Internet exchange operator Equinix, Inc. has aquired a fourth Silicon Valley data center, which will interconnected to its three other Silicon Valley centers. The new 120,000 square foot Silicon Valley center was acquired through a long-term lease commencing in October 2005. It will add approximately 1,800 cabinets and increase Equinix's Silicon Valley footprint to more than 500,000 square feet.
The new center was built-out in 2001 at an estimated cost of $80 million, or better than $650 per square foot. Equinix intends to invest an additional $15 million to upgrade the center to Equinix standards. Equinix said it intends to open the new center for customers in mid-2006.
"Our current momentum, expansion opportunities and competitive position are solidifying Equinix's market leadership position," said Peter Van Camp, CEO of Equinix. "We continue to see attractive opportunities to acquire additional centers in our highest growing markets. As we pursue this, the team at Equinix believes it has the opportunity to build an enterprise generating annual revenues of $500 million over time."