Information
LONDON, Jan. 14, 2026 (GLOBE NEWSWIRE) -- Rackspace Technology® (NASDAQ:RXT), a leading end-to-end hybrid cloud and AI solutions company, today announced its UK Sovereign Services has achieved the VMware Sovereign
Original sourceAI Summary
Rackspace Technology recently achieved VMware Sovereign Cloud certification, enhancing its UK Sovereign Services. This development underscores Rackspace's commitment to data security for UK organizations, particularly in regulated industries, potentially leading to increased demand for its managed cloud solutions.
Sentiment Rationale
Rackspace's new certification could lead to increased contracts, historically boosting similar firms' valuations significantly. The company's focus on regulation-compliant services can differentiate it in a crowded market.
Trading Thesis
Buy RXT on positive cloud certification news, expecting near-term price appreciation.
Market-Moving
- Rackspace's VMware certification could draw more contracts from regulated sectors.
- Increased demand for UK Sovereign Services may drive revenue growth.
- Success in public sector contracts could significantly boost RXT's visibility.
- Positive market sentiment could catalyze further investment in cloud solutions.
Key Facts
- Rackspace's UK Sovereign Services achieved VMware Sovereign Cloud certification.
- This certification enables enhanced data security for UK organizations.
- Rackspace focuses on regulated industries like public sector and finance.
- The service offers managed cloud solutions with local data control.
- Rackspace's initiative supports UK's digital sovereignty and cloud adoption.
Companies Mentioned
- VMware, Inc. (VMW): Certification enhances Rackspace's service credibility using VMware's technology.
- Amazon, Inc. (AMZN): Rackspace's certification intensifies competition with AWS in the UK cloud market.
- Microsoft Corporation (MSFT): Cloud services from Rackspace could challenge Microsoft Azure's market share.
Corporate Developments
The article fits under 'Corporate Developments' due to Rackspace's strategic certification achievement. This positions Rackspace favorably in the competitive cloud market, potentially leading to increased contracts and partnerships in the UK and regulated sectors.
LONDON, Jan. 14, 2026 (GLOBE NEWSWIRE) -- Rackspace Technology® (NASDAQ:RXT), a leading end-to-end hybrid cloud and AI solutions company, today announced its UK Sovereign Services has achieved the VMware Sovereign Cloud certification, reinforcing Rackspace's ability to store, process, and protect UK organisations' most sensitive data.
Rackspace Sovereign Services delivers a fully managed, private cloud platform designed specifically for organisations that require strict control over where data is located and how it is processed. Built on proven VMware technologies and operated from UK-based data centres, the service combines high availability, resilient networking, and integrated security controls to reduce operational complexity for customers while accelerating cloud adoption.
"With Rackspace's digital Sovereign Cloud, organisations can optimise private cloud architecture to ensure mission-critical applications deliver predictable performance, enhanced security, and operational reliability," said, Rick Martire, general manager of Rackspace Sovereign Services. "This is a major milestone supporting the UK Public Sector and further affirms our commitment to regulated industry clouds," Martire added.
Rackspace partners with UK public sector organisations, regulated financial services firms, and healthcare providers to deliver end-to-end solutions that combine cloud infrastructure with expert managed services and security operations.
The VMWare Sovereign cloud certification is awarded to VMware Cloud Service Providers (CSPs) that meet strict criteria for providing cloud services with full data sovereignty and jurisdictional control within a specific country or region. It validates a partner's ability to ensure data remains under local control, adheres to national regulations for data privacy and security, and is housed in data centers managed by local entities.
About Rackspace Technology
Rackspace Technology is a leading end-to-end hybrid cloud and AI solutions company. We can design, build, and operate our customers' cloud environments across all major technology platforms, irrespective of technology stack or deployment model. We partner with our customers at every stage of their cloud journey, enabling them to modernise applications, build new products, and adopt innovative technologies.
Disclaimer
This press release contains forward-looking statements subject to risks and uncertainties that may cause actual results to differ materially. Rackspace Technology undertakes no obligation to update these statements. Rackspace Technology and Rackspace are trademarks of Rackspace US, Inc. VMware and VMware Sovereign Cloud are trademarks of VMware, Inc. All other marks are property of their respective owners. This press release is for informational purposes only and does not constitute financial promotion, investment advice, or an offer to sell securities.
Media Contact:
Cheryl Amerine, publicrelations@rackspace.com
