Social networking has attracted the attention of traditional media, bloggers, venture capitalists and others. But there is confusion about the relationship between social networking and collaboration. As Cisco acquires WebEx for $3.2 billion in cash, let’s clear the air.

Social networking has two components: productivity and play. The term collaboration usually refers to productivity and the creation of value rather than play. However, there are distinct parallels. Whether we’re playing networked multiplayer games or we’re using a networked 3D modeling application to design a car or produce digital effects for movies, we are still collaborating in real time. Whether we’re writing a wiki about chess or microprocessor design, we’re still collaborating asynchronously.

Cisco has already made social networking investments focused on play and consumer communities, namely Tribe.net and Five Across. Acquiring WebEx, with its more than 28,000 customers and over 2 million registered users, plunges Cisco deeper into productivity and business-oriented collaboration. Cisco’s broader strategy is to use the network as a platform for consumer and business applications and services.

Some of the coverage of the acquisition requires clarification. The San Francisco Chronicle called WebEx the “leader in videoconferencing” in a story in today’s business section. Actually, WebEx is the leader in web conferencing or what the company prefers to call the “collaboration services market.” Video can be used as an add-on, but most WebEx conferences are one-to-many presentations without video rather than truly interactive sessions. Now that Cisco will drive WebEx, video will undoubtedly play a bigger role. Clearly, the acquisition sets the stage for Cisco to challenge Microsoft in the collaboration services arena.