DataBank, a Dallas-based data center provider, has acquired C7 Data Centers, adding Salt Lake City to the list of secondary data center markets it operates in, the companies announced Tuesday.
The deal is the latest example of the ongoing consolidation in the data center provider industry, both in tier-one and tier-two markets. As demand for data center capacity grows, driven largely by video streaming services, providers have been expanding scale and geographic reach via acquisition.
Both companies are privately owned; terms of the transaction were not disclosed. DataBank is owned by Digital Bridge Holdings, which acquired it in 2016.
C7’s flagship Granite Point I data center is in Bluffdale, a town outside of Salt Lake City that’s also home to the well-known enormous NSA data center. A Granite Point II facility is nearby. The company also operates a data center in downtown Salt Lake City, which is a key carrier interconnection facility for the area.
C7’s three interconnected data centers in the Salt Lake City market will become DataBank’s first footprint in western US. To date the company has been operating in Minneapolis; Kansas City, Kansas; and Dallas, its home base.
Not counting C7’s footprint, DataBank operates more than 250,000 square feet of data center space.
Further reading: 2016 Was a Record Year for Data Center Acquisitions, but 2017 Will Be off the Charts