Japan’s NTT takes NTT Data private in $16.4bn deal

July 2025 | DEALFRONT | MERGERS & ACQUISITIONS

Financier Worldwide Magazine

July 2025 Issue

In a strategic transaction designed to deliver scalable, artificial intelligence (AI)-ready infrastructure, Japanese telecommunications firm Nippon Telegraph and Telephone (NTT) is to acquire its subsidiary NTT Data for $16.4bn.

NTT, a former state monopoly still part government-owned, currently owns 57.7 percent of NTT Data and will purchase the remaining shares to take the information technology services provider private.

The acquisition will lead to the expansion of NTT Data’s Global Data Centers division, which has seen the information technology services provider secure land across seven high-demand markets – including North America, Europe and Asia – over the past six months to support nearly a gigawatt of planned data centre capacity.

“By bringing new capacity to high-growth regions, we are building the foundation enterprises need to innovate, scale and lead confidently in an AI-driven economy,” said Doug Adams, chief executive and president of Global Data Centers at NTT Data. “With the backing of our parent company, we are uniquely positioned to be able to invest and build proactively, ahead of market demand, delivering the resilient, sustainable infrastructure our clients need to succeed, while staying ahead of industry shifts.”

As the world’s third-largest data centre provider, NTT Global Data Centers has continuously accelerated its global footprint over the past year, including opening 10 new data centres across North America, Europe, the Middle East and Africa, and Asia Pacific, adding more than 370MW of new IT capacity.

These efforts are part of NTT Global Data Centres’ broader strategy to invest more than $10bn through 2027 to deliver critical, AI-ready infrastructure and support the growing digital economy.

A $30bn-plus global innovator of business and technology services, NTT Data serves 75 percent of the Fortune Global 100 and is committed to helping clients innovate, optimise and transform for long-term success.

With experts in more than 50 countries, NTT Data’s services include business and technology consulting, data and AI, industry solutions, as well as the development, implementation and management of applications, infrastructure and connectivity.

NTT Data’s land acquisitions in existing markets include a region strategically located within the Pacific Northwest technology corridor with direct connectivity to Asia via NTT’s Subsea Connect network. In new markets, NTT Data will establish operations in Milan to meet growing demand for hyperscale and AI-ready infrastructure in Southern Europe.

In London, NTT Data has secured 26.3 acres of land for a new planned site and acquired the underlying freehold at its existing London facilities, strengthening its position in one of the world’s most active colocation markets and a strategic hub for multinational enterprises. The new London facility will be NTT Data’s eighth facility in the London area.

While in Japan, the company has acquired eight acres in Osaka Nishiai to develop two data centres, totalling 36MW. The first facility is slated to open in 2027. This will bring NTT Data’s total data centre count in the Osaka region to three facilities with a total capacity of approximately 70MW.

“Our land acquisitions are about more than growth; they are about shaping the future of digital infrastructure on a global scale,” concluded Mr Adama. “As the digital landscape evolves at unprecedented speed, NTT Global Data Centers is investing boldly to ensure our customers are ready to lead in an increasingly connected and dynamic world.”

Fraser Tennant