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Equinix to Build New $43M Data Center in Tokyo

New facility will meet strong demand from financial services firms, cloud and content providers for Equinix's data center and interconnection services

Nov 5, 2014

REDWOOD CITY, Calif. and TOKYO, Nov. 5, 2014 /PRNewswire/ -- Equinix, Inc. (Nasdaq: EQIX), the global interconnection and data center company, today announced the build of its newest Tokyo data center, TY5. The facility will meet strong demand from financial services firms, as well as cloud and content providers for data center and interconnection services in Tokyo. 

Highlights/Key Facts

  • Companies in Japan require additional data center services to meet their customers' rising demand for cloud and network connectivity. According to Forrester, the data center market in Japan is forecasted to reach US$14.2 billion by 20161. The expansion of Equinix's International Business Exchange™ (IBX®) data center footprint in Tokyo will help meet these demands, further enabling domestic and multinational companies to expand into the growing Japan market and access over 1,000 domestic and international network providers within Platform Equinix™, including local Japanese carriers and international carriers such as Softbank, PCCW Global, BT and AT&T.
  • When complete, TY5 will provide a total capacity of 725 cabinets with 350 available in the first phase and 375 in the second. With 54,663 square foot of space, TY5 is located in a single tenant facility for improved design and physical security, with 24x7x365 security officers and CCTV. Scheduled to open in Q1 2016, it is being built in close proximity to TY3 to streamline operations.
  • Located near Tokyo's financial district, TY5 is in close proximity to the Japan Exchange and Tokyo Commodity Exchange that houses over 3,400 listed companies and has a total market capitalization of $4.47 trillion (USD)2. By being in close proximity to these exchanges, TY5 will provide financial services companies with reliable, low-latency connectivity to key financial institutions and business partners, boosting speed of trading and accelerating business outcomes.
  • Over 60 financial services companies, including FXCM, have already expanded into Tokyo to connect to Equinix's established ecosystem of existing and potential customers and partners. TY5 will have direct fiber connectivity to TY3, enabling new customers to access its rich financial services ecosystem and further facilitate customer interconnections.  

Quotes

  • Takashi Kobiyama, general manager of Building Dept. Life Service Creation Div., TOBU RAIL WAY CO., LTD.:
    "As a developer with a proven track record, Tobu Railway has solid expertise in developing commercial and residential facilities in the Tokyo metro area and suburb. We look forward to supporting Equinix in its expansion, as it will contribute to the increased development in the district and further bring in additional local and global businesses near the Tobu line."
  • Kei Furuta , managing director, Equinix Japan:
    "TY5 will be built in response to the various demands being driven by the digital economy across the cloud, mobile and financial services industries. As Tokyo is a major international finance center that houses some of the world's largest investment banks, trading platforms and insurance companies, it is important that we provide the necessary interconnection services to meet these increasing demands. The new TY5 data center will do just that, as customers will have direct access to Equinix's established financial ecosystem in TY3. Cloud, content and network providers will also have the opportunity to rapidly expand their business by connecting to TY5, meeting their customers' international and domestic connectivity needs."

Additional Resources

About Equinix
Equinix, Inc. (Nasdaq: EQIX), connects more than 4,500 companies directly to their customers and partners inside the world's most networked data centers. Today, businesses leverage the Equinix interconnection platform in 32 strategic markets across the Americas, EMEA and Asia-Pacific. www.equinix.com.

Forward Looking Statements

This press release contains forward-looking statements that involve risks and uncertainties. Actual results may differ materially from expectations discussed in such forward-looking statements. Factors that might cause such differences include, but are not limited to, the challenges of acquiring, operating and constructing IBX centers and developing, deploying and delivering Equinix services; unanticipated costs or difficulties relating to the integration of companies we have acquired or will acquire into Equinix; a failure to receive significant revenue from customers in recently built out or acquired data centers; failure to complete any financing arrangements contemplated from time to time; competition from existing and new competitors; the ability to generate sufficient cash flow or otherwise obtain funds to repay new or outstanding indebtedness; the loss or decline in business from our key customers; and other risks described from time to time in Equinix's filings with the Securities and Exchange Commission. In particular, see Equinix's recent quarterly and annual reports filed with the Securities and Exchange Commission, copies of which are available upon request from Equinix. Equinix does not assume any obligation to update the forward-looking information contained in this press release.

Equinix and IBX are registered trademarks of Equinix, Inc.

International Business Exchange is a trademark of Equinix, Inc.

1 Forrester Research, The Data Center Services Market In Japan, 2013 To 2016, December 2012

2 Tokyo Stock Exchange Report / Money-Zine Magazine

Equinix.

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SOURCE Equinix

For further information: Equinix Media Contacts (Americas): Liam Rose, +1 (650) 598-6590, lrose@equinix.com, Golin for Equinix, Inc.: Alisa Davis, +1 (415) 318-4339, adavis2@golin.com; Equinix Media Contacts (APAC): Lorraine Little-Bigelow, + (852) 2970 7742, llittlebigelow@ap.equinix.com, Andrea Friedman / Summer Jia, LEWIS PR, + (852) 3944 5000, LEWISHongKong@lewispr.com; Equinix Investor Relations Contacts: Katrina Rymill, +1 (650)598-6583, krymill@equinix.com