SoftBank Telecom will be using 8x8's subscription-based Zerigo enterprise cloud software to develop and deploy virtualized cloud services that will roll out first in Japan before going global.
Through the agreement, 8x8 and SoftBank will take Zerigo and develop additional software to provide SoftBank with virtual desktop interface (VDI) services. SoftBank's plan is to take Zerigo and the additional cloud services to its customers in Japan, but over time, it will roll out the virtualized cloud data services throughout the rest of Asia before taking them to Europe, the United States and other major markets around the world.
SoftBank plans to market the new cloud services to its existing customers, which the company stated includes some of the "world's largest enterprises." The 36-month contract looks to be a good win for 8x8, which will earn development, installation and ongoing license fees throughout the entire run of the contract.
"SoftBank selected 8x8 after an extensive search of software providers based on 8x8's clear commitment to quality, scalability and reliability as well as flexibility and cost competitiveness," said Ken Miyauchi, director of the board of SoftBank Telecom, in a prepared statement. "SoftBank is pleased to partner with such a nimble, Silicon Valley company whose culture mirrors our own and whose experience in delivering cloud services will be invaluable in helping us to rapidly deploy similar services in Japan. We expect our customers will be delighted with these new offerings and we look forward to expanding the available markets in the near future."
The Zerigo technology SoftBank will be using was acquired by 8x8 in June 2011. The acquisition of Zerigo added virtual private servers, managed DNS services and monitoring tools for 8x8's cloud-based services portfolio.
SoftBank, which has built its nearly 30-year-old business on voice and data transmission services, got into the cloud market with the launch of White Cloud, a cloud computing service aimed at helping customers optimize their IT investments and assets.