Why You Should Watch: American Tower acquired CoreSite for $10.1 billion.
American Tower significantly entered the data center market just a few weeks ago with its $10.1 billion blockbuster purchase of one of the biggest data center operators in the U.S. in CoreSite.
Boston-based American Tower is looking to shake up the U.S. data center market with plans to create a “differentiated” communications platform to accelerate global 5G deployments after acquiring CoreSite’s 25 data centers.
“We expect the combination of our leading global distributed real estate portfolio and CoreSite’s high-quality, interconnection-focused data center business to help position American Tower to lead in the 5G world,” said American Tower CEO Tom Bartlett when the acquisition was unveiled in late 2021.
The merger brings together American Tower’s wireless connectivity at the mobile edge and CoreSite’s interconnected data centers at the core edge to create an extended edge for customers that will seamlessly support high-performance, low-latency applications. CoreSite was the fourth largest U.S. data center operator in the U.S. in terms of colocation and data center revenue, according to Synergy Research Group.
American Tower is a new player in the U.S. data center market that will be interesting to watch in 2022.