Global Study Finds an Ecosystem-based Strategy Lowers Fraud Levels in Programmatic Advertising

REDWOOD CITY, Calif., April 12, 2016 /PRNewswire/ -- Equinix, Inc. (NASDAQ: EQIX), the global interconnection and data center company, today unveiled the findings of a report done in collaboration with ExchangeWire which explored attitudes toward fraud in programmatic advertising. The survey found that marketing and advertising technology professionals are realizing that preventing fraudulent activities earlier in the bid process reduces the chance for fraudulent behavior in subsequent phases and are increasingly looking to better maintain the integrity of their digital supply chains.

To download the full report, click here: https://www.exchangewire.com/exchangewire-research-and-equinix-report/

Executive Summary

The digital marketing and advertising industry constantly experiences issues of fraudulent behavior, both on the buy-side and sell-side of programmatic online advertising trading. As a result, marketing and advertising technology professionals are looking for solutions to reduce fraud and create a secure ecosystem. The survey indicated a significant drive towards clean inventory data ecosystems within the next 12 months, as digital marketing and advertising professionals strive to reduce fraud levels at the pre-bid stage with 60 percent of respondents indicating that it is very important to detect fraud even before impressions are sent to be traded. Furthermore, one-third of respondents said they are willing to move applications to a new data center for an 11-30 percent reduction in latency time in an effort to reduce fraudulent activities.

Interconnection Reduces Ad Fraud

An interconnection first strategy and implementation of an Interconnection Oriented Architecture™ via Equinix's carrier neutral data centers with secure ecosystems can accelerate the bidding and trading of ad inventory through an optimized infrastructure. Equinix is home to leading business ecosystems which include participants such as leading ad exchanges, media buyers, data platforms, data aggregators and major networks. As the result of trading within a neutral data center, the possibility of fraud is significantly reduced at each stage of the bidding process.

Highlights / Key Facts

• The global study of 129 marketing and advertising technology professionals from around the world analyzed attitudes towards programmatic advertising fraud and the benefits of a neutral data center with secure business ecosystems.
• Media buying efficiency was cited as the main advantage to using a neutral data center with secure ecosystems by marketers in EMEA (73 percent), APAC (69 percent) and the US (62 percent). Within LATAM, reduced fraud levels (58 percent) were cited as the main advantage, while APAC (44 percent) and the US (47 percent) cited reduced fraud levels as the second greatest advantage.
• 83 percent of LATAM and 80 percent of EMEA respondents believe that the detection of fraud before ad impressions are sent to be traded is either essential or very important. Results were slightly lower within the US (61 percent) and APAC (74 percent).
• Marketing and advertising technology professionals have differing views on the main advantage to moving to a neutral data center with secure ecosystems solution with those in EMEA (73 percent), APAC (69 percent) and the US (62 percent), viewing media buying efficiency as the main advantage. Marketers within LATAM see reduced fraud levels (48 percent) as the main advantage to this type of ecosystem.
• As the leading interconnection provider, Equinix is adding anti-fraud managed services to its strategic ad exchanges around the world to create data center environments with secure business ecosystems to bring together buyers and sellers and drive interconnection.

Quotes

• Lou Najdzin, senior director, Global Market Development:
  "We are experiencing an increasing demand for reduced latency times in order to combat the growing sophistication of cyber criminals. Equinix provides customers with a secure platform to interconnect with leading ad exchanges, media buyers, data platforms, data aggregators and major networks. As a result, latency times are reduced and the risk of fraudulent activities are mitigated."

Additional Resources

• Ad World Eager to Attack Fraud Consider New Data Center Strategies [blog]
• TraderTalk TV: Best Practices on Fighting Fraud [video]
• Ad Fraud Spotlight [Equinix Forum article]

About Equinix

Equinix, Inc. (Nasdaq: EQIX) connects the world's leading businesses to their customers, employees and partners inside the most interconnected data centers. In 40 markets across five continents, Equinix is where companies come together to realize new opportunities and accelerate their business, IT and cloud strategies. 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.

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SOURCE Equinix, Inc.