Wholesale-friendly cloud services provider Fusion has announced that it has successfully implemented a series of efficiency measures that will enable the company to surpass its previously-announced goal of realizing $3 million in annual cost savings by the end of 2015.
These savings, which represent a major near-term strategic objective for Fusion, result primarily from an ongoing initiative to leverage its scale stemming from four cloud services acquisitions over the past three years.
Most recently, Fusion completed the migration of its data center and switching facility at 75 Broad Street in New York City to 165 Halsey Street in Newark, N.J. The move is expected to save the company more than $800,000 per year, as part of the company’s efforts to improve profitability and drive efficiencies, allowing the re-deployment of capital into the business to expand sales, marketing and support systems to enhance the company’s growth objectives.
“I am pleased to announce that Fusion has exceeded the cost-savings goal we had set out earlier this year, and has done so ahead of schedule,” said Matthew Rosen, Fusion’s CEO. “The consolidation of our New York-area data centers is an important part of our ongoing commitment to balance our growth strategy with a comprehensive effort to drive operational efficiencies across all areas of our business. We believe that our discipline in executing on these initiatives will strengthen our balance sheet and improve cash flow while enabling us to increase our investment in sales and marketing, as well as the support systems and infrastructure improvements required to achieve greater scale. We will continue to identify areas where we can implement additional savings and harvest other efficiencies accruing from our acquisitions.”
Fusion’s move to the secure, SSAE 16-certified data center at 165 Halsey consolidates the infrastructure supporting the company’s carrier and business services divisions and achieves synergies in overlapping geographic coverage resulting from acquisitions that expanded Fusion’s reach to 14 data centers nationwide. The consolidation was facilitated by the company’s year-long program of major infrastructure and system upgrades that have eliminated redundancies in space and power requirements.