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Japan's NTT Communications Corp Snaps Up Two US Cloud Companies: Reuters

According to Reuters, Japanese firms are ramping up their efforts to improve overseas networks through acquisitions

Ever since SoftBank Corp in July completed its $21.6BN purchase of Sprint Corp, Japan's biggest overseas acquisition to date, it seems that Japanese firms are ramping up their efforts to improve overseas networks through acquisitions. Today, according to Reuters, Japan's NTT Communications Corp has acquired all or part two US Cloud companies.



For $530M NTT has acquired Denver, Colorado-based Virtela Technology Services Inc, which provides communications services to corporations, and has also (for $350M) acquired an 80% stake in California-based RagingWire Data Centers.
,br/> Reuters explains the rationale behind the acquisitions as follows:

"NTT Communications aims to boost revenues from cloud services above 200 billion yen by the year to March 2016, more than double the figure for 2011/12, as it faces declining revenue from voice services."

NTT Communications Corp is an unlisted long-distance and overseas calling unit of Nippon Telegraph and Telephone Corp.

More Stories By Jeremy Geelan

Jeremy Geelan is Chairman & CEO of the 21st Century Internet Group, Inc. and an Executive Academy Member of the International Academy of Digital Arts & Sciences. Formerly he was President & COO at Cloud Expo, Inc. and Conference Chair of the worldwide Cloud Expo series. He appears regularly at conferences and trade shows, speaking to technology audiences across six continents. You can follow him on twitter: @jg21.

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