Cloud Giant Microsoft Closes AT&T Deal

July 17, 2019
Cloud Giant Microsoft Closes AT&T Deal
Cloud giant Microsoft has closed a major deal with telecommunications company AT&T Communications, LLC. Microsoft, which is based in Redmond, Washington, United States, is well-known for its software solutions which include PC operating system Windows 10. The company also has a number of cloud-based businesses. Azure, its dedicated cloud platform, competes with Amazon Web Services (AWS) and Google Cloud Platform (GCP) by providing computer and storage options that include ‘Big Data’ and machine learning services. It also offers Microsoft 365 - a cloud-based alternative to the communication and collaboration software the company is traditionally recognized for. AT&T will leverage Microsoft’s full range of solutions in a deal that is reported to be worth $2 billion.

AT&T, which has headquarters in Dallas, Texas, United States, was founded in 1876 and is a globally recognized brand. The company specializes in all manner of telecommunications and wireless services and also offers options like managed hosting solutions. The “strategic partnership” between AT&T and Microsoft will see all AT&T employees transition to the use of Microsoft 365, including Windows 10 and Office 365. The company will also leverage Microsoft’s Azure platform. Despite the size of the deal, it is not an exclusive partnership and comes alongside IBM expanding an existing partnership with an extended agreement that will see IBM become AT&T Business’ primary cloud provider. IBM will also provide support for AT&T's hybrid cloud infrastructure.

Microsoft’s partnership with AT&T serves to help the company close ground on cloud leader AWS. AT&T employees more than 250,000 people globally and its profile is sure to help drive sales of Microsoft solutions. The companies are also collaborating on Artificial Intelligence (AI) and 5G wireless solutions. “AT&T and Microsoft are among the most committed companies to fostering technology that serves people,” explained AT&T Communications’ CEO John Donovan in a press release. “By working together on common efforts around 5G, the cloud, and AI, we will accelerate the speed of innovation and impact for our customers and our communities.”

“AT&T is at the forefront of defining how advances in technology, including 5G and edge computing, will transform every aspect of work and life,” added Microsoft CEO Satya Nadella in the same release. “The world’s leading companies run on our cloud, and we are delighted that AT&T chose Microsoft to accelerate its innovation. Together, we will apply the power of Azure and Microsoft 365 to transform the way AT&T’s workforce collaborates and to shape the future of media and communications for people everywhere.”

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