GTT Acquires More Cloud Prowess
Global network operator GTT Communications has deepened its cloud services focus with the $40 million acquisition of UNSi, which provides data services primarily to large US-based enterprises.
For GTT Communications Inc. , the move is the latest in a string of transactions designed to both bolster the provider's network holdings and broaden the array of cloud-based services it can offer, GTT president and CEO Rick Calder tells Light Reading. Providing a broad array of cloud-based services is critical for enterprise-focused operators, and strengthening that ability by way of acquisition is an increasingly global trend. (See TeliaSonera Snaps Up Cloud Minnow.)
GTT operates an IP/MPLS network that spans three continents and includes more than 200 points of presence in 55 markets. Unlike some more service-focused players in the cloud space, GTT views its network presence as the key to its enterprise success, particularly when it comes to delivering cloud-based services. (See MegaPath Sells Networks to Focus on Services.)
"As enterprises continue to accelerate movement of applications to cloud, the real linchpin is the network," Calder says. "We believe we are positioned very much at the nexus of networking and cloud services. We focus on providing access over any type of technology to be able to put a cloud service on a corporate private backbone, with redundant access to the network."
The purchase of UNSi is GTT's fourth acquisition in three years, having bought Inteliquent's global data services business in 2013, nLayer in 2012 and PacketExchange in 2011. While GTT is globally focused, the UNSi buy is chiefly a North American play. For example, UNSi brings the US Postal Service as one of the largest of its portfolio of more than 2,000 enterprise customers, Calder points out.
In addition to strengthening its network holdings and diversifying service offerings, Calder said the carrier's financial goal is to hit $400 million in annual revenue and $100 million in adjusted EBITDA. The UNSi acquisition adds $55 million in revenue, according to the company.
— Jason Meyers, Senior Editor, Utility Communications/IoT, Light Reading