Dimension Data Acquires Nexus, Plans to Quadruple Data Center Business

Global IT firm Dimension Data announced that it has acquired Valencia, California IT company Nexus, and plans to quadruple its data center business to $4 billion in the next five years.

The acquisition of Nexus expands Dimension Data’s operations in the U.S. by 40 percent and significantly increases the company’s presence in the West, Southwest and Southeast regions of the country. Nexus has 19 offices in California, Nevada, Colorado, Arizona, Utah, Washington, Texas, Georgia,Florida and North Carolina.

“The acquisition of Nexus is a significant strategic step in enhancing the group’s geographic coverage and depth of skills and capabilities to support our clients," said Brett Dawson, CEO of Dimension Data plc. "For over three decades, Dimension Data has been building expertise and experience in ICT solutions and services that deliver real business value to our clients. Nexus increases our ability to support both our US-based and global clients with significant West Coast presence.”

Quadruple Data Center Business

While Dimension Data enjoys a $1 billion data center business in all major regions worldwide, it is looking to aggressively grow and scale those businesses both organically and through acquisition. It hopes to quadruple its data center business to $4 billion by 2018. In addition, Dimension Data believes its access to a significant set of data center assets across its parent company, the NTT Group, differentiates the business.

“In all regions and with all clients, large and small, there is an urgent need to undergo the transformation process needed to not only achieve better data center performance and manage disruptive technologies, but to also become progressively greener, in terms of environmental custodianship,” said Steve Joubert, Group Executive for the Data Center Business Unit.

Currently Dimension Data operates 12 public cloud locations around the world with further locations coming online in the next few quarters. Dimension Data significantly extends its cloud locations through its OneCloud partners, giving it one of the largest cloud footprints in the world.

“Getting there requires an integrated approach in the secure delivery of workloads and applications across the traditional data center, cloud and the enterprise network, all of which make up the next-generation data center,” continued Joubert. “This calls for a level and range of capabilities that the average organization doesn’t have and shouldn’t need to build or acquire when all of the considerable benefits of cloud, networking, security, and systems integration experience, as well as economies of scale and a global footprint, are available through Dimension Data.”

"Both organizations have a people-centric culture with a strong focus on delivering a great client experience," said Mark Slaga, CEO of Dimension Data Americas. "I am very excited to welcome 657 talented Nexus employees to the Dimension Data family. Together, the assets of both companies position Dimension Data as one of the leaders in the provision of services and solutions in the ICT sector across the US. Nexus brings a rich set of services and solutions to the Group, particularly in the data center, collaboration, enterprise networks, security and cloud spaces. In addition, there’s minimal overlap of geographies and clients, which strengthens Dimension Data’s presence across the Americas.”