Portugal Telecom (PT) is extending beyond telephony into Internet, hosting, and other digital services. To accommodate its business shift, it built a state-of-the-art datacenter in Portugal featuring a Hyper-V private cloud. Marketed as the CloudPT, the new environment will help PT expand its digital services business, reduce IT costs and the cost of customer services, encourage customers to move applications to the cloud, and increase overall service quality. Its private cloud will also help PT deliver lower-cost services. Over time, PT will be able to reduce its dependence on VMware and the associated high licensing costs.