Cisco Systems, the dominant player in corporate networks, is moving further into home networks as well with the acquisition of KiSS Technology A/S--of Horsholm, Denmark--for $61 million in cash and stock. The acquisition is the second for Cisco’s Linksys consumer networking division, and adds a new dimension to that operation.

KiSS makes digital video recorders, players and home video products that can be networked to access Internet content or content stored on other home devices. The acquisition signals Cisco’s move into home entertainment networking, a move that is significant as the video and other content moves onto Internet Protocol platforms for delivery on multiple devices within the home.

“As more and more entertainment content is delivered over the Internet and as consumers demand access to digital entertainment inside and outside of their home networks, networked entertainment devices will become an integral part of Consumer Electronics,” said Charles Giancarlo, Cisco chief technology officer and Cisco-Linksys president, in a prepared statement. “KiSS has emerged as a leader in networked video and audio products in Europe and we hope to use that expertise to expand worldwide.”

The KiSS platform is designed to allow consumers to easily integrate devices within the home and Internet-based content. According to Cisco, the approach KiSS takes is standards-based and allows for easy interoperability of systems. Linksys will integrate the KiSS platform into its networked entertainment product portfolio and use KiSS’s 65 employees as part of its development team.

Linksys will continue to support and sell KiSS's existing products in Europe, according to Cisco.