Virtual network operator (VNO) Adapt is still sizing up targets in the systems integration space, despite agreeing to buy rival Centric Telecom from Alchemy Partners for £6.25m.
Centric, a VNO serving over 1,000 landlords and property companies, will almost double Adapt’s annual turnover to £25m.
However, Peter Knight, chief executive of Adapt, said the firm is also looking to gravitate towards its clients’ LANs.
“There is a lot of talk of systems integrators and managed services players becoming VNOs, but they will find it tougher to move into WAN than we will find moving to LAN,” he said.
“We’re interested in the managed applications space and are in talks with several targets roughly the same size as us. This is a natural progression for us because we already manage data centre environments, access, security and network connectivity.”
Barrie Desmond, business development manager at distributor VADition, said: “The trend is towards merging and consolidating data centres and then delivering a range for managed applications from these central locations. If that’s where Adapt is looking, it’s on the right path. But if Adapt thinks it’s going to get those skills from systems integrators it’s a bad move.”
Although Centric describes itself as a network operator, Knight claimed it is a VNO, “but hadn’t realised it”.
“The only difference between the two companies is the marketing approach,” he said.
Knight admitted Adapt is dwarfed by VNO giant Vanco, but claimed it was unfair to compare the two firms.
“Vanco focuses on enterprises and achieves revenues of more than £200m from 200 customers,” he said. “We believe we are number one in the mid-corporate sector.”
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