EMC and IBM in Talks to Acquire SoftLayer for $2 Billion

rated by 0 users
This post has 1 Reply | 0 Followers

Top 10 Contributor
Posts 26,482
Points 1,196,265
Joined: Sep 2007
ForumsAdministrator
News Posted: Sun, Mar 17 2013 10:13 AM
Both EMC and IBM are reportedly considering a purchase of SoftLayer, a dedicated server, managed hosting, and cloud computing provider based out of Dallas, Texas. The deal, which is being handled by Morgan Stanley and Credit Suisse, could be worth as much as $2 billion, a hefty chunk of change for what's currently the world's largest privately held web hosting service.

According to Reuters, SoftLayer warmed to the idea of a buyout after one if its customers, AT&T, approached the company. AT&T has since dropped out of the running.

IBM Rack
Image Source: Flickr (Tophost)

Cloud providers are becoming increasingly popular targets in takeover talks as companies look to streamline the performance of their enterprise offerings and ultimately cut costs. As for SoftLayer, the company manages 100,000 servers (10,000 more than rival Rackspace Hosting) in 13 data centers and has over 25,000 customers. Six of its data centers are located in the vicinity of its Dallas, Texas headquarters, while the others span all the way to Singapore and Amsterdam.
  • | Post Points: 20
Not Ranked
Posts 1
Points 5
Joined: Mar 2014

Such deals among the IT industries are common these days. Just because things have already reached to the saturation level in IT sector; hence these IT Companies are continuously offering the best services that can drive them sales.

  • | Post Points: 5
Page 1 of 1 (2 items) | RSS