US-based networking equipment provider Cisco pledged on Tuesday to invest $500m in Germany over the next three years, a portion of which will consist of direct investments in venture capital funds.
The initiative, called Deutschland Digital, will assist the country with digitisation. Other areas to be funded will include specific digitisation and research projects, and the Cisco Networking Academy, which will be expanded along with the firm’s local human resources and infrastructure spending.
Cisco plans to boost its investment in both startups and VC funds based in the country, with cybersecurity, cloud computing and internet of things (IoT) to be prioritised.
The company revealed it recently committed funding to Relayr, a Berlin-headquartered IoT technology developer that raised $11m in a November 2015 series A round which included VC firms Kleiner Perkins Caufield & Byers and Munich Venture Partners.
Chuck Robbins, chief executive of Cisco, said: “Germany has long been known for its focus on innovation, and digitisation opens up unprecedented opportunities for the country.
“With our increased investments in education, innovation and security, we can help create a digital Germany that can bring even greater value to the country and its citizens. Cisco is honoured to partner with Germany on Deutschland Digital.”
The initiative follows similar programs in Canada, the UK, France, Italy, Israel and Russia.
Cisco announced the investment drive on the same day as it committed $150m to a fund named Cisco Spark Innovation Fund, which will invest in startups with a view to building an ecosystem for the firm’s cloud collaboration platform, Cisco Spark.
– Photo of Cisco’s openBerlin Innovation Centre courtesy of Cisco