Internap Acquires Cloud Hosting Provider Voxel

By Frank Ohlhorst  |  Posted 2012-01-03 Print this article Print

Internap seeks to boost its cloud services with the purchase of Voxel, which offers hosting services along with an automation platform called VoxSTRUCTURE.

In what may be a sign of the times, Internap Network Services has acquired hosting provider Voxel Holdings in a deal that will boost the company's cloud-computing offerings and expand its base of small business customers. Internap has become one of the latest companies to expand cloud services via an acquisition.

The all-cash deal,  which closed Dec. 30, amounts to some $30 million, with an additional $5 million in sweeteners tied to the delivery of specific objectives during the next two years. Voxel, which is based in New York, offers hosting services built on a proprietary automation platform called VoxSTRUCTURE. The acquisition will allow Internap to offer on-demand physical and virtual cloud servers, as well as a global content delivery network (CDN), and a full suite of managed services-all based on Voxel's technologies. Voxel currently claims more than 1,000 customers and 50 employees.

"This acquisition of Voxel increases Internap's market share and growth rate, accelerates our product roadmap and creates an unmatched competitive position as an IT Infrastructure services provider," said Eric Cooney, president and CEO of Internap. "As IT infrastructure outsourcing advances, enterprises increasingly seek service providers to support myriad applications and workloads throughout their entire IT lifecycle."

Other hosting and cloud service providers, such as Presidio Networked Solutions, Network Depot and Akami, have recently purchased cloud-focused organizations in hopes of expanding hosting and service offerings in the cloud. Nevertheless, Internap will benefit from the Voxel acquisition, which will expand Internap's infrastructure--thanks to Voxel success at deploying  infrastructure across three continents, leasing space in eight Equinix data centers around the globe.

In its release announcing the deal, Internap mentioned that it would add Voxel locations in Amsterdam and Singapore."We are excited to be joining Internap, a company that shares our commitment to developing innovative IT infrastructure solutions to drive the next generation of Internet and cloud applications," said Raul Martynek, president and CEO of Voxel. "The combination of Internap's broad market presence and robust, high-performance IT infrastructure platform with our expertise in automated hosting and cloud services will deliver a powerful option for a broad range of enterprise customers."

Internap's acquisition clearly shows that the path to cloud-services consolidation is sure to continue in 2012.

Frank Ohlhorst Frank J. Ohlhorst is the Executive Technology Editor for eWeek Channel Insider and brings with him over 20 years of experience in the Information Technology field.He began his career as a network administrator and applications program in the private sector for two years before joining a computer consulting firm as a programmer analyst. In 1988 Frank founded a computer consulting company, which specialized in network design, implementation, and support, along with custom accounting applications developed in a variety of programming languages.In 1991, Frank took a position with the United States Department of Energy as a Network Manager for multiple DOE Area Offices with locations at Brookhaven National Laboratory (BNL), Princeton Plasma Physics Laboratory (PPL), Argonne National Laboratory (ANL), FermiLAB and the Ames Area Office (AMESAO). Frank's duties included managing the site networks, associated staff and the inter-network links between the area offices. He also served at the Computer Security Officer (CSO) for multiple DOE sites. Frank joined CMP Technology's Channel group in 1999 as a Technical Editor assigned to the CRN Test Center, within a year, Frank became the Senior Technical Editor, and was responsible for designing product testing methodologies, assigning product reviews, roundups and bakeoffs to the CRN Test Center staff.In 2003, Frank was named Technology Editor of CRN. In that capacity, he ensured that CRN maintained a clearer focus on technology and increased the integration of the Test Center's review content into both CRN's print and web properties. He also contributed to Netseminar's, hosted sessions at CMP's Xchange Channel trade shows and helped to develop new methods of content delivery, Such as CRN-TV.In September of 2004, Frank became the Director of the CRN Test Center and was charged with increasing the Test Center's contributions to CMP's Channel Web online presence and CMP's latest monthly publication, Digital Connect, a magazine geared towards the home integrator. He also continued to contribute to CMP's Netseminar series, Xchange events, industry conferences and CRN-TV.In January of 2007, CMP Launched CRNtech, a monthly publication focused on technology for the channel, with a mailed audience of 70,000 qualified readers. Frank was instrumental in the development and design of CRNTech and was the editorial director of the publication as well as its primary contributor. He also maintained the edit calendar, and hosted quarterly CRNTech Live events.In June 2007, Frank was named Senior Technology Analyst and became responsible for the technical focus and edit calendars of all the Channel Group's publications, including CRN, CRNTech, and VARBusiness, along with the Channel Group's specialized publications Solutions Inc., Government VAR, TechBuilder and various custom publications. Frank joined Ziff Davis Enterprise in September of 2007 and focuses on creating editorial content geared towards the purveyors of Information Technology products and services. Frank writes comparative reviews, channel analysis pieces and participates in many of Ziff Davis Enterprise's tradeshows and webinars. He has received several awards for his writing and editing, including back to back best review of the year awards, and a president's award for CRN-TV. Frank speaks at many industry conferences, is a contributor to several IT Books, holds several records for online hits and has several industry certifications, including Novell's CNE, Microsoft's MCP.Frank can be reached at

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