Equinix Enters Cloud Hosting Market, Buys Bare Metal Company Packet

Global colocation data center provider Equinix has now entered the cloud hosting market with its services by acquiring leading bare metal services provider, Packet. The acquisition extends Equinix’s colocation services to include bare metal services. It is intended to accelerate Equinix’s strategy to help enterprises more seamlessly deploy hybrid multi-cloud architectures on Platform Equinix. Financial terms of this acquisition were not disclosed.

equinix colocation cloud platform

Packet‘s proprietary technology automates physical servers and networks without the use of virtualization or multitenancy. By combining Packet’s developer-oriented bare metal service offering with Equinix’s interconnection capabilities, Equinix intends to create an enterprise-grade bare metal offering across Platform Equinix that allows customers to rapidly deploy hybrid cloud solutions, within minutes, at global scale.

Until now, Equinix has primarily delivered colocation data center services and interconnection services to its global clientele. By adding bare metal services to its portfolio, Equinix will enter the (hybrid) cloud hosting market. The company hasn’t yet declared anything in detail about what this shifting value proposition will mean for their market expectations. We can imagine that Packet’s innovative bare metal services are catering to the hybrid cloud needs of businesses globally. Until now, Equinix had a ‘pure-play’ colocation image though, and part of its current client base will probably deliver hybrid cloud solutions too, leveraging Equinix’s public cloud on-ramps. But maybe we will hear more about that in the coming weeks, as Equinix expects to disclose additional details of the deal upon completion of the acquisition.

Platform Equinix

Platform Equinix is a data center and interconnection platform with a global footprint of more than 200 International Business Exchange (IBX) data centers, containing one of the highest shares of the world’s public cloud on-ramps. Equinix will now extend its ‘pure-play’ colocation capabilities to include Packet’s bare metal services offerings.

“We started Packet in 2014 with a vision to redefine the next wave of cloud with a focus on the distribution and automation of fundamental infrastructure,” Zachary Smith, CEO, Packet. “This dovetails perfectly with Equinix’s strategy for helping enterprises implement new digital architectures in a growing number of edge locations. The incorporation of Packet into Equinix will accelerate the delivery of enhanced edge services to Equinix’s growing customer base, while continuing to serve the developer community that has come to rely on Packet’s unique offering.”

“By acquiring Packet, we are making it easier for enterprises to seamlessly deploy multi-cloud solutions at Equinix and extract greater value from our rich ecosystems and global interconnection platform,” said Sara Baack, Chief Product Officer, Equinix. “Packet’s innovative and agile bare metal service, and neutral approach to software stacks, fit our own cloud-neutral model and match our strategy for helping enterprises flexibly deploy digital infrastructure, within minutes, at global scale. Our combined strengths will further empower companies to be everywhere they need to be, to interconnect everyone and integrate everything that matters to their business.”


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