Equinix, Inc have recently completed a $3.6 billion acquisition of 29 colocation data centers and their operations from Verizon Communications Inc. The all-cash transaction incorporates over a thousand customers, of which over 600 are net new. Additionally, the deal includes approximately three million gross square feet of data center space.
This recent acquisition has cemented Equinix’s ability to support companies in developing their IT operations, data and cloud services. Now owning 179 data centers globally, the deal also included 250 Verizon employees, who have now moved to Equinix.
CEO of Equinix Steve Smith said: “As the technological shift to digital is transforming large sections of society and the global economy, companies are re-architecting their IT infrastructure to thrive in this new environment. They are moving from traditional centralized infrastructure to a distributed model that keeps data closer to the customers, partners and employees using it. With this significant expansion of Equinix’s globally consistent footprint, our platform is even more valuable to companies that are leveraging this new model of interconnection at the digital edge.”
The colocation data centers will support the company’s ongoing steady growth and strong quarter results, with revenues in 2017 surpassing $950 million. The acquisition also supports Equinix’s expansion into three new markets – Bogota, Houston and Culpeper, Virginia. Equinix President of the Americas Karl Strohmeyer, who oversaw the acquisition, informed eWEEK. “We’ve been trying to get into Houston forever. Finally, through this acquisition, we get a really nice data center that gives us a foothold into the fourth-largest enterprise market in North America, and, of course, is a really good center for oil and gas.”
He added, We are helping companies of all kinds shift to digital. There are over 600 new customers that will be coming with this acquisition and we are going to help those companies take their IT architectures and deploy them across the globe.”