Telx Expands at 200 Paul in San Francisco

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200 Paul AvenueInterconnection specialist Telx continues to expand its data center footprint, and has acquired an additional 6,000 square feet of colocation space at 200 Paul Avenue in San Francisco, the carrier hotel operated by Digital Realty Trust (DLR). The expansion provides Telx with space for an additional 200 cabinet equivalents, and is connected to the Telx “meet me room” in the building and ready for immediate occupancy.  

The San Francisco acquisition the fourth expansion in just six months for Telx, which has added more than 46,000 square feet of new space at 60 Hudson Street and 111 Eighth Avenue in New York and at 350 East Cermak Street in Chicago. Telx also acquired the Atlanta Internet Exchange in June and opened a peering exchange in Phoenix.

“Our West Coast customers need high-quality, secure, network-rich and cost-effective space for their growing data, IP and content businesses,” says Chris Downie, President and Chief Financial Officer of Telx. “Telx has just completed a strong second quarter keeping us in line to achieve an increase in revenue of more than 40 percent in 2008. Our expansions this year are a testament to this strong growth curve.”

“Telx is the leading provider of interconnection services within ten of our key facilities,” says Chris Crosby, Senior Vice President of Digital Realty Trust. “We are pleased to be able to support its growing business in San Francisco.”

“Digital Realty Trust has been a great partner,” said Telx Chief Business and Marketing Officer Tesh Durvasula. “They’ve defined an industry in real estate colocation. We’ve been a good provider of interconnection services in their buildings. Telx would not have experienced the growth it has without a good partner like Digital Realty.”

The expansions by Telx are driven by the opportunity to lease additional colocation space to companies seeking interconnections in the company’s meet-me room facilities in major connectivity hubs. Durvasula said that Telx is also seeing strong demand in Dallas, where the company expanded into new space at 8435 Stemmons last December.

Telx will continue to look for smart expansion opportunities, and has scouted some opportunities in international markets, according to Durvasula. “The natural progression for us would be something connecting to the financial centers of the world, cities like London and Frankfurt,” he said. “We haven’t found anything to date that suits our entrance criteria.”

About the Author

Rich Miller is the founder and editor-in-chief of Data Center Knowledge, and has been reporting on the data center sector since 2000. He has tracked the growing impact of high-density computing on the power and cooling of data centers, and the resulting push for improved energy efficiency in these facilities.

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