‘Our customers have been asking us for more, especially in security and optimization,’ says Jeff Coursen, Evolve IP’s outgoing CEO. ‘This merger allows us to enhance our offerings and meet that demand head-on.’

Solution providers Evolve IP and ATSG announced a strategic merger Thursday to create an IT services company that will generate about $240 million in revenue with 1,000 people on its payroll.

The merger, which will serve about 950,000 users across a portfolio of 1,700 global customers,

signifies a strategic alignment of both companies’ visions to drive innovation and foster customer success.

“We’ve been in contact with Evolve for over a year, and we’re looking forward to integrating our services to better meet customer needs,” ATSG CEO Russ Reeder (pictured) told CRN in an interview. “One of the main products we’ll focus on is Desktop-as-a-Service (DaaS), which has been gaining traction, especially as companies seek reliable and flexible IT solutions.”

ATSG, which was on CRN’s 2023 Triple Crown list, and Evolve IP will keep their respective brands. The combined company will employ about 1,000 employees. Terms of the deal were not disclosed.

“Our customers have been asking us for more, especially in security and optimization,” Jeff Coursen, Evolve’s outgoing CEO, told CRN. “This merger allows us to enhance our offerings and meet that demand head-on.”

Coursen will be staying on as an advisor while Reeder takes over as CEO of the merged companies.

“We’ve already begun to lay the groundwork for collaboration,” Coursen said. “This merger is about combining our strengths and maximizing our potential in a competitive industry.”

The integration of Evolve IP’s strengths in managed services with ATSG’s proficiency in IT solutions will create a comprehensive suite with a customer-centric approach and a renewed investment in innovation.

Significant resources will be allocated to research and development to ensure the company remains at the forefront of technological advancements, Coursen said.

The merger will also bolster Evolve’s presence in Europe where the company plans to leverage ATSG’s existing platform and private label offerings.

“The European market is less mature, especially in voice solutions, but it holds tremendous potential,” Coursen said. “We see strong opportunities in sectors like hospitality and automotive, which are primed for our services.”

The new partnership also aims to provide a “white glove customer support” experience that sets it apart from traditional MSPs.

“When times get tough, companies want partners they can trust, not just another name in a long list of vendors,” Reeder said. “We’re here to offer everything from high-level IT services to advanced cybersecurity solutions.”

The timing of the acquisition coincides with a growing market demand for secure, scalable IT solutions, particularly as more organizations transition to hybrid work environments.

“We anticipate adding a couple more acquisitions in the next two years to keep pushing the envelope on technology and innovation,” said Coursen.