22nd Century Technologies and BT have completed the sale of BT Federal, BT’s U.S. government contracting subsidiary, to 22nd Century Technologies, expanding 22nd Century’s managed network services footprint and creating a new operating unit branded as 22nd Century Networks.
Under the agreement, BT Federal will now operate as 22nd Century Networks, a wholly owned subsidiary of 22nd Century Technologies. The combined platform is positioned to deliver integrated network and modernization capabilities to government customers, pairing 22nd Century’s public-sector IT services with BT Federal’s telecommunications and networking expertise.
22nd Century said the acquisition broadens its managed network services capabilities nationwide, including coverage across all 50 states, and strengthens its ability to support federal missions that require secure, high-performance connectivity. The new 22nd Century Networks offering is described as delivering interoperable solutions “from enterprise to edge,” aimed at helping organizations modernize legacy environments, integrate across domains, and execute missions securely.
Company executives framed the deal as a step toward deeper involvement in network-layer modernization efforts, including initiatives aligned with Zero Trust principles and mission continuity requirements. 22nd Century said the combined capabilities will support agencies seeking to refresh legacy infrastructure, improve interoperability, and enhance cyber resilience across complex operating environments.
From BT’s perspective, the transaction is part of a broader portfolio simplification effort and a shift toward a more UK-focused strategy. BT said the divestiture also supports the positioning of BT International—now operating as a standalone unit—as it seeks to build on its secure multi-cloud connectivity offerings for large organizations.
BT International said it will maintain a meaningful U.S. presence through regional offices and employees based in New York, Dallas, and Reston, even as BT Federal moves under new ownership. The companies also emphasized continuity through the transition, stating there are no immediate changes planned for ongoing operations supporting customers, partners, or employees.
The transaction was cleared by the U.S. Federal Communications Commission.
22nd Century Technologies, founded in 1997, describes itself as a public-sector IT systems integrator supporting a large base of government contracts across defense, federal civilian, state, and local agencies. The company said it has more than 6,000 professionals supporting over 500 contracts and delivers services spanning digital transformation, cloud enablement, cybersecurity, IT infrastructure, and enterprise modernization.
With the launch of 22nd Century Networks, the company is aiming to present a more unified “enterprise-to-edge” platform that combines modernization services with telecommunications-grade network capabilities, positioning the new subsidiary to compete for mission-critical network programs where performance, security, and operational resilience are central requirements.
KEY QUOTES:
“This marks a transformational moment for our company and the missions we serve – strengthening our ability to deliver future-ready, cyber-secure network solutions our government partners rely on. With 22nd Century Networks, we are advancing digital modernization while also securing the network layer that underpins our nation’s most critical operations across the Department of War, Department of Justice, and Department of State. By delivering secure, sovereign infrastructure engineered for Zero Trust, interoperability, and mission continuity in any environment, we are deepening our commitment to protecting the people, systems, and missions that keep our nation safe.”
Anil Sharma, Chief Executive Officer, 22nd Century Technologies
“This acquisition is a growth catalyst for us, our customers, and the agencies we have yet to serve. The expansion of solutions and reach allows us to bring more innovation and reliability to a wider set of federal missions that depend on secure, high-performance network infrastructure.”
Satvinder Singh, President, 22nd Century Technologies
“Today’s announcement is another milestone in delivering on our strategy to focus our international business on what it does best: providing secure multi-cloud connectivity to large organizations globally. Our BT Federal unit, which has been a leading provider of services to U.S. federal agencies, will enter a new era with 22nd Century Technologies. We are confident that 22nd Century Technologies will continue to build on the excellence and commitment of BT Federal to the U.S. government sector.”
Bas Burger, CEO, BT International
