AT&T is getting out of the managed hosting business, shifting those workloads to the IBM Cloud portfolio. This is the latest example of a telecom provider struggling to figure out how to monetize cloud and managed services.
Under terms of a deal announced today:
IBM will deliver the managed applications and managed hosting services that AT&T previously provided.
AT&T will continue to provide networking services including security, cloud networking and mobility that it provides today.
The two companies say they will “work closely to innovate and deliver a full suite of integrated solutions to customers.”