AT&T has finally found a buyer for its colocation business.
AT&T Inc announced today that it has completed the sale of its data center colocation operations and assets to Brookfield Infrastructure and its institutional partners (“Brookfield”). The company previously announced a strategic alliance with Brookfield that included the transfer of these operations and assets.
Why this matters ?
Telcos are making a big sales push on SDWAN offerings as managed services and alternate way to offer MPLS service extensions. I propose that the lesson to be learned from data centre colocation is that offering services per customer is not possible for telcos. Their internal business model is about mass production of a single project, namely, bandwidth and I consider it unlikely that they could successfully offer SDWAN as a managed service.
Link: AT&T Closes Sale of Data Center Colocation Operations and Assets to Brookfield Infrastructures – https://about.att.com/story/2018/att_data_center_colocation_operations_assets.html