Networking equipment maker Cisco Systems Inc, has reportedly appealed that the European Commission should rethink over its decision on the purchase of Skype by the Redmond giant Microsoft. According to the latest information, Cisco is appealing with Italian fixed-line and internet telephone provider Messagenet SpA.
To rewind: Intending to improve its real-time communications, Microsoft acquired Skype in October 2011 at US$8.5. Microsoft has been working to integrate Skype into many of its services and products, including its enterprise tools through Office 365.
A spokesperson from Cisco has confirmed that the appeal against Microsoft will be heard this week.It is worth noticing here that the latest challenge by Cisco is one of the four court cases against the European Commission's rulings in merger cases.
Market reviewers added that, in case Cisco wins the challenge at the Luxembourg-based general court, the European Commission would have to withdraw its approval of Microsoft’s purchase of Skype, which may further force Microsoft to buy the internet video and voice company, Skype without having to make any concessions.
Market analysts further added that Cisco is perhaps thinking that the Skype deal is a serious challenge to its video conferencing systems.
