Acquisitions Boost NTT's U.S. Cloud Offensive
NTT Communications is spending about $875 million to acquire two U.S. cloud and data center service providers in a move that will more than double the company's data center space in the U.S. and significantly expand its global network services coverage.
NTT, the Tokyo-based parent company of solution provider Dimension Data, said it is buying Virtela Technology Services, a Denver-based managed and cloud network services provider, for $525 million. It also plans to acquire an 80 percent stake in RagingWire, a Sacramento, Calif.-based provider of data center services, for $350 million.
The acquisitions will allow NTT to significantly up its competitive game against major U.S. cloud service providers.