Merger of subsidiaries expected to streamline operations, improve economies of scale, and enhance resource allocation
MELVILLE, NY – January 16, 2024 – Data Storage Corporation (Nasdaq: DTST) (“DSC” and the “Company”), a provider of diverse business continuity solutions for disaster-recovery, cloud infrastructure, cyber-security, and IT services, today announced that it has merged its two subsidiaries, Flagship Solutions Group (“Flagship”) and CloudFirst.
Thomas Kempster, Chief Executive Officer of Flagship, commented, “We are excited to announce the merger of our two business units. This strategic move brings together complementary strengths and expertise, which should enable us to continue to streamline operations, grow our technical teams, achieve further economies of scale, and enhance resource allocation internally. We are confident in our ability to leverage the vast cross-selling and upselling opportunities across our respective customer bases and continue delivering exceptional value to our customers. We look forward to the journey ahead and the growth of our united company.”
Hal Schwartz, President of CloudFirst, stated, “This combination is the culmination of extensive efforts to better align and integrate our organization. This strategic decision to combine Flagship and CloudFirst provides us a unified platform to capitalize on the vast opportunities within the market and increase customer penetration. We also expect this merger will result in improved business efficiencies, while effectively reducing redundant resources and expenses. By combining Flagship’s experienced leadership team with CloudFirst, we believe we have built a scalable organization poised for accelerated growth.”
About Data Storage Corporation
Data Storage Corporation (Nasdaq: DTST) is a family of fully integrated cloud-hosting, disaster-recovery, cyber security, and voice & data companies, built around technical asset investments in multiple regions, providing services to a broad range of domestic and global customers, including Fortune 500 clients, across a wide range of industries, such as government, education, and healthcare, with a focus on the rapidly growing, multi-billion-dollar business continuity market. A stable and emerging growth leader in cloud infrastructure support, DTST companies operate regional data center facilities across North America, sustainably servicing clients via recurring subscription agreements. Additional information about the Company is available at: www.dtst.com and on Twitter (@DataStorageCorp).