Colocation market leader Equinix today announced a major expansion of its global data center footprint, unveiling plans to spend $140 million on a new data center in northern New Jersey and expand its existing facilities in suburban Chicago and Frankfurt, Germany. The expansions add colocation capacity in three of the world's busiest financial cities, tracking the growth of the Equinix financial trading ecosystem.
"Whether it’s cloud computing or mobile and video traffic, Internet growth is propelling demand for Platform Equinix,” said Steve Smith, president and CEO of Equinix. “Due to this momentum, we are increasing our expansion investments to provide the capacity required to support greater than $2 billion in revenues, which we expect to achieve in 2013."
The new data center in the greater New York market is scheduled to open in the second quarter of 2012 and will primarily support the growth of Equinix’s extensive financial ecosystem. Equinix did not identify the location of the new facility, but last year the company leased additional space in Secaucus, New Jersey for future expansion. The first phase will add approximately 156,000 gross square feet of space and 2,200 cabinet equivalents, with room for additional expansions that would bring the total capacity to approximately 380,000 gross square feet of space and 7,100 cabinet equivalents.
The company is also investing approximately $30 million to expand its Chicago-3 (CH3) data center in Elk Grove Village, Illinois and approximately $70 million to further expand its Frankfurt-2 site (FR2). The CH3 expansion will add approximately 19,000 square feet of colocation space and 600 cabinet equivalents, and is scheduled to open in the fourth quarter of 2011. The FR2 expansion, which is the third phase of expansions in this data center, will add approximately 102,000 gross square feet of space and 1,900 cabinet equivalents when completed in 2012. The initial build-out of this expansion, which will add approximately 480 cabinets, is scheduled for completion in the fourth quarter of 2011.
“These three business, financial and communications centers are critical markets for many of our customers, particularly financial and media companies, enterprises and network providers who rely on Platform Equinix to connect to partner and customer ecosystems and improve application performance,” said Smith, Equinix’s president and chief executive officer. “We continue to experience strong demand for colocation and interconnection services in these markets. The planned expansions are in response to this demand and will enable our customers to grow their businesses in these markets and globally.”
Equinix operates data centers in 37 strategic markets across the Americas, EMEA and Asia-Pacific, supporting more than 3,350 enterprises, cloud, digital content and financial companies connect to more than 650 network service providers.