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GCI spends some of its war chest on capturing Modality

Converged ICT services provider GCI has acquired Microsoft specialist Modality Systems to “power international expansion” and provide customers with “enhanced global service offerings”.

A year ago, GCI itself was acquired by Mayfair Equity Partners, which handed the firm a “£60m-plus strategic fund” to enable future acquisitions of its own, so the Modality acquisition, for an undisclosed sum, comes from that.

Before it came under new ownership, GCI had previously acquired Packet Media, Fusion Media Networks, cloud service provider Outsourcery, Freedom Communications and Blue Chip Data Systems, taking the company’s revenues to around £100m.

Modality Systems provides a dedicated Microsoft communications and collaboration practice with operations in the UK, the US, Asia and Australia. The acquisition will enable UK-based GCI to expand its business internationally for the first time and capitalise on the growing global market for Microsoft-based, cloud-enabled intelligent communications services.

“This is the first step for GCI in an established plan to drive global presence,” it said. Modality Systems, it added, has developed a variety of software technologies which enable enhanced features, deeper management capability and improved ease of use for Microsoft communications software. “This complements GCI’s existing UC offerings and will ensure that customers gain the very best experience from collaboration tools including Microsoft Teams and Office 365.”

Modality Systems also provides a suite of video conferencing services, with full service video room management, video bridging and web consultation offerings, and all integrated into the Microsoft collaboration suite.

Adrian Thirkill, CEO of GCI, said: “The acquisition provides us and our customers with established scale and support internationally. Geographically, it expands the ability of the combined companies to service larger, global companies and additionally widens key new markets in the US, Australia and Asia, where Modality has already established sales and delivery capabilities for enterprise customers.”

The Modality business will be run within the GCI group. James Rodd, the current Modality CEO, said: “Both GCI and Modality have invested heavily in innovating around Microsoft’s collaboration suite and our combined global customers will benefit from a leading managed service company which is at the forefront of digital transformation.”

GCI customers include Sunlife, Shelter, Prospect Union, Parliamentary Digital Services, Trafford Council, University of London, FieldFisher, Marie Curie, Yamaha WorldSBK, Merlin Entertainment and Center Parcs.