Managed Services Acquisition: Spacenet Buys CICAT Networks

This isn’t your typical SMB managed services merger. Instead, Spacenet has acquired CICAT Networks in a bid to strengthen its national broadband managed network services strategy. This is roughly the 20th merger or acquisition MSPmentor has spotted so far in 2011, though the Spacenet-CICAT deal looks to focus far more on midmarket and enterprise customers rather than small business engagements.

Spacenet, a broadband specialist, is a wholly owned subsidiary of Gilat Satellite Networks. Meanwhile, CICAT Networks is a nationwide provider of broadband network solutions based in Chantilly, Va. In a prepared statement, Spacenet CEO Andreas Georghiou said:

“The combined Spacenet and CICAT Networks organization creates a new level of network capabilities and functionality ideal for multi-site business and enterprise customers across the U.S. This enables Spacenet to increase its addressable market substantially, and offer this market an expanded range of connectivity options and managed network service solutions. The acquisition demonstrates our commitment to meeting the evolving needs of our customers and adapting to a changing competitive landscape in the market.”

Over the past few years, Spacenet claims, the company has expanded beyond traditional satellite connectivity to offer such broadband options as DSL, MPLS and wireless. The company has also mixed in network management, call center and field services capabilities.

Spacenet has extensive managed services expertise. The company last year won a PCI-compliance managed services deal that blankets more than 7,000 Regis Corp. locations in North America. Spacenet Inc. also provides Emergency Communications Services (ECS) to key municipalities including the Los Angeles Police Department (LAPD). Details about CICAT Networks are harder to come by.

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