For Sale: Verizon 48 Data Centers $2.5 Billion

[drmike]

Verizon announced it wants to sell 48 data centers it owns.  Asking price $2.5 billion.


This is the latest move as Verizon mutilates itself to focus all efforts on wireless.


Look for this deal to shake things up, or perhaps it marks the end of the boom in data center sector.

 

[qps]

Look for this deal to shake things up, or perhaps it marks the end of the boom in data center sector.

Verizon borrowed a ton of cash to buy out the half of Verizon Wireless they didn't own from Vodafone.  I think they're trying to dig themselves out from their mountain of debt, and owning data centers isn't really central to their wireless business strategy...

 

[DomainBop]

Verizon borrowed a ton of cash to buy out the half of Verizon Wireless they didn't own from Vodafone.  I think they're trying to dig themselves out from their mountain of debt, and owning data centers isn't really central to their wireless business strategy...

I thought their way of digging themselves out of debt was to make American taxpayers pay for everything including executive salaries.

Verizon made $19.3 billion in U.S. pretax profits from 2008 to 2012, yet didn’t pay any federal income taxes during the period. Instead, it got $535 million in tax rebates.


Verizon’s effective federal income tax rate was negative 2.8% from 2008 to 2012. The official corporate tax rate is 35%. This difference allowed Verizon to avoid $7.3 billion in taxes.


Verizon had $1.9 billion in accumulated offshore profits in 2012, on which it did not pay U.S. taxes...


Verizon also has saved money by taking advantage of a loophole that allows it to get other taxpayers to pick up the tab for a third of the lavish pay offered to its executives...

http://www.americansfortaxfairness.org/files/Verizon-Fact-Sheet-Final.pdf

Verizon announced it wants to sell 48 data centers it owns.  Asking price $2.5 billion.

It paid $1.4 billion to acquire Terramark in 2011.  

 

[drmike]

I love you @DomainBop !


Teramark deal never added up.  People expected a lot post deal and well, for us mortals, nothing seems to have really happened that anyone can point to.  I suspect the assets lingered.