Dive Brief:
- 11:11 Systems completed its acquisition of managed service provider Ntirety, the UK-based cloud platform company said in a Thursday announcement. The companies did not disclose the financial terms of the deal.
- The transaction positions 11:11, which sells through MSPs, technology advisors and other channel professionals, as one of the largest private VMware Cloud Service Provider operators.
- Ntirety is 11:11’s sixth acquisition of an authorized VMware provider in three years. Previous acquisitions included iland Cloud, Green Cloud Defense, Unitas Global, Sungard Availability Services and Faction, helping to build what 11:11 describes as a broad operational foundation across cloud, security and disaster recovery.
Dive Insight:
Broadcom enacted sweeping changes to consolidate VMware’s platform and partner program after acquiring the virtualization software provider in 2023. As the pool of authorized VCSPs shrinks, smaller providers are teaming up with larger peers to preserve access to — and expertise in — the longtime virtualization provider’s technologies.
11:11’s latest acquisition fits that pattern.
“11:11 has been actively working with many former VCSPs to guarantee secure, compliant, high-performing cloud services and determine the best path forward for both their customers and their business,” Brett Diamond, CEO of 11:11 Systems, said in a statement. “Ntirety has a strong global VMware business with incredible in-house expertise and amazing customers.”
Ntirety brings a long-standing managed infrastructure business with strengths in database management and security services, according to 11:11 Systems executives.
“We’ve grown this business both organically and inorganically through acquisition,” Dante Orsini, chief revenue officer of 11:11 Systems, told Channel Dive. “And knowing that [Ntirety has] experience running a VMware-based infrastructure at scale, but also providing high-value data services and security services, fits lockstep in everything that we do.”
Ntirety operates primarily in the enterprise and midmarket segments, which Orsini said aligns well with 11:11’s customer base. He added that the two companies saw little customer overlap prior to the transaction.
“Fortunately, we haven’t really run into that,” Orsini said.
From Ntirety’s perspective, selling to 11:11 made sense as the VMware landscape shifted.
“We chose 11:11 to take Ntirety’s business to the next level because of their deep experience in VMware-based environments, as well as their focus on security,” Ntirety CEO Jim Parks said. “11:11 is the right choice to support our customers’ IT plans from cloud to containers to private AI and beyond.”
Ensuring continuity for Ntirety’s customers remained a central consideration throughout deal talks, Orsini said.
“One of the beauties of their customer base is a lot of it is very long term,” he said. “Customers have been there for 10, 20 years. … You look at the ability to deliver the right class of service with the right type of SLA and the right level of managed services on top of it.”
Broadcom executives also praised the 11:11-Ntirety pairing.
“Our strategy in optimizing the VCSP program is to focus our investments on a group of core partners with tremendous competencies like 11:11 Systems,” Ricky Cooper, GM of global cloud service providers and OEMs at Broadcom, said. “Their global footprint, VMware expertise, more than 6,000 customers and proven cloud, connectivity and security solutions position them to fully embrace our roadmap and innovation agenda and provide our joint customers with world-class service and support.”
More consolidation could lie ahead. Orsini pointed to Broadcom’s 2024 reduction of the VCSP population from roughly 4,500 providers to about 500, followed by more cuts in mid-2025. There are now only approximately 14 VCSP partners in North America, Orsini said.
“[Broadcom has] been very focused on ensuring that they’re working with providers that are completely dedicated to the platform,” he said. “We may see some additional people fall out of the program.”
James Anderson contributed to this story.
