In a move to expand into the growing data center market in India, NTT Communications will acquire a controlling stake in Netmagic Solutions, a leading managed hosting provider in India. The acquisition, in which NTT is buying 74 percent of NetMagic's shares, is subject to the approval of authorities in India.
The addition of Netmagic Solutions’ datacenter services and sites will expand NTT Com’s capability to provide IT solutions in the fast-growing Indian market, the company said as well as accelerate its offering of globally seamless cloud services through expanded ICT infrastructure across Asia.
Netmagic Solutions operates seven data centers in major Indian cities including Mumbai, Chennai, Noida (Delhi-NCR) and Bangalore. It offers colocation and managed hosting to more than 1,000 customers, and employs about 500 workers.
India as Key Growth Market
"This acquisition enhances our global status as the ICT partner of choice, including now in India, one of the key areas of our future growth," said Katsumi Nakata, Senior Vice President of NTT Communications. "By leveraging the complementary strengths of both companies together with the continued leadership of Mr. Sharad Sanghi as CEO of Netmagic, we will accelerate enhancement of our global cloud services for the provision of high-quality ICT services."
"This alliance will help Netmagic to leverage NTT Com’s global network and datacenter footprint for customers. The partnership will also help us strengthen our growth plans in the Indian sub-continent and globally, while NTT Com’s global customers in India can benefit from Netmagic’s expertise and leadership position in the managed IT hosting and cloud services market," said Sharad Sanghi, Founder & CEO of Netmagic Solutions.
The ongoing expansion of multinational operations in the business world is increasing demand for seamless global IT services, according to NTT Communications, which is responding with a "Global Cloud Vision" offering end-to-end services.
NTT Communications’ extensive infrastructure includes a Tier-1 IP backbone reaching more than 150 countries in partnership with major Internet service providers, and secure datacenters in Asia, North America and Europe. NTT Communications is the wholly-owned subsidiary of Nippon Telegraph and Telephone Corporation, one of the world’s largest telecoms.