21Vianet Group, which claims to be the largest carrier-neutral internet data center services provider in China, has entered into definitive agreements to invest in Aipu Group, one of the largest internet service providers in China.
Headquartered in Chengdu, Sichuan Province, Aipu Group operates in 11 cities across China and primarily engages in providing last-mile wired broadband access and other value-added services to internet users.
Based on the agreement, 21Vianet will own, both directly and indirectly, about 50% interest in the Aipu Group, making it its single largest shareholder.
The amount of 21Vianet's cash investment has not been disclosed.
21Vianet said the deal will allow it to significantly expand the reach of its data transmission network into regional last-mile access networks, further strengthening its position as a leading integrated internet infrastructure services provider in China.
Frank Meng, president of 21Vianet, said the extension into selected regional last-mile access networks highlights an important component of the company’s long term vision to create an open and seamless network ecosystem.
“As China's internet economy becomes increasingly content and cloud centric, we believe the expanded network footprint will not only enable us to better serve our customers, but also allow us to capture additional growth opportunities," Meng said.
Last Month 21Vianet partnered with US-based ‘as-a-service’ provider of WAN optimization Aryaka for enhancing connectivity and application performance.
Through this deal, 21Vianet’s customers now have access to a dedicated private core network and accelerated access to data, application and cloud services through Aryaka’s POPs in Guangzhou, Xi’an, Beijing and Shanghai.