Layered Technologies Buys New World Apps

Accel-KKR portfolio company Layered Technologies Inc. has acquired New World Apps, a provider of private cloud and secure community cloud technology for federal, state and local governments. Terms of the deal were not released.




Layered Technologies, Inc. (Layered Tech), a leading global provider of compliant and secure cloud and hosting services, supporting mission-critical e-business applications, has acquired NEW WORLD APPS, Inc., which specializes in secure private cloud and secure community cloud solutions for federal, state and local governments.


With experience providing secure cloud and hosting services for the U.S. Intelligence Community, U.S. law enforcement, the Department of Defense, and most U.S. federal civilian agencies, NEW WORLD APPS helps secure sensitive government data around the clock.  Additionally, NEW WORLD APPS has a strong commercial business, with some of the world’s largest enterprises depending on the company to securely manage and protect their most critical corporate IT solutions on both SaaS and traditional models.


“The acquisition of NEW WORLD APPS is extremely strategic to Layered Tech because it gives us an immediate and meaningful presence in the federal and public-sector markets, which complements our compliant hosting leadership position in the financial payment card industry, healthcare and SaaS markets,” said Layered Tech Chairman and CEO Jack Finlayson.  “NEW WORLD APPS is a highly respected company that is trusted with some of our nation’s most sensitive data.  They have outstanding customer credentials, proven FISMA-compliant and secure hosting and cloud capabilities, and many long-standing partnerships with ISVs and SaaS providers that serve both the public and commercial markets.”


The federal hosting and cloud market is a high-growth opportunity for Layered Tech based on the aggressive federal mandates to reduce IT spending.  The Federal Cloud Computing Strategy , written by the U.S. CIO in February 2011, estimated that $20 billion of the federal government’s $80 billion in IT spending has potential to move to the cloud.  The Cloud First Policy , instituted as part of this strategy, requires federal agencies to evaluate safe, secure cloud computing options before making any new IT investments.


The Federal Data Center Consolidation Initiative targets consolidating at least 800 data centers by 2015, which should also drive significant growth in hosting and cloud services.


“Layered Tech’s expertise in the PCI- and HIPAA-compliant cloud and hosting markets along with NEW WORLD APPS’ federal FISMA hosting experience makes this a perfect combination and will result in a compelling platform to achieve rapid growth,” said John Streeten, President and CEO of NEW WORLD APPS, Inc.  “Layered Tech’s scale and investment will broaden our federal offerings and provide the financial strength to help our customers and ISV partners grow successfully.”


NEW WORLD APPS is based in Ashburn, Va., about 30 miles northwest of Washington, D.C.  Terms of the deal were not disclosed.


“Layered Tech has invested heavily to expand its compliant and secure cloud and hosting capabilities, which has resulted in establishing themselves as the leader in the commercial compliant-hosting market,” said Ben Bisconti, Managing Director of Accel-KKR, an investor in Layered Tech.  “We are extremely excited that this acquisition will further expand Layered Tech’s leadership position in compliant hosting by adding FISMA capabilities, and importantly, allow Layered Tech to drive even greater growth by participating in the federal market.”


NEW WORLD APPS was advised by Tom O’Shea at Bentley Associates.


Layered Technologies

Layered Technologies (Layered Tech), a leading global provider of compliant and secure cloud and hosting services, supporting mission-critical e-business applications, offers PCI-, HIPAA- and FISMA-compliant hosting solutions, managed dedicated hosting and cloud computing services, including Compliance Guaranteed, which ensures that all Layered Tech compliance services are guaranteed to pass 100 percent of every IT audit or assessment.  By providing high-quality technology, infrastructure and support, Layered Tech enables clients to eliminate capital expenses and save on operating costs so they can focus on core initiatives.  Layered Tech’s scalable infrastructure powers millions of sites and Internet-enabled applications, including e-commerce and SaaS.  Clients include federal, state and local government agencies; large enterprises with advanced data security, compliance and uptime requirements; and leading-edge Web 2.0 startups.