Interoute Crosses the Pacific

August 28th, 2015 by · Leave a Comment

Interoute is adding network assets in parts of the world far beyond its usual European haunts. Today they revealed the opening of two diverse transpacific routes connecting Hong Kong to Los Angeles.

Those are two markets they have launched virtual data centers and IP nodes in over the past year or so, something they also did in Singapore as well. The transpacific link is intended in giving the company a fully meshed global network with which to hook up those locations and better serve the enterprise market. The company's growing cloud infrastructure interests have certainly taken them to new geographies, and I wonder if they might dip deeper into the network infrastructure layer over time as well. Is a mere foot in the door in North American and Asia enough? Or is it the prelude to something larger?

Earlier this year, Interoute got some new private equity backers and the company publicly indicated an interest in M&A even as they digested the UK fiber assets of Vtesse. But they've been pretty quiet since then. There are certainly pure-play European targets they could be looking at, but the growing international cloud connectivity interest has me thinking their plans might be less local.

Rather than look close to home where their assets are already quite deep, they could target someone whose international assets are complementary and with a cloud connectivity focus, perhaps. The two Indian rivals GCX and Tata come to mind, although they might be too large.  But Hibernia Networks and GTT are probably within range.

Categories: Cloud Computing · Internet Backbones

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