Mergers and Acquisitions, Mergers and Acquisitions, MSP, Networking, Content, Software defined

Zayo Group Acquires SD-WAN Managed Services Provider QOS Networks


Fiber network owner Zayo Group has acquired QOS Networks, a provider of SD-WAN and edge managed services to enterprise customers. Financial terms of the deal were not disclosed.

This is technology M&A deal number 60 that ChannelE2E has covered so far in 2022. See more than 1,000 technology M&A deals for 2022, 2021, and 2020 listed here.

Zayo Acquires QOS Networks: MSP, SD-WAN and Fiber Network Synergies

Zayo is a fiber network and broadband provider. The company's 126,000-mile network in North America and Europe includes metro connectivity to thousands of buildings and data centers.

QOS Networks, founded in 2012, is an MSP that offers SD-WAN solutions that leverage VMWare’s VeloCloud solution, Versa and Palo Alto Networks’ Prisma. QOS Networks has deployed over 45,000 SD-WAN edge devices to large enterprises globally. The QOS brand will live on as a division of Zayo.

Together, Zayo and QOS plan to offer enterprise CIOs "high quality network services with global reach, real-time control and visibility, and consistent security at every network endpoint," the companies indicated.

New Zayo Channel Chief: The acquisition comes one week after Zayo hired Brightcove veteran Lynn D. Tinney as senior VP  of channels and partnerships.

Zayo Buys QOS Networks: Executive Perspectives

In a prepared statement about the deal, Zayo Chief Product and Technology Officer Brian Lillie said:

“This acquisition represents our commitment to, and investment in, our edge-to-core, edge-to-cloud and edge-to-edge network services portfolio. We are extremely well-positioned to be a leading provider of networking for the evolving edge at all layers – fiber, optical and packet – and for all players – enterprises, hyperscalers and carriers. This requires secure, software-defined intelligent network control, management and monitoring capabilities that our customers need in a highly dispersed, multi-cloud world.”

Added QOS Networks CEO Frank Cittadino:

“Joining forces with Zayo will bring our leading SD-WAN solutions into their already robust portfolio of communications infrastructure solutions. Combining our end-to-end enterprise SD-WAN solutions and whiteglove services with Zayo’s best-in-class fiber and network expertise will allow us to unlock unique value for our customers in the software-defined layer. On behalf of everyone at QOS Networks we are excited for our next chapter with Zayo and we look forward to driving new solutions for our customers.”

Zayo In the M&A Market, Financial Backers

Rumors about Zayo exploring multiple acquisitions have swirled since about October 2021. Among the alleged acquisition targets: Broadband network owner Uniti Group and managed communication services provider Windstream, according to a 2021 rumor that has yet to prove accurate.

Investors Digital Colony Partners and EQT Partners acquired Zayo in 2019 for more than more than $8 billion.

Joe Panettieri

Joe Panettieri is co-founder & editorial director of MSSP Alert and ChannelE2E, the two leading news & analysis sites for managed service providers in the cybersecurity market.