January 3, 2019

Brookfield Infrastructure acquires AT&T’s 31 data centers for USD 1.1 Billion

The acquisition seeks to add data center assets to Brookfield’s SBU Evoque, in a bid to fortify its cloud portfolio.

strategic partnership

Brookfield Infrastructure Partners’ data center SBU Evoque has acquired AT&T’s 31 data centers for USD 1.1 billion. With this acquisition, Evoque strengthen their data center assets in a bid to provide cloud services to enterprises belonging to various segments in the North American market.

In June 2018, AT&T say that they signed a strategic alliance with Brookfield Partners to provide low-latency data center services to enterprises belonging to various sectors, across 18 IDCs in the U.S. market. This deal, they say, further progressed into full-fledged acquisition where Evoque decided to fortify their position in the American market.

By acquiring AT&T’s 31 data center assets, Brookfield say that they will offer cloud as well as SDN (Software Defined Network) services to their clients. They claim that after acquiring these hubs, Evoque will further invest in these hubs by adding state-of-the-art facilities to meet international standards.

Brookfield claim that they earlier got into the strategic partnership with an aim to increase their market share in the U.S. After the deal, Brookfield say that they saw gaps and opportunities in the market which they wanted to make the most of, and hence ended up acquiring the assets from AT&T.

In closing, Brookfield said that AT&T will receive USD 1.1 billion which will be used to pay their own debt. It will be interesting to see how Evoque make the most of the deal between Brookfield and AT&T, following their strategic partnership.