CenturyLink Buys Tier 3 To Accelerate Cloud Roadmap
Newest First  |  Oldest First  |  Threaded View
User Rank: Strategist
11/21/2013 | 2:49:31 AM
Re: $200 million more
I guess its one time investment which is required here further you just capital to mainatain, but look at financial gain and power saved , if as CSP i am serving 04 different oragnizations than their power consumption, device management, manpower consumption gets drastically down making me as CSP earn capital and save for my cutomers. Sound like win-win situation.
Li Tan
Li Tan,
User Rank: Ninja
11/21/2013 | 12:29:43 AM
Re: $200 million more
That's exactly the point - the cloud service is cheap for end user but to run a cloud business, you need heavy initial investment. Cloud computing is a nascent area with high added-value. It's hard to find really good talent and qualified resource to run the business as a cloud service provider. I do wish CenturyLink really get what they paid for.:-)
User Rank: Strategist
11/20/2013 | 5:37:46 PM
$200 million more
Six-year old Tier 3, with 60 employees, cost CenturyLink $200 million, according to Bloomberg ( That's after it paid $2.5 billion for Savvis in 2011. Getting into the cloud services market is not cheap.

Register for InformationWeek Newsletters
White Papers
Current Issue
Increasing IT Agility and Speed To Drive Business Growth
Learn about the steps you'll need to take to transform your IT operation and culture into an agile organization that supports business-driving initiatives.
Twitter Feed
InformationWeek Radio
Sponsored Live Streaming Video
Everything You've Been Told About Mobility Is Wrong
Attend this video symposium with Sean Wisdom, Global Director of Mobility Solutions, and learn about how you can harness powerful new products to mobilize your business potential.