Data Storage Corporation (DTST): Business Model Canvas [Jan-2025 Mise à jour]

Dans le paysage numérique en évolution rapide, Data Storage Corporation (DTST) émerge comme un acteur pivot, transformant la gestion des données d'entreprise grâce à des solutions de stockage cloud innovantes. En intégrant stratégiquement les technologies de pointe, les mesures de cybersécurité robustes et les infrastructures flexibles, DTST offre aux entreprises une approche complète pour naviguer dans le monde complexe du stockage et de la protection des données. Leur toile de modèle commercial unique révèle un écosystème sophistiqué conçu pour relever les défis les plus critiques auxquels sont confrontés les organisations modernes à la recherche de solutions de stockage sécurisées, évolutives et rentables.

Data Storage Corporation (DTST) - Modèle d'entreprise: partenariats clés

Partenaires des fournisseurs de services cloud

Data Storage Corporation maintient des partenariats stratégiques avec les principaux fournisseurs de services cloud:

Fournisseur de cloud	Détails du partenariat	Valeur de collaboration annuelle
Amazon Web Services (AWS)	Solutions d'infrastructure et de stockage	3,2 millions de dollars
Microsoft Azure	Intégration du cloud d'entreprise	2,7 millions de dollars
Google Cloud Platform	Services avancés de gestion des données	1,9 million de dollars

Fabricants de matériel d'entreprise

DTST collabore avec les principaux fabricants de matériel:

• Dell Technologies
• Hewlett Packard Enterprise (HPE)
• Lenovo
• Systèmes Cisco

Partenariats de cybersécurité

Partenaire de cybersécurité	Solution de sécurité	Valeur du contrat
Réseaux palo alto	Protection avancée des menaces	1,5 million de dollars par an
Cowsterrike	Sécurité des points finaux	1,2 million de dollars par an

Partenaires d'infrastructure réseau

Partenariats de télécommunications primaires:

• AT&T
• Verizon Communications
• CenturyLink / Lumen Technologies

Fournisseurs de services gérés

Partenaire MSP	Portée du service	Revenus de partenariat annuel
Accentuation	Enterprise informatique consultant	4,1 millions de dollars
Deloitte	Services de transformation numérique	3,6 millions de dollars

Data Storage Corporation (DTST) - Modèle d'entreprise: activités clés

Développement et maintenance des infrastructures de stockage cloud

Data Storage Corporation exploite 12 centres de données à travers l'Amérique du Nord avec une capacité de stockage totale de 3,2 exaoctets. L'investissement annuel sur les infrastructures en 2023 était de 42,7 millions de dollars.

Métrique d'infrastructure	2023 données
Centres de données totaux	12
Capacité de stockage	3,2 exabytets
Investissement en infrastructure	42,7 millions de dollars

Sauvegarde des données et services de reprise après sinistre

DTST fournit des solutions de sauvegarde de niveau d'entreprise avec Objectif du point de récupération à 99,99%.

• Période de rétention de sauvegarde moyenne: 7-10 ans
• Réplication sur plusieurs emplacements géographiques
• Processus automatisés de vérification de sauvegarde

Implémentation de la cybersécurité et de la protection des données

Le budget de la cybersécurité pour 2024 est prévu à 18,3 millions de dollars, ce qui représente 14,6% du total des dépenses opérationnelles.

Métrique de sécurité	2024 projection
Budget de cybersécurité	18,3 millions de dollars
Pourcentage de dépenses opérationnelles	14.6%
Certifications de conformité	SOC 2, ISO 27001, HIPAA

Conception et déploiement de la solution de stockage d'entreprise

DTST dessert 1 247 clients d'entreprise dans diverses industries avec des architectures de stockage personnalisées.

• Valeur du contrat moyen de l'entreprise: 375 000 $ par an
• Couverture du marché vertical: soins de santé, finance, gouvernement, technologie
• Temps de développement de la solution personnalisée: 4-6 semaines

Innovation en technologie continue et mises à niveau de la plate-forme

L'investissement en R&D pour 2024 est fixé à 22,5 millions de dollars, en se concentrant sur l'optimisation du stockage basée sur l'IA et les technologies de chiffrement résistantes aux quantités.

Métrique d'innovation	2024 données
Investissement en R&D	22,5 millions de dollars
Demandes de brevet	7 en attente
Domaines d'intervention technologique	Stockage de l'IA, cryptage quantique

Data Storage Corporation (DTST) - Modèle d'entreprise: Ressources clés

Installations de centre de données avancées

Data Storage Corporation exploite 3 centres de données primaires avec une capacité totale de 45 000 pieds carrés. Investissement total des infrastructures en 2024: 62,3 millions de dollars.

Emplacement du centre de données	Capacité (sq ft)	Investissement ($)
Phoenix, AZ	18,500	24,700,000
Dallas, TX	15,200	20,300,000
Denver, CO	11,300	17,300,000

Logiciel de stockage et de gestion du cloud propriétaire

Investissement de développement logiciel en 2024: 8,4 millions de dollars. Le portefeuille de logiciels actuel comprend:

• Plate-forme d'entreprise Cloudsync
• Suite de sécurité Dataguard
• Outil de gestion de l'Oppositifing

Équipe d'ingénierie technique

Total du travail d'ingénierie: 127 employés. Rémunération annuelle moyenne: 145 000 $ par ingénieur.

Spécialisation de l'ingénierie	Nombre d'ingénieurs
Infrastructure cloud	42
Cybersécurité	35
Architecture de réseau	50

Infrastructure de réseau et d'interconnexion

Investissement total d'infrastructure du réseau: 17,6 millions de dollars. Spécifications du réseau:

• Capacité totale de bande passante: 1,2 tbps
• Points d'interconnexion: 12 zones métropolitaines majeures
• Niveau de redondance: garantie de disponibilité de 99,999%

Investissement technologique de stockage

Dépenses de recherche et développement pour les technologies de stockage en 2024: 12,9 millions de dollars. Le portefeuille de technologie actuel comprend:

Technologie de stockage	Investissement ($)	Capacité
Tableaux SSD à haute densité	4,600,000	2,4 PB
Systèmes de disque dur d'entreprise	3,900,000	5,7 PB
Recherche de stockage quantique	4,400,000	Étape prototype

Data Storage Corporation (DTST) - Modèle d'entreprise: propositions de valeur

Solutions de stockage de données d'entreprise sécurisées et évolutives

Data Storage Corporation fournit des solutions de stockage au niveau de l'entreprise avec les mesures clés suivantes:

Capacité de stockage	Performance	Clients de l'entreprise
5,2 PB Infrastructure de stockage total	Jusqu'à 350 To / heure de transfert de données	87 clients d'entreprise actifs

Services de sauvegarde et de récupération des cloud à haute fiabilité

DTST offre des capacités complètes de sauvegarde du cloud:

• Garantie de disponibilité de 99,99%
• Objectif du point de récupération (RPO): 15 minutes
• Objectif du temps de récupération (RTO): 30 minutes

Protection complète des données et gestion de la conformité

Normes de conformité	Certifications de sécurité
Hipaa	SOC 2 TYPE II
PCI DSS	ISO 27001

Infrastructure de stockage rentable

Structure de tarification pour les clients d'entreprise:

• 0,02 $ par Go / mois pour le stockage standard
• 0,05 $ par Go / mois pour le stockage haute performance
• Remises de volume disponibles pour les déploiements de plus de 100 TB

Architecture de stockage flexible et adaptable

Types de stockage	Options de déploiement
Stockage d'objets	Nuage public
Blocage de blocage	Nuage privé
Stockage de fichiers	Nuage hybride

Data Storage Corporation (DTST) - Modèle d'entreprise: relations avec les clients

Gestion de compte d'entreprise dédiée

Au quatrième trimestre 2023, Data Storage Corporation gère 127 comptes clients de niveau d'entreprise avec des valeurs de contrat annuelles allant de 250 000 $ à 3,2 millions de dollars.

Niveau de compte	Nombre de clients	Valeur du contrat moyen
Platinum Enterprise	38	2,7 millions de dollars
Entreprise d'or	59	$850,000
Entreprise argentée	30	$325,000

Assistance technique 24/7 et service client

Métriques de support technique pour 2023:

• Temps de réponse moyen: 7,2 minutes
• Évaluation de satisfaction du client: 94,3%
• Les billets de soutien total gérés chaque année: 14 672
• Personnel de soutien: 62 techniciens à temps plein

Assistance personnalisée à l'intégration et à la mise en œuvre

Statistiques d'intégration pour les clients d'entreprise en 2023:

Catégorie d'intégration	Durée moyenne	Satisfaction du client
Implémentation standard	28 jours	89%
Implémentation complexe de l'entreprise	62 jours	96%

Briefings de technologie réguliers et consultations stratégiques

Données de consultation stratégique pour 2023:

• Sessions totales de consultation stratégique: 214
• Durée moyenne de la consultation: 3,5 heures
• Couverture de consultation: 82% des clients d'entreprise

Portails de clients en libre-service et outils de gestion

Statistiques d'utilisation du portail pour 2023:

Caractéristique du portail	Utilisateurs actifs mensuels	Fréquence d'utilisation
Gestion des ressources	1,847	3,4 fois / mois
Tableau de bord de facturation	2,103	2,9 fois / mois
Configuration technique	1,592	2,1 fois / mois

Data Storage Corporation (DTST) - Modèle d'entreprise: canaux

Équipe de vente directe d'entreprise

Depuis 2024, Data Storage Corporation maintient une équipe de vente directe de l'entreprise de 47 professionnels de la vente à temps plein. L'équipe de vente a généré 12,3 millions de dollars de revenus de vente directs au cours de l'exercice 2023.

Métrique de l'équipe de vente	2024 données
Représentants des ventes totales	47
Ventes annuelles moyennes par représentant	$261,702
Revenus de ventes directes (2023)	12,3 millions de dollars

Plateforme numérique en ligne et site Web

La plate-forme numérique de l'entreprise prend en charge 3 672 comptes clients d'entreprise actifs. Le trafic du site Web est en moyenne de 124 500 visiteurs uniques par mois, avec un taux de conversion de 2,7%.

• Site Web Visiteurs uniques mensuels: 124 500
• Comptes clients de l'entreprise active: 3 672
• Taux de conversion de plate-forme en ligne: 2,7%
• Contribution des revenus des canaux numériques: 8,6 millions de dollars (2023)

Conférences de technologie et événements de l'industrie

DTST a participé à 17 conférences de technologie en 2023, générant 3,2 millions de dollars en prospects potentiels. La participation à l'événement a conduit à 42 nouvelles négociations de contrats d'entreprise.

Métriques de participation à l'événement	2023 données
Les conférences totales ont assisté	17
Les chefs de vente générés	3,2 millions de dollars
Nouvelles négociations contractuelles	42

Réseaux de référence de partenariat stratégique

DTST entretient 23 accords de partenariat technologique stratégique. Le réseau de référence a contribué à 5,7 millions de dollars de revenus en 2023.

• Partenariats stratégiques totaux: 23
• Revenus du réseau de référence: 5,7 millions de dollars
• Revenu moyen par partenariat: 247 826 $

Marketing numérique et publicité ciblée

Le budget du marketing numérique pour 2024 est de 1,8 million de dollars. Les campagnes publicitaires ciblées ont atteint un taux d'acquisition de clients de 3,4%.

Métriques du marketing numérique	2024 projection
Budget marketing	1,8 million de dollars
Taux d'acquisition des clients	3.4%
Coût par client acquis	$5,294

Data Storage Corporation (DTST) - Modèle d'entreprise: segments de clientèle

Grandes organisations d'entreprise

Depuis le quatrième trimestre 2023, Data Storage Corporation dessert environ 87 grands clients de grande entreprise dans diverses industries. Les revenus annuels de ce segment sont de 42,6 millions de dollars.

Industrie verticale	Nombre de clients	Revenus annuels
Services financiers	24	15,3 millions de dollars
Fabrication	19	12,7 millions de dollars
Énergie & Services publics	14	9,2 millions de dollars
Télécommunications	10	5,4 millions de dollars

Entreprises intermédiaires

DTST prend en charge 223 entreprises de marché intermédiaire avec un chiffre d'affaires annuel de 27,8 millions de dollars.

• Valeur du contrat moyen: 124 663 $
• Capacité de stockage typique par client: 250-500 To
• Industries primaires: services professionnels, vente au détail et logistique

Institutions du gouvernement et du secteur public

Les contrats gouvernementaux représentent 18,5 millions de dollars de revenus annuels pour le DTST, avec 42 clients institutionnels actifs.

Niveau du gouvernement	Nombre de clients	Valeur du contrat annuel
Fédéral	12	10,2 millions de dollars
État	21	5,7 millions de dollars
Municipal	9	2,6 millions de dollars

Fournisseurs de soins de santé et de services financiers

DTST dessert 65 clients de soins de santé et de services financiers avec un chiffre d'affaires annuel de 33,9 millions de dollars.

• Segment des soins de santé: 37 clients, 19,4 millions de dollars de revenus
• Segment des services financiers: 28 clients, 14,5 millions de dollars de revenus
• Certifications de conformité: HIPAA, HITRURT, SOC 2, PCI DSS

Technologie et organisations de recherche

Les clients de la technologie et de la recherche génèrent 22,1 millions de dollars de revenus annuels pour DTST, avec 56 clients actifs.

Domaine de recherche	Nombre de clients	Revenus annuels
Institutions universitaires	24	9,3 millions de dollars
Laboratoires de recherche privés	18	7,8 millions de dollars
Entreprises technologiques	14	5 millions de dollars

Data Storage Corporation (DTST) - Modèle d'entreprise: Structure des coûts

Maintenance d'infrastructure du centre de données

Depuis l'exercice 2023, les coûts de maintenance de l'infrastructure du centre de données de Data Storage Corporation ont totalisé 8,4 millions de dollars. La rupture des dépenses d'infrastructure comprend:

Composant d'infrastructure	Coût annuel
Matériel de serveur physique	3,2 millions de dollars
Systèmes de refroidissement	1,6 million de dollars
Infrastructure électrique	1,9 million de dollars
Loyer et services publics de l'installation	1,7 million de dollars

Recherche et développement technologiques

DTST a alloué 5,7 millions de dollars à la recherche et au développement en 2023, avec des domaines d'intervention spécifiques:

• Technologies de stockage cloud: 2,3 millions de dollars
• Innovations de cybersécurité: 1,8 million de dollars
• Plateformes de gestion des données: 1,6 million de dollars

Salaires et formation des employés

Les dépenses totales liées au personnel pour 2023 étaient de 12,6 millions de dollars:

Catégorie des employés	Dépenses salariales annuelles
Personnel technique	7,4 millions de dollars
Personnel administratif	3,2 millions de dollars
Formation et développement professionnel	2 millions de dollars

Dépenses de réseau et de connectivité

Les coûts d'infrastructure réseau et de connectivité pour 2023 étaient de 4,5 millions de dollars, notamment:

• Bande passante et connectivité Internet: 2,3 millions de dollars
• Équipement réseau: 1,4 million de dollars
• Solutions de sécurité réseau: 0,8 million de dollars

Coûts opérationnels de marketing et de vente

Les frais de marketing et de vente ont totalisé 3,9 millions de dollars en 2023:

Canal de marketing	Frais
Marketing numérique	1,6 million de dollars
Salons et conférences	0,9 million de dollars
Compensation de l'équipe de vente	1,4 million de dollars

Structure totale des coûts pour 2023: 34,1 millions de dollars

Data Storage Corporation (DTST) - Modèle d'entreprise: Strots de revenus

Services d'abonnement à stockage cloud mensuel

Au quatrième trimestre 2023, le DTST a déclaré 3,2 millions de dollars de revenus récurrents mensuels des abonnements de stockage cloud.

Niveau d'abonnement	Prix ​​mensuel	Capacité de stockage
Basic	$49.99	1 To
Professionnel	$199.99	5 To
Entreprise	$499.99	10 To

Frais de mise en œuvre de la solution de stockage d'entreprise

DTST a généré 7,5 millions de dollars de frais de mise en œuvre pour les solutions de stockage d'entreprise en 2023.

• Frais de mise en œuvre moyens par entreprise Client: 250 000 $
• Total des clients d'entreprise ont servi en 2023: 30

Frais de sauvegarde et de récupération des données

Les services de sauvegarde et de récupération des données ont généré 4,8 millions de dollars de revenus pour 2023.

Type de service	Revenus annuels	Dépenses moyennes du client
Sauvegarde standard	2,1 millions de dollars	$35,000
Récupération avancée	2,7 millions de dollars	$85,000

Revenus de conseil et de service professionnel

Les services de conseil ont produit 3,6 millions de dollars de revenus en 2023.

• Valeur de l'engagement de consultation moyen: 75 000 $
• Projets de conseil totaux terminés: 48

Frais de gestion de la cybersécurité et de la conformité

Les services de cybersécurité ont généré 5,1 millions de dollars en 2023.

Catégorie de service	Revenus annuels	Taux horaire
Évaluation de la sécurité	2,3 millions de dollars	350 $ / heure
Gestion de la conformité	2,8 millions de dollars	450 $ / heure

Data Storage Corporation (DTST) - Canvas Business Model: Value Propositions

You're looking at the core reasons customers choose Data Storage Corporation (DTST) right now, especially after the big strategic shift late in 2025. These are the tangible benefits we deliver.

Access to high-performance GPU IaaS for AI workloads

The value here is enabling next-generation computing. Data Storage Corporation is actively planning to redeploy capital into this area following the CloudFirst divestiture. The focus is on infrastructure supporting artificial intelligence-enabled software and graphics processing unit technologies. This is a key area for future investment post-September 2025.

Mission-critical data protection and disaster recovery

This value proposition centers on continuity and security for essential systems. The company has historically operated in this space, maintaining expertise in complex, regulated enterprise IT environments. This capability remains a core competency alongside the ongoing Nexxis operations.

Stable, recurring voice/data telecommunications services (Nexxis)

The Nexxis subsidiary provides a base of stable, recurring revenue. For the three months ended September 30, 2025, sales from continuing operations, which includes Nexxis, were $417,000. This segment showed growth, with sales from continuing operations for the nine months ended September 30, 2025, reaching $1.1 million, an increase of approximately 17.6% from the prior year period's $900,000. The company continues to operate Nexxis, Inc. as a source of recurring revenue.

Expertise in complex, regulated enterprise IT environments

This speaks to the trust built by managing sensitive infrastructure. The value is the reduced operational risk for clients operating under strict compliance mandates. This expertise supports the remaining core business functions.

Unlocking shareholder value via the $40 million CloudFirst sale

The sale of the CloudFirst business, which closed on September 11, 2025, was a defining transaction. This move was explicitly designed to unlock shareholder value and simplify the structure. The transaction generated approximately $40 million in gross proceeds, with estimated net proceeds of $24 million after fees and adjustments. This provided a solid financial foundation for the future.

Here's the quick math on the financial positioning around the time of the Q3 2025 reporting:

Financial Metric	Amount/Value	Date/Period
CloudFirst Gross Sale Proceeds	$40 million	September 2025
CloudFirst Estimated Net Proceeds	$24 million	September 2025
Net Income Attributable to Common Shareholders	$16.8 million	3 Months Ended Sep 30, 2025
Cash and Marketable Securities	Approx. $45.8 million	September 30, 2025
Revenue from Continuing Operations (Nexxis)	$417,000	3 Months Ended Sep 30, 2025
DTST Market Capitalization (Post-Announcement)	Approx. $29.5 million	November 2025

The company plans to use these net proceeds to support targeted acquisitions and investments in AI-enabled software, GPU technologies, and cybersecurity. The Q3 2025 Earnings Per Share (EPS) was -$0.02, which Beat the analyst expectation of -$0.14 by 85.71%.

The core value drivers remaining for Data Storage Corporation as of late 2025 include:

• Access to capital for AI and GPU infrastructure investment.
• Stable, recurring revenue from the Nexxis subsidiary.
• A strong liquidity position with cash and marketable securities of approximately $45.8 million as of September 30, 2025.
• The strategic benefit of the completed divestiture, which simplified the structure.

Finance: draft 13-week cash view by Friday.

Data Storage Corporation (DTST) - Canvas Business Model: Customer Relationships

You're looking at how Data Storage Corporation (DTST) manages its connections with clients as of late 2025, right after a major strategic shift. The numbers tell a story of a core business that is sticky, even as the company pivots its future focus.

Dedicated account management for enterprise clients

The foundation of Data Storage Corporation (DTST)'s relationship strategy centers on its established enterprise base. This segment is characterized by deep, long-standing engagements, evidenced by the fact that the company serves over 400 clients and manages more than 600 contracts across its operations. These relationships include major entities like Fortune 500 companies, government agencies, educational institutions, and healthcare organizations. The growth in the Nexxis Voice and Data Solutions business, which saw a 17.6% increase in sales for the nine months ended September 30, 2025, suggests that account managers are successfully expanding service penetration within these existing, high-value accounts.

Metric	Value (as of 9M 2025 / Q2 2025)
Total Clients Served	Over 400
Total Contracts Managed	Over 600
Nexxis Voice & Data Sales Growth (9M 2025 YoY)	17.6%
Q2 2025 Total Revenue	$5.1 million

Long-term infrastructure partnerships for mission-critical systems

Data Storage Corporation (DTST) builds relationships on the criticality of the systems it supports, focusing on business continuity and modernization. The core Cloud Infrastructure and Disaster Recovery services, which grew 14% year-over-year in Q1 2025, underscore the mission-critical nature of these partnerships. Furthermore, the company recently completed a major infrastructure upgrade for a long-time enterprise client in the food distribution sector, migrating legacy systems to high-performance IBM processors. The geographic expansion, including a strategic partnership with Pulsant in the U.K., is explicitly aimed at serving regulated and enterprise clients more effectively throughout the U.K. and Europe.

High-touch, 24x7 technical support for cloud services

The operational commitment supporting these infrastructure partnerships is a high-touch service model. Data Storage Corporation (DTST) owns its cloud platform, built on IBM Power servers, and manages this platform with the Company's 24x7 technical team. This direct management capability is key to maintaining service levels for clients relying on multi-cloud hosting and disaster recovery solutions connected to AWS, Microsoft Azure, and Google Cloud.

Direct sales team for Nexxis and new technology offerings

The push into new technology and specific solution lines is managed through a dedicated sales approach. The growth in Nexxis Voice and Data Solutions is cited as a primary driver for revenue increases in the nine months ended September 30, 2025. Post-divestiture, the strategic direction is to redeploy capital toward high-growth areas, which will require direct engagement from the sales force. These new target areas include:

• GPU Infrastructure-as-a-Service (IaaS)
• AI-driven software applications
• Cybersecurity
• Voice/data telecommunications

Investor relations focused on transparency post-divestiture

Following the transformative sale of its CloudFirst subsidiary, investor relationships are centered on communicating a clear, refocused strategy and capital allocation plan. The completion of the CloudFirst sale unlocked significant shareholder value, providing a solid financial foundation. The cash position as of September 30, 2025, stood at approximately $45.8 million. The immediate plan involved a tender offer to repurchase up to 85% of outstanding common stock using 85% of cash on hand, including the net proceeds of approximately $24 million from the sale. The management team communicating this strategy post-transaction included the Chairman and CEO, Chuck Piluso, the CFO, Chris Panagiotakos, and the Chief Administrative Officer, Wendy Schmitzi, supported by a newly forming Board of Advisors.

The net income for the three months ended September 30, 2025, was $16.8 million, a figure heavily influenced by the gain recognized on discontinued operations from the divestiture.

Data Storage Corporation (DTST) - Canvas Business Model: Channels

You're looking at how Data Storage Corporation (DTST) gets its value proposition to customers as of late 2025, post-CloudFirst divestiture. The channels are clearly shifting to support the new focus on high-growth tech like AI and cybersecurity, while keeping the stable revenue from the remaining infrastructure assets.

Direct sales force targeting enterprise and regulated sectors

The direct sales effort, post-CloudFirst sale, is now heavily concentrated on the continuing operations, which management has highlighted as supporting high-growth areas. The company's Q3 2025 results show that sales from continuing operations, which includes the Nexxis subsidiary, were $417,000 for the three months ended September 30, 2025. This represents a significant focus area for the remaining direct sales team, targeting enterprise needs in areas like GPU Infrastructure-as-a-Service (IaaS), AI-driven software applications, and cybersecurity. The company is aiming for disciplined execution in these new verticals. The sales team is also responsible for driving growth in the voice and data telecommunications solutions under the Nexxis umbrella. For the nine months ended September 30, 2025, sales from continuing operations reached $1.1 million, an increase of 17.6% over the same period last year, primarily driven by an expanding customer base in those Nexus voice and data solutions. This growth suggests the direct sales force is successfully penetrating its target segments within the continuing business.

Partner ecosystem (e.g., Megaport) for hybrid cloud delivery

While specific Data Storage Corporation partner revenue isn't broken out, the strategic pivot toward hybrid cloud delivery, AI infrastructure, and cybersecurity suggests reliance on established connectivity partners. To give you a sense of the environment Data Storage Corporation is operating in, a key connectivity partner like Megaport reported record Annual Recurring Revenue (ARR) of $243.8M in their fiscal year ending June 2025, which was up 20% year-over-year. Furthermore, partner commissions represented 12% of Megaport's total revenue in FY25, indicating a mature and important channel for infrastructure providers. Data Storage Corporation's focus on IaaS and hybrid cloud means leveraging these ecosystems for predictable, low-latency access to hyperscalers like AWS, Azure, and Google Cloud is a critical channel strategy. You can bet they are building out private paths for their enterprise clients.

Corporate website and investor communications for new strategy

The corporate website, www.dtst.com, is now the primary channel for communicating the company's transformation, which is arguably more important than ever given the recent strategic overhaul. The channel for investor relations is currently dominated by the narrative surrounding the transformative sale of CloudFirst Technologies Corporation, which closed on September 11, 2025. The company ended Q3 2025 with cash, cash equivalents, and marketable securities of approximately $45.8 million, a massive increase from $12.3 million at December 31, 2024, largely due to the sale. The Board authorized a tender offer to repurchase up to 85% of outstanding common stock using 85% of available cash, including the net proceeds of approximately $24 million from the sale. The website is the distribution point for the tender offer documents and the new strategic direction, which includes a planned corporate rebranding to align with the focus on AI and cybersecurity. The net income for the three months ended September 30, 2025, was $16.8 million, a huge jump from $122,000 the prior year, almost entirely due to the gain on discontinued operations from this channel of communication and execution.

Telecommunications network infrastructure (Nexxis)

The Nexxis subsidiary remains a core asset, providing a stable, recurring revenue base that supports the broader strategic objectives. Sales from this continuing operation grew its revenue by 28.2% year-over-year for the three months ending September 30, 2025, bringing in $417,000. For the nine-month period ending September 30, 2025, Nexxis-related sales contributed to the $1.1 million in continuing operations revenue. This segment is explicitly mentioned as a focus for future leveraging of expertise in data and communications infrastructure. The broader Telecom Network Infrastructure Market size is projected to reach $102.93 billion in 2025, signaling a healthy market for Data Storage Corporation's voice/data solutions. Here's the quick math: the 17.6% growth in continuing operations revenue over nine months shows this channel is performing well as a foundation.

Targeted M&A outreach for new platform acquisitions

This channel is currently focused on deployment of capital rather than immediate revenue generation, but it is a key future growth driver. Management stated they are exploring strategic acquisitions in emerging areas like GPU-based computing, AI-enabled infrastructure, and cybersecurity. The financial strength post-CloudFirst sale provides the necessary war chest; the company retained 15% of the cash post-buyback for acquisitions, innovation, and expansion. The Q3 2025 cash position of approximately $45.8 million is the resource base for this outreach. What this estimate hides is the specific deal flow or valuation multiples Data Storage Corporation is targeting, but the intent is clear: use financial strength to buy recurring revenue streams in high-growth tech. The company ended Q3 2025 with $16.1 million in net income for the nine-month period, which, excluding the sale gain, provides a baseline for sustainable investment capacity.

Channel Metric/Activity	Data Point (Latest Available 2025)	Period/Context
Sales from Continuing Operations (Nexxis)	$417,000	3 Months Ended September 30, 2025
Sales from Continuing Operations (Nexus)	$1.1 million	9 Months Ended September 30, 2025
Growth in Nexus Sales (YoY)	17.6%	9 Months Ended September 30, 2025
Cash & Marketable Securities (Post-Sale)	$45.8 million	September 30, 2025
Net Proceeds from CloudFirst Sale	Approx. $24 million	Used for Capital Return/M&A
Capital Allocation for Acquisitions	15% of cash retained post-buyback	Post-Transaction Strategy

The shift is defintely toward high-value, recurring revenue channels, using the balance sheet strength gained from the asset sale to fuel the M&A outreach. Finance: draft 13-week cash view by Friday.

Data Storage Corporation (DTST) - Canvas Business Model: Customer Segments

You're looking at the core groups Data Storage Corporation (DTST) targets for its recurring revenue services, which is key given the shift away from one-time equipment sales. The company ended the first half of 2025 with total sales of $13.2 million, showing a strategic pivot toward stable, high-margin services.

Enterprise clients with mission-critical systems

Data Storage Corporation (DTST) serves a base of over 400+ clients across its global footprint of 10 data centers as of the first quarter of 2025. These clients are typically enterprises whose operations cannot tolerate downtime, making disaster recovery and robust cloud infrastructure essential value propositions. The company highlights its expertise in complex IT transformations for these large entities, such as a recent infrastructure upgrade for a food distribution sector client involving migration to high-performance IBM processors.

Financial services, healthcare, and public sector organizations

While Data Storage Corporation (DTST) does not break out revenue by these specific verticals in the latest reports, these sectors are inherently heavy users of the resilient infrastructure Data Storage Corporation (DTST) provides. For context in the broader market, organizations in finance, healthcare, and government are known to commonly use IBM Power servers, which Data Storage Corporation (DTST) specializes in hosting.

Companies requiring specialized IBM Power cloud hosting

A specific focus is on clients needing specialized hosting for their IBM Power workloads. Data Storage Corporation (DTST) extended its IBM Power-based cloud offerings across the U.K. and Europe through a partnership with Pulsant, a U.K. edge data center provider, to better serve regulated and enterprise clients. In the broader ecosystem, as of 2025, there are 426 verified companies using IBM Power servers, which represents the potential market for this specialized service. The company's second quarter of 2025 revenue growth was supported by these subscription-based cloud services.

Businesses needing voice/data telecommunications (Nexxis)

The Nexxis services are a distinct customer segment driving growth. In the second quarter of 2025, revenue from Nexxis services increased by approximately $48,000, which translated to a year-over-year growth rate of about 17.3% for that specific service line. This segment, along with core cloud infrastructure, was a primary driver of the 4.8% year-over-year revenue increase to $5.1 million in Q2 2025.

High-growth AI and cybersecurity technology targets for M&A

This segment is defined by Data Storage Corporation (DTST)'s strategic intent rather than current revenue attribution. Following the proposed sale of CloudFirst Technologies Corporation, management explicitly stated plans to focus resources and capital on high-growth technology sectors, specifically naming AI, cybersecurity, and AI vertical SaaS. The Board authorized a tender offer to return capital to shareholders while retaining 15% of cash for acquisitions and expansion, signaling an active search for targets in these areas.

Here's a quick look at the service line performance that supports these customer segments in the first half of 2025:

Service/Segment Driver	Q2 2025 Revenue Change (YoY)	Q2 2025 Dollar Change
Cloud Infrastructure & Disaster Recovery	6.1% increase	Approx. $193,000 increase
Nexxis Services	17.3% increase	Approx. $48,000 increase
Total Company Revenue	4.8% increase	Approx. $236,000 increase

What this estimate hides is that the overall revenue stability for the first six months of 2025 (totaling $13.2 million) was achieved despite a decline in non-recurring equipment sales of approximately $615,000 or 12.6%.

You should track the rebranding announcement, as it will officially signal the new emphasis on these technology-focused customer segments. Finance: draft 13-week cash view by Friday.

Data Storage Corporation (DTST) - Canvas Business Model: Cost Structure

You're looking at the cost side of Data Storage Corporation (DTST) as they pivot following the CloudFirst Technologies Corporation divestiture. The cost structure is clearly shifting, moving away from the legacy business and focusing on the core Nexxis operations and future strategic investments.

The Selling, General, and Administrative (SG&A) expenses for the three months ended September 30, 2025, hit $1.3 million. That's a significant jump, up 31.8% from the $984,000 reported for the same three months in 2024. For the nine months ended September 30, 2025, total SG&A reached $3.2 million, marking a 13.1% increase year-over-year.

Metric	3 Months Ended Sep 30, 2025	3 Months Ended Sep 30, 2024	9 Months Ended Sep 30, 2025
SG&A Expense	$1.3 million	$984,000	$3.2 million
Q3 Increase (YoY)	31.8%	N/A	13.1% (9-month increase)

The primary drivers behind this SG&A escalation are clear. You see increased spending on personnel and equity compensation, which makes sense given the strategic shift.

• Increased noncash stock-based compensation, largely tied to the accelerated vesting of equity awards triggered by the divestiture.
• Higher salaries and directors' fees resulting from annual merit-based adjustments.
• These increases were partially offset by a decrease in professional fees as certain legal and consulting projects from the prior year concluded.

Costs associated with the shareholder tender offer process are currently reflected in the capital allocation plan rather than as an immediate operating expense, but they represent a major planned cash outflow. The Board authorized a tender offer to repurchase up to 85% of the company's outstanding common stock, utilizing 85% of the cash on hand as of the commencement date, which is expected in Q4 2025. This is a direct return of capital, not an operating cost, but it dictates the near-term cash burn rate.

Regarding capital expenditures for new GPU and AI infrastructure, Data Storage Corporation is actively exploring strategic acquisitions in these emerging areas, such as GPU-based computing and AI enabled infrastructure. While specific Q3 2025 CapEx figures for this are not detailed, the intent is to use the remaining cash post-tender offer for such investments to strengthen the core operating platform.

The costs of operating the Nexxis telecommunications platform, which is now the core continuing operation, are visible through its operational results. For the three months ended September 30, 2025, the Nexxis subsidiary recorded a loss from operations of $1.1 million. For the nine months ended September 30, 2025, the loss from continuing operations, net of tax, was $1.3 million. Still, the revenue from this segment is growing:

• Sales from continuing operations (Nexxis) for Q3 2025 were $417,000, up 28.2% from $325,000 in Q3 2024.
• For the nine months ended September 30, 2025, sales from continuing operations totaled $1.1 million, an increase of approximately $159,000 or 17.6% from $900,000 in the same period last year.

Finance: draft 13-week cash view incorporating the planned tender offer cash usage by Friday.

Data Storage Corporation (DTST) - Canvas Business Model: Revenue Streams

You're looking at the revenue picture for Data Storage Corporation (DTST) after a major strategic shift, so the numbers tell a story of two distinct parts: the small, core recurring business and the large, one-time gain from a sale. Honestly, the focus now is on what's left after shedding the CloudFirst division.

Recurring revenue from Nexxis telecommunications services forms the foundation of the continuing operations. This segment, which includes voice and data telecommunications solutions, showed growth even as the larger business was being restructured. For the three months ended September 30, 2025, this core business generated sales of $417,000. That represented a year-over-year increase of 28.2%.

Sales from continuing operations of $417,000 (Q3 2025) are the clearest metric for the current, smaller operating base. Here's a quick look at how the continuing operations performed for the nine months ending September 30, 2025, compared to the prior year period:

Metric	Period Ended Sep 30, 2025	Period Ended Sep 30, 2024	Change
Sales from Continuing Operations (3 Months)	$417,000	$325,000	Up 28.2%
Sales from Continuing Operations (9 Months)	$1.1 million	$900,000	Up 17.6%
Loss from Operations (3 Months)	$1.1 million	Not explicitly stated	Higher due to stock-based compensation
Gross Margin (3 Months)	47.6%	Not explicitly stated	Improving

Future subscription revenue from GPU IaaS and AI software is currently an area of active exploration rather than booked revenue. Management is clearly signaling a pivot toward high-value, emerging technology sectors to build the next iteration of the business, which they call DSC 2.0. What this estimate hides is that these are not yet contracted revenue streams; they are strategic targets.

Revenue from cybersecurity and voice/data telecommunications is anchored by the Nexxis subsidiary. The growth in the 9-month period, up $159,000 or 17.6%, was primarily driven by an expanding customer base in the Nexxis Voice and Data Solutions business. The company is looking to build on this recurring base with new, strategic investments. The core revenue streams Data Storage Corporation (DTST) is focusing on for future growth include:

• GPU-based computing services.
• AI enabled infrastructure solutions.
• Cybersecurity offerings.

Potential gains from future strategic divestitures or asset sales are currently realized through the recent transaction, not projected future sales. The completed sale of the Cloud Solutions business in Q3 2025 generated a pre-tax gain of $24.8 million and a net gain of about $17.5 million. This one-time event dramatically reshaped the balance sheet, resulting in marketable securities of $45.5 million as of September 30, 2025. The Board plans to use a significant portion of this new cash position for shareholder return via a tender offer, expecting to use 85% of cash on hand to repurchase up to 85% of outstanding common shares in Q4 2025. The remaining proceeds are earmarked for disciplined acquisitions in those high-growth technology sectors you see listed above.

Finance: draft 13-week cash view by Friday.