- Logicworks uses DRT in New Jersey
- Burning Questions: What did 3Q12 look like in hosting?
- Windstream doubles down with Compass in Durham
With earnings season winding down, we’ve had a close look at the sector’s results. While there were exceptions, for the most part things were slow and feedback we’ve received from privately held providers matches up with this trend. Overall, we saw a slowing in growth during the latter half of 2012. The dip was relatively mild but it is important to keep in mind that the overall trajectory of the sector is positive and all key indicators are stable. Read more of our commentaryhere.
M&A activity has slowed in reent weeks but Rackspace closed another acquisition of a startup as it looks to expand its capabilities. The new addition is an early-stage startup out of Boston called ObjectRocket. Rackspace is looking to capitalize on ObjectRocket’s expertise with MongoDB database hosting in the cloud.
As we noted, the overall trajectory of the sector remains positive despite the recent bumpiness. We only need to look as far as expansion activity – which was again strong in recent weeks – for proof. In the past week we’ve seen examples of expansion activity from the likes of Latisys, CyrusOne and OnRamp.
