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Yeah... I've seen all the other posts equating CL with US Worst. You are missing the thread on this. Rackspace offers its' own revenue stream that makes an acq
by oldbuzzard 12y ago
Yeah... I've seen all the other posts equating CL with US Worst. You are missing the thread on this.
Rackspace offers its' own revenue stream that makes an acquisition worthwhile and it has sever traffic that nearly perfectly balances CL's residential traffic. This should make it easier to negotiate peering agreements with tier 1's.
So this deal is revenue neutral and offers the possibility of reducing costs through economies of scale and peering... looks like a win-win for CL. In fact, on reflection, it looks alot like the GC Frontier merger in the 90's... Datacenters and iLEC mergers are somewhat old hat... the success of these pairings is varied ;)