated on

September 21, 2023 at 3:54 PM UTC

This article is for subscribers only.

Cisco Systems Inc. agreed to buy Splunk Inc. in a deal valued at about $28 billion, representing its biggest acquisition yet and a massive push into software and artificial intelligence-powered data analysis.

The networking giant will pay $157 a share in cash, the companies said in a statement Thursday, or a 31% premium to Splunk’s closing price on Wednesday. The purchase represents roughly 10% of Cisco’s market value.