Telx has expanded its data center at 111 8th Avenue, one of the primary connectivity hubs in Manhattan, the company said today. The colocation and interconnection specialist, which is planning an initial public offering, is adding 21,500 square feet of data center capacity for financial institutions and cloud infrastructure and software providers.
"Our decision to add more data center capacity to our 111 8th Avenue facility is in response to a sharp increase in demand from our financial services customers and cloud application service providers," said Eric Shepcaro, CEO of Telx. "With the expanded footprint, we can immediately meet the latency, proximity, security and services requirements of the most demanding financial services and cloud computing environments."
Building A Financial Ecosystem
Financial firms are a key customer class for Telx, which is among the data center firms seeking to expand its beachhead in the lucrative market for high-frequency trading. Colocation trading hubs build value through a "network effect" as they bring together exchanges, broker dealers, capital markets vendors, market data providers, order management vendors and, buy-side and sell-side firms.
“Telx has built a high-value ecosystem for the financial services industry, and their expansion of the 8th Avenue facility will enable them to provide even more connectivity choice to their customers.”said Jeffrey Britell, director of Network Planning, IPC Systems. “The Telx 111 8th Avenue facility has become one of our primary Points of Presence (PoP) growth locations in the New York metro area thanks to its low-latency connectivity and resiliency,”
Third Expansion Since Acquisition
The new space marks the third expansion for Telx in as many years at 111 8th Avenue. The company bought the meet-me-room business of NYC Connect in 2007, and added 5,000 square feet in 2008 and another 14,000 square feet in early 2009.
111 Eighth Avenue is among the world's most wired buildings. The massive 2.9 million square foot structure was built in 1932 as the Port Authority Commerce Building in 1932, and covers the entire city block between 15th & 16th Streets from Eighth to Ninth Avenues. As one of the leading carrier hotels in Manhattan (along with 60 Hudson Street), 111 8th Avenue is home to more than 200 technology companies.