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MDC Leverages Rackspace Technology to Reduce Operational Inefficiencies

June 8, 2021

MDC Leverages Rackspace Technology to Reduce Operational Inefficiencies

MDC Leverages Rackspace Technology to Reduce Operational Inefficiencies

SAN ANTONIO – June 8, 2021 – Rackspace Technology®(NASDAQ: RXT), a leading end-to-end multicloud technology solutions company, today announced it has worked with MDC Partners Inc. (MDC) to consolidate data spend under one contract so it could leverage its buying power and reduce operational inefficiencies of per-agency billing.

MDC (NASDAQ: MDCA), is a global advertising and marketing holding company based in New York City that is comprised of over 50 agencies and serves over 1,700 clients worldwide. The agency is an innovative advertising, public relations, branding, digital, social and event marketing company and is responsible for some of the most memorable and effective campaigns for the world’s most respected brands. By leveraging technology, data analytics, insights and strategic consulting solutions, MDC drives creative excellence, business growth and measurable return on marketing investment.

Given the agency’s structure, MDC needed to consolidate its existing decentralized AWS environment under one agreement so it could leverage its buying power, improve insights on consumption and reduce operational inefficiencies of per-agency billing. Due to serving multiple agencies around the world, MDC knew that a digital transformation could be a challenge, so the company partnered with Onica, a Rackspace Technology company, on this project.

“Prior to our transformation, our agencies were each utilizing segregated buckets of AWS spend across the group. To manage this more effectively, we consolidated all these buckets under a single pane of glass.  This alleviated the administrative burden of managing a decentralized state while enhancing visibility into our overall spend.” said John Georgatos, Global CIO at MDC.

“With Rackspace, we were able to consolidate our AWS spend; allowing for added operational efficiencies while simultaneously actualizing true run-rate savings.  This initiative allowed agencies to pivot and focus on their client work rather than the administrative tasks of managing multiple instances.” Jonathan Schwarz, Manager, Global Operations and Strategic Sourcing at MDC.

“Rackspace Technology leveraged AWS Optimizer+, CloudHealth and Managed Public Cloud to provide MDC a smooth and fast transition to the cloud allowing MDC to complete a transition in under 9 months that would have taken most global companies of our scale 3 years.” Jason Cammorata, SVP Head of Global Operations at MDC.

“From a productivity standpoint, MDC’s current IT model, where each agency handled their own infrastructure, wasn’t ideal,” said Jeff DeVerter, CTO Solutions at Rackspace Technology. “In less than a year, we supported MDC’s goal to transform and consolidate their spend, while leveraging advances such as AI and Machine Learning.”

About Rackspace Technology

Rackspace Technology is a leading end-to-end multicloud technology services 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 modernize applications, build new products and adopt innovative technologies.

About Rackspace Technology

Rackspace Technology® (NASDAQ: RXT) is the operator of the full enterprise AI stack from governed private cloud to AI inference and agents in production. With an Outcomes-as-a-Service model built on secure infrastructure, data foundations, and forward-deployed engineering, Rackspace delivers business results for regulated and mission-critical industries where governance, sovereignty, and uptime are non-negotiable. Learn more at www.rackspace.com.

Forward-Looking Statements

This press release contains “forward-looking statements” within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements generally relate to future events and can be identified by terminology such as “believe,” “may,” “will,” “potentially,” “estimate,” “continues,” “anticipate,” “intend,” “could,” “would,” “project,” “plan,” “expect,” “is putting,” “designed to,” or the negative of such terms or other similar expressions, although not all forward-looking statements contain these words.

 These statements include, but are not limited to, Rackspace Technology’s relationship with NVIDIA and the NVIDIA Cloud Partner Program, its Enterprise AI Cloud strategy, the anticipated capabilities, benefits and timing of its Institutional Sovereign Pod architecture, Rackspace’s outlook on the AI industry and its ability to deliver, operate, and scale AI infrastructure and solutions for regulated, institutional and sovereign enterprises. Forward-looking statements are based on current expectations and assumptions and are subject to risks and uncertainties that could cause actual results to differ materially, including, without limitation: Rackspace's ability to realize the anticipated benefits of its relationship with NVIDIA and the NCP program; the availability, cost, and timing of deployment of NVIDIA and other third-party technology; Rackspace's ability to develop, market, and scale the Institutional Sovereign Pod and related offerings on the anticipated timeline or at all; market acceptance of and demand for sovereign and governed AI infrastructure solutions; competition in the AI infrastructure and cloud services markets; capital expenditure requirements associated with AI infrastructure buildout; availability of financing for the AI infrastructure buildout on terms acceptable to Rackspace; Rackspace’s reliance on a limited number of technology partners, including NVIDIA; cybersecurity, data privacy, and regulatory compliance risks associated with serving regulated and sovereign customers; general economic and industry conditions; and other risks and uncertainties described in Rackspace's filings with the Securities and Exchange Commission, including its most recent Annual Report on Form 10-K and Quarterly Reports on Form 10-Q. Rackspace undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise, except as required by law.