Wednesday, December 27, 2006
Level 3 Acquires SAVVIS Unit
Broomfield, Colorado-based Level 3 said Tuesday that it has acquiring the Thousand Oaks-based content delivery network (CDN) unit of SAVVIS, in a deal worth $135M in cash. The asset deal includes 50 employees based in Thousand Oaks as well as parts of the network, customer contracts, and intellectual property. The Thousand Oaks CDN unit of SAVVIS was previously Sandpiper Networks, which merged with Digital Island in 1999 and eventually became SAVVIS. Level 3 said that the unit had approximately $15 million in revenue for the nine months ending September 30, 2006. The acquisition is expected to close in the first quarter of 2007.