NTT (News - Alert) Communications Corporation (NTT Com) and Virtela Technology Services Inc., (Virtela) have announced the shareholders are entering into a strategic agreement that will allow NTT Com to acquire Virtela (News - Alert) for $525 million.
NTT Communications is a long-distance and international communications and ICT solution provider of NTT. It has become one of the top ranked telecommunications companies in the world. It currently offers solutions for Network, Cloud and Data services, along with content delivery.
The company felt that with taking over Virtela, the world’s largest independent managed network, security, and cloud services, it would be able to create cloud services that would dominate any other solution on the market.
According to Virtela, the agreement will allow the two companies to create “an unparalleled company able to deliver cloud networking services, asset-light compute, storage and network services on a global scale.”
“Virtela is well known for its strong technology, networking expertise, global reach and highly regarded services,” said Akira Arima, CEO of NTT Com. “As we advance our Global Cloud Vision, we expect to continue offering enterprise customers the highest possible value in services ranging from branch office networking to large-scale cloud migration.”
As a result of the agreement, NTT will be able to upgrade its cloud-based network services through a new integration of Virtela solutions. The plan is to continue working together to help expand the platforms and solutions already in place for consumers.
“NTT Com and Virtela share a vision for passionate customer support and enhanced customer experience, and we look forward to continuing to work closely with our customers and partners to deliver even higher value,” said Virtela President Ron Haigh.
This agreement helps expand NTT Com’s global network service coverage to almost 200 countries worldwide. The new cloud-based service will be available for most customers by the end of next year.
Edited by Rory J. Thompson