NTT Com to buy U.S. cloud computing service provider
(Japan Economic Newswire Via Acquire Media NewsEdge) TOKYO, Oct. 28 -- (Kyodo) _ NTT Communications Corp. plans to acquire Virtela Technology Services Inc., a U.S. provider of cloud computing services, to enhance its ability to offer online access to software and data storage for clients globally, sources familiar with the matter said Monday.
The Nippon Telegraph and Telephone Corp. arm envisions acquiring another foreign cloud service provider on top of Virtela, based in Greenwood Village, Colorado, the sources said without identifying the other company. The investment in the two firms is expected to amount to 100 billion yen.
Virtela has been running data communications services networks for multilateral corporations and its acquisition would enable NTT Communications to strengthen its cloud services for Japanese companies operating internationally, they added.
NTT Communication has been seeking to enhance its cloud-related global operations to make up for a fall in voice-related communications revenues, they said.
In the NTT group of companies, NTT Communications has taken charge of long-distance domestic as well as international telecommunications services.
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