Telefónica's cloud limb slurps Cancom's UK&I biz to cash in on Brit enterprise tech market

Telefónica Tech – nan cybersecurity and unreality helping of nan Spanish-owned telecoms elephantine – has forked retired €398m (£340m) to German outfit Cancom Group's UK and Ireland operations.

The woody is being seen arsenic granting Telefónica a decent toehold successful nan UK's endeavor market.

Some 600 IT professionals from Cancom UK&I are moving complete to Telefónica Tech bringing pinch them a integer services portfolio including master and managed services successful precocious IT, cybersecurity, and multi-cloud.

Cancom UK&I is nan consequence of 3 acquisitions by nan German VAR betwixt March 2018 and October 2019, each designed to broaden nan firm's scope beyond accepted merchandise businesses successful German-speaking countries.

In 2018, Cancom acquired unified comms supplier Ocean Intelligent Communications. A fewer months later it shelled retired £29m successful rate and shares for British endeavor tech supplier OCSL.

And successful November 2019, it spent £70m to get Belfast-based public-sector reseller Novosco.

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Employing immoderate 300 people, it is this past bargain that gave Cancom entree to existing NHS, lodging association, and kindness punters arsenic good arsenic inking its sanction connected nan database of pre-approved unreality suppliers for NHS Shared Business Services.

Telefónica Tech is simply a comparatively caller subordinate wrong nan brand. It came astir arsenic an amalgamation of nan telco's IT, cloud, and information services contracts and up until its UK acquisition operated principally successful Spain, Germany, and Latin America.

According to Megabuyte expert Indraneel Arampatta, this woody speaks of Telefónica desires to make a scatter connected nan UK tech scene.

"Telefónica, having conscionable merged its O2 mobile business pinch Virgin Media, intelligibly has awesome ambitions of its ain successful nan UK, pinch Cancom UK nan landing level for a much fierce push into nan UK precocious mid-market/large enterprise.

"UK guidance will enactment successful place, and lead imaginable acquisitions that adhd further cloud, IT and information capabilities. Leveraging nan skills of Novosco and that large NHS contract, a awesome portion of nan UK push will centre astir important different opportunities successful nan wellness sector."

Last year, Cancom UK&I notched up revenues of €155m pinch managed and master services accounting for astir half of turnover. The biz is presently connected people for astir €190m successful gross for 2021, it said. ®