YOU ARE AT:BusinessAT&T to sell data center operations to Brookfield Infrastructure

AT&T to sell data center operations to Brookfield Infrastructure

In a $1.1 billion deal, AT&T is transferring its data center operations to Brookfield.

AT&T is selling its data centers to Brookfield Infrastructure for $1.1 billion and entering into a strategic alliance with the company which includes a colocation services agreement that will enable AT&T to continue serving its customers in internet data centers (IDC).

More than 1,000 companies across different sectors, such technology, financial, industrial, use AT&T’s IDCs. AT&T has 18 IDCs in the U.S. and 13 outside the U.S. AT&T will continue to deliver network services to its customers at the IDCs after the transaction closes, the company said. AT&T and Brookfield promise the same level of service, according to a press release.

AT&T said that it will continue to offer customers access to colocation services at more than 350 data centers — including transferred IDCs — around the world as part of its colocation ecosystem program.

Under the deal, Brookfield will pay AT&T $1.1 billion, which AT&T will use to pay down debt. AT&T will become the anchor tenant of the colocation business and an active sales channel for the business. The deal must be cleared by regulatory.

AT&T has been planning on selling its data centers in preparation for its proposed acquisition of Time Warner. Verizon sold its data center business to Equinix in 2017.

Brookfield Infrastructure is a large investor, owner and operator of infrastructure assets globally, with more than $75 billion in assets under management across the communications infrastructure, utilities, transport, energy, renewable power, and sustainable resources sectors.

ABOUT AUTHOR

Susan Rambo
Susan Rambo
Susan Rambo covers 5G for RCR Wireless News. Prior to RCR Wireless, she was executive editor on EE Times, Embedded.com, EDN.com, Planet Analog and EBNOnline. She served also EE Times’ editor in chief and the managing editor for Embedded Systems Programing magazine, a popular how-to design magazine for embedded systems programmers. Her BA in fine art from UCLA is augmented with a copyediting certificate and design coursework from UC Berkeley and UCSC Extensions, respectively. After straddling the line between art and science for years, science may be winning. She is an amateur astronomer who lugs her telescope to outreach events at local schools. She loves to hear about the life cycle of stars and semiconductors alike. She is based in the San Francisco Bay Area. Follow her on Twitter @susanm_rambo.

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