NTT America and Verio to merge, keeps NTT America brand

The Verio brand will be no more under the proposed merger with NTT America

The Verio brand will be no more under the proposed merger with NTT America

NTT America and American cloud service provider Verio have announced a merger that will see the Verio brand absorbed into NTT America.

“Upon the merger, NTT America, the surviving company, will be taking over the whole existing services of Verio in the Cloud and Web hosting business domain,” the company said in prepared remarks.

“The intent of the merger is to maximize the competitiveness of NTT Com group’s cloud services within the rapid-changing business environment. NTT America and Verio will further improve the operational efficiency with the aim to strengthen cloud services for its enterprise customers.”

The move comes nearly fifteen years after NTT Com acquired Verio in an all-cash $5.5bn deal, a move aimed at leveraging expansion to the US in its dealings with large multinationals, which at the time were predominately in Asia.

At the time the acquisition was the subject of an investigation by the US government on national security grounds, but months after the initial deal was announced the Clinton-led government declined to intervene.

Over the past few years NTT Com has moved aggressively to bolster its cloud presence globally, with many of the NTT brands and sub-brands (DiData, Gyron, and Digital Port Asia) on hiring sprees. It also recently acquired e-shelter, a German hosting and cloud services provider.