Today Cisco finally had to come to terms with the fact that it fundamentally misunderstands the consumer electronics market. Like, $590 million misunderstands it. That’s how much the company paid for Pure Digital originally. Now, Cisco will kill off the brand and let go of 550 employees in an attempt to restructure.

I can’t say I understand why Cisco bought the Flip in the first place. It’s like you can almost see the guys at Pure Digital biting their lips and trying not to laugh as Cisco drops a $590 million dollar offer on the table. I imagine there had to have been one guy in that meeting who would raise his hand every now and again to say “Hey, don’t you think this tech will be in every smartphone ever soon?” He was also probably getting kicked every time he got to, “Hey don’t you think…ow!”