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Roundup: Intel, Equinix, Level 3, Active Power

Strong earnings for Intel (INTC), Level 3 (LVLT) opens access node in new London data center for Equinix (EQIX), and Active Power (ACPW) reports signficant jump in flywheel orders.

Here’s a roundup of some of this week’s headlines from the data center and hosting industry:

Intel reports best quarter ever.  Intel (INTC) reported second quarter revenue of $10.8 billion, up 34 percent year over year.  Operating income was reported at $4 billion, net income at $2.9 billion and EPS of 51 cents.  Intel's outlook for the third quarter puts revenue at $11.6 billion, plus or minus $400 million. "Strong demand from corporate customers for our most advanced microprocessors helped Intel achieve the best quarter in the company's 42-year history," said Paul Otellini, Intel president and CEO.  Second quarter highlights include revenue gains for the PC Client Group and Data Center Groups, a higher second quarter gross margin of 67 percent and a $204 million net gain from equity investments.

Equinix and Level 3 open Transatlantic route. Equinix (EQIX) and Level 3 Communications (LVLT) announced the opening of a new access node in Equinix's International Business Exchange (IBX) London 4/London 5 (LD4/5) data center campus located on the outskirts of London.  The node will link transatlantic routes from New York to the LD4/5 campus, bypassing central London.  “Our collaboration with Equinix is the latest example of Level 3’s commitment to expanding its low-latency offerings across the Atlantic, enabling more options for transatlantic connectivity independent of central London, and providing top-quality solutions for the most demanding of international enterprise customers," said James Heard, president of European markets at Level 3.

Active Power OEM orders triple. Active Power (ACPW) announced sales volume from its OEM partnership with Caterpillar Inc. continues to increase.  In the first half of 2010 Caterpillar ordered 83 flywheels, compared to 28 ordered in the same period of 2009, a nearly 200 percent increase. "We’re seeing a renewed interest on the part of Caterpillar to market the CAT UPS products as a part of their continuous power solutions for datacenters and other mission critical operators,” said Martin Olsen, vice president, Global Channels and Business Development for Active Power. The 83 flywheels represent approximately 24 megawatts of critical backup power compared to the eight megawatts ordered in the first half of 2009.

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