AT&T Completes Divestiture of Japan Domestic Network Operations to Internet Initiative Japan
AT&T committed to serving multinational corporations in Japan Tokyo, Japan, September 01, 2010
AT&T* today announced that it has completed the sale of its domestic Japanese outsourcing services operations to Internet Initiative Japan Inc. (NASDAQ:IIJI). The companies originally announced the transaction in June 2010. As part of the sale, AT&T will transfer approximately 1,600 domestic Japanese business customers and approximately 245 employees who support those customers to IIJ.
AT&T remains committed to serving multinational corporations (MNCs) with operations in Japan and offers a robust portfolio of services including managed global connectivity, hosting, mobile enterprise applications, cloud computing, application management, security, Telepresence and unified communications. AT&T's strong presence in Japan includes substantial operations and employees to support the domestic Japanese AT&T Global Network infrastructure, which includes four global network service nodes, remote access infrastructure for corporate clients, an Internet Data Centre and significant international subsea cable capacity.
"Japan is an important market for AT&T, and we are focused on providing a world-class level of service to our multinational customers with a presence there," said Bernard Yee, vice president AT&T Asia Pacific.
AT&T intends to continue to sell domestic telecommunication services, including IIJ products, to the MNCs it serves that have operations in Japan. And IIJ intends to purchase global connectivity services from AT&T to support its Japan-based customers' global communications needs.
The sale price is approximately ¥9.2 billion, or approximately US$109 million, based on the exchange rate on August 31, 2010. AT&T has also exercised a call option on NTT's 15-percent stake in AT&T Japan.
*AT&T products and services are provided or offered by subsidiaries and affiliates of AT&T Inc. under the AT&T brand and not by AT&T Inc.
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