Telecommunications equipment and services behemoth Ericsson has acquired Boston-area mobile video software company Azuki Systems, potentially setting the stage for more IT acquisitions in the city.
The Azuki acquisition marks the first Boston deal for Ericsson. Azuki Chairman and Atlas Venture Partner Chris Lynch told the Boston Business Journal that it wouldn’t be all that surprising if Ericsson snapped up another five or six area mobile and analytic companies in the next few years.
Other companies that had their eyes on Acton, Mass.-based Azuki included Cisco and Alcatel, said Lynch.
Boston IT Job Growth
With its acquisition of Azuki and its 49 employees, Ericsson’s new mobile video business is expected to result in it doubling its Acton office space, and also lead to the opening of an office in Cambridge. Ericsson is planning to hire more people in the area.
Other businesses are planning expansions in the region. Among them are a number of large companies that have begun big projects delayed because of the recession.