Xserver Corporation Merges with Two Group Companies to Create Japan's Leading Cloud Provider

Xserver Corporation Merges with Shincloud and Netowl

In a significant move to bolster its cloud service offerings in Japan, Xserver Corporation, headquartered in Osaka, has united with its two group companies: Shincloud Corporation and Netowl Corporation. This merger, effective from October 1, 2025, positions Xserver as one of the largest domestic cloud service providers, boasting more than 2.7 million operational websites.

Background and Purpose of the Merger

The merger has been initiated in response to the rapidly evolving digital landscape characterized by advancements in digital technologies such as DX (Digital Transformation) and generative AI. While many small and medium enterprises (SMEs) struggle with the lack of internal expertise to adapt to these changes, Xserver aims to bridge that gap.

As an independent domestic cloud provider, Xserver has gained substantial trust among a diverse clientele, ranging from SMEs and entrepreneurs to personal users, due to its commitment to quality and technology. This merger is designed to strengthen its cloud infrastructure to not only support corporate entities but also to create a user-friendly environment for individuals to safely and effectively utilize digital technologies. Xserver aims to leverage its experience with 230,000 corporate users and enrich its services to promote productivity and competitiveness for SMEs while contributing to local revitalization and the domestic economy.

Benefits of the Merger

Enhanced Reliability of Domestic Cloud Infrastructure

This integration combines the technical assets, development capabilities, and operational expertise of the three companies. As a result, Xserver will establish a robust cloud infrastructure that guarantees stability, flexibility, and advanced technological support. This initiative contributes to the establishment of a reliable domestic digital framework, which is crucial for economic security.

Accelerating Digital Transformation for SMEs

With an enhanced development team, Xserver will expedite the creation of cloud infrastructure and services that allow SMEs to easily implement digital transformation. By removing the technical complexities, businesses can focus on their core operations.

Meeting the Demands of the Generative AI Era

Xserver is committed to enabling users at all levels to confidently leverage modern digital technologies, including generative AI. By creating accessible services, the company intends to help eliminate digital divides, allowing businesses of all sizes and technological capabilities to benefit from AI advancements.

Strengthening Competitive Edge in Cloud Infrastructure

As a cloud service provider with over 2.7 million operational websites and the second largest registrar business in Japan, the merger solidifies Xserver's standing. The consolidation of resources and technologies will create a more robust framework for supporting website operations and comprehensive cloud utilization than ever before.

New Corporate Philosophy

In tandem with the formation of this new corporate structure, Xserver has introduced a fresh corporate philosophy and mission:

Philosophy: User Absolute

Their ideology suggests that every action starts with the user, emphasizing an absolute commitment that transcends traditional customer-first approaches, allowing the entire business model to be designed around the user’s needs.

Mission: Creating Futures via Cloud

Xserver’s mission emphasizes their role in society: to foster sustainable development and enrich individual futures through cloud technology, which goes beyond merely delivering services.

Leadership Perspective

Regarding this monumental merger, Xserver Corporation President Naoki Kobayashi commented:

"This merger marks a crucial milestone for our company. By unifying the strengths of the independent group companies, we are set to build a more robust and flexible cloud foundation. Our utmost priority remains to meet the trust and expectations of our users while enhancing the reliability of our services. We promise to create an environment where users feel secure and valued, contributing to the growth and sustainable evolution of Japan's digital landscape."

Xserver Corporation, with its new structure, hopes to uphold its responsibilities as a leading domestic cloud service provider, supporting the entire Japanese digital infrastructure and contributing to societal growth and sustainable development.