The paper, which did not reveal the source of its information, said US-based Cisco had traditionally concentrated on acquisitions of niche technology players, but its chief executive, John Chambers, is believed to be interested in merging with a wireless infrastructure company. Nokia has been identified as the most likely target, the paper said.
Cisco, the largest maker of Internet equipment, is worth around $123 billion, while Finland-based Nokia's market value is around $71 billion.
Cisco declined to comment. A Nokia spokeswoman in Helsinki also declined to comment.