Digital Realty acquires colo biz of Hivelocity in Chicago and Miami, partners with Vultr

Company takes over Hivelocity services at Digital-owned sites


Colocation giant Digital Realty has acquired the colocation business of Hivelocity in Chicago, Illinois, and Miami, Florida.


Digital has also announced a new GPU-centric partnership with cloud and hosting firm Vultr.


Digital buys Hivelocity colo biz


Hivelocity this week announced the sale of its colocation services business at 350 E. Cermak Road, Chicago (ORD1), and 36 NE 2nd Street, Miami (MIA2) to Digital Realty, two facilities Digital already owns.


Hivelocity, owned by Valterra Partners, stated that the divestment will increase its focus on existing bare metal, enterprise cloud, and virtual server solutions. Terms of the deal were not shared.


The company said that Digital Realty’s existing ownership of the underlying facilities and colo experience means customers located in the facilities will “continue to receive the reliable, high-quality support they have come to expect.”


Jeremy Pease, CEO of Hivelocity, said: "Digital Realty is ideally suited to acquire these assets and is well-positioned to drive incremental value to our customers at these locations. We are confident that their expertise, combined with our proven track record in these facilities, will ensure ongoing service excellence.”


Hivelocity and Digital Realty currently collaborate across more than ten locations globally. The company said it will continue to provide and grow colocation services at its core facilities and provide bare metal and cloud hosting services at locations across the US and internationally.


“The acquisition further strengthens our position as a trusted global partner, expanding our service capabilities and colocation offering in two of our existing data centers,” said Faramarz Mahdavi, VP, IT Infrastructure and Operations, Digital Realty. “Customers will continue to receive uninterrupted service as they are gradually onboarded to MarketplacePortal, our global customer access platform.”


Hivelocity, headquartered in Tampa, Florida, was founded in 2002 and specializes in the operation of colocation and cloud services. The company claims to operate in more than 40 international locations spanning six continents. It was acquired by Valterra in 2024.


Kevin Reed, Managing Director at Valterra Partners, added: "We’re proud to have delivered a successful outcome to our investors through the sale of these assets. This transaction reflects the strength of our investment strategy and the value we continue to create in partnership with industry leaders like Digital Realty.”


Digital partners with Vultr


This week also saw Digital Realty announce a strategic partnership with hosting and cloud company Vultr to deliver GPU infrastructure across key global markets.


The agreement unites Vultr’s GPU-accelerated cloud with Digital Realty’s infrastructure, enabling organizations to run AI workloads.


Vultr’s high-density GPU clusters – featuring Nvidia HGX B200 and AMD Instinct MI325X chips– are now deployed on Digital’s PlatformDigital offering.


These resources are currently available on Private AI Exchange (AIPx) in Atlanta, Dallas, London, and Singapore, with future connectivity to San Francisco. Additional deployments and availability on AIPx are underway in Frankfurt, Mumbai, Sydney, and Tokyo.


The companies said AI workloads can be deployed immediately in pre-validated environments designed for training, inference, and agentic AI via as-you-go consumption-based models and no long-term lock-in.


“Our partnership with Vultr is about putting AI where enterprise data lives,” said Chris Sharp, Digital Realty CTO. “By combining Vultr’s disruptive price-to-performance model with our global PlatformDIGITAL footprint, we’re enabling instant AI infrastructure that empowers enterprises to activate Private AI—close to their data, within compliance boundaries, and without the complexity of standing up bespoke environments. This trusted foundation allows customers to focus on achieving AI outcomes at scale. ServiceFabric and AIPx extend this value, offering secure orchestration pathways to distributed compute and multi-party AI collaboration.”


Vultr was founded in 2014; the company currently has 32 cloud data center regions across six continents and describes itself as the world's largest privately held cloud infrastructure company.


“Enterprises need AI infrastructure that’s not only powerful, but production-ready and responsive to compliance considerations,” added Kevin Cochrane, CMO of Vultr. “Our collaboration with Digital Realty delivers exactly that: immediate access to high-performance GPU infrastructure in the world’s most strategic digital hubs. Together, we’re trusted, long-term partners helping organizations scale AI with confidence.”


Source: DCD

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