Equinix today announced the acquisition of bare metal cloud provider Packet. The New York start-up, which, according to Pitchbook data, had raised over $ 36 million at an estimate of $ 100 million.
Equinix has a number of data centers and locations around the world. Organizations that want more control over their hardware can use their services, including storage, power, and cooling systems, instead of running their own data centers.
Equinix gets a unique cloud infrastructure provider in packet, One that offers more customized types of hardware configurations than you can get from mainstream infrastructure providers like AWS and Azure.
Interestingly, COO George Karidis of Equinix came when he joined the company, so there's a connection there. Karidis described his company in a TechCrunch article from September 2018:
"We offer a wide variety of hardware options," he said. This means that you can equip servers with Intel, ARM, AMD or certain nVidia GPUs in any desired configuration. In contrast, public cloud providers tend to offer a standard approach. It's cheap and plentiful, but you have to take what it offers and it doesn't always work for every customer. "
In a blog post announcing the deal, the company's co-founder and CEO, Zachary Smith, sent a message to customers that may be worried about the change of ownership: “If the transaction closes later this quarter , Packet will continue to work as before. Team, same platform, same vision, ”he wrote.
He also offered the standard value story for a business like this, saying the company could scale much faster under Equinix than alone if it relied on the new company's massive resources, including over 200 data centers in 55 markets and 1,800 networks, can access.
Sara Baack, Chief Product Officer at Equinix, says the merger of the two companies will offer a range of bare metal options for future customers. "Our combined strengths will enable companies to be wherever they need to be, connect everyone and integrate everything that is important to their company," she said in a statement.
Although the companies did not share the purchase price, they indicated that after the transaction was completed, they would learn more details of what is expected in the first quarter of this year.