Verizon shut down its public cloud service in early 2016, and is now unloading its virtual private cloud and managed hosting offerings to IBM.
The deal, announced Tuesday, allows IBM to improve its position in cloud computing, a spokesman said by email. Meanwhile, the deal allows Verizon to get out of the cloud infrastructure market dominated by Amazon, Google, and Microsoft, allowing it to focus on its managed network, security, and communications services.
The companies did not disclose the terms of the sale. The transaction is expected to close later this year.