According to a press release, cloud services provider Fusion has announced that it has bought the Chicago based RootAxcess in a bid to extend its client base as well as its cloud services. RootAxcess provides businesses with IaaS, virtual cloud services, cloud backup services and more. Customers of RootAxcess have extended their infrastructure using hybrid cloud while other RootAxcess customers have used the service to establish a private cloud. RootAxcess is reported to have closed its doors on September 30th, with Fusion absorbing the company and integrating it as their own.
Fusion listed several reasons as to the who, what, where and why’s of the acquisition. Fusion mentions the one of the biggest opportunities they will have is the ability to cross sell cloud products to RootAxcess customers. Fusion also strengthens its standing within the cloud IaaS market, which is expected to nearly triple in annual revenue by 2019.
Fusion went on to compliment RootAxcess on their impressive margins and recurring revenue rates, which adds over $1M in services fees annually onto Fusion’s books.
“We are delighted to announce the acquisition of RootAxcess. With Fusion’s current suite of cloud computing solutions designed for large enterprise customers, the acquisition of RootAxcess provides us with a complementary set of cloud computing solutions for a broader range of businesses,” says Fusion CEO Matthew Rosen.
Eric Wince, CEO of RootAxcess shared the sentiment by saying, “As a leading cloud services provider with an end-to-end product suite, nationwide next-generation cloud network, and a strong customer-focused culture, Fusion is the ideal partner to take the RootAxcess portfolio to the next level.”
Wince went on to say, “Fusion’s management shares our vision of the transformational benefits of the cloud, and we expect this transaction to be highly beneficial to our valued customers who can continue to rely on robust, secure cloud computing solutions for their most mission-critical needs.”