Nov 19 Telecommunications company CenturyLink
Inc said on Tuesday it has bought cloud computing
startup Tier 3 Inc as part of its acquisition strategy that
allows it to compete with the likes of Amazon Inc, IBM
Corp and Verizon Communications Inc's Terremark.
The company did not disclose financial details, but a source
close to the matter said the price was around $200 million.
Monroe, Louisiana-based CenturyLink, which acquired telecom
company Qwest Communications in 2011, has been building its
cloud services. It bought data center provider Savvis in July
2011 for $2.5 billion and in June of this year it purchased
AppFog, a platform as a service company.
Cloud computing, which includes on-demand software, platform
and infrastructure services, is cheaper and faster to deploy
than traditional offerings which usually include more hardware.
According to research firm Gartner, Seattle-based Tier 3 is
the No. 3 cloud provider after Amazon Web Services and CSC
Evercore Partners advised Tier 3 on the deal.