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Equinix Opens a New Data Center in Osaka

Powering Japan’s Digital-First Future with Multicloud Connectivity

Oct 20, 2021

HONG KONG, October 20, 2021 Equinix, Inc. (Nasdaq: EQIX), the world's digital infrastructure company™, today announced the opening of a new International Business Exchange™ (IBX®) data center in Osaka, dubbed OS3. With an initial investment of US$55 million, the state-of-the-art facility enables enterprises in the Kansai region to harness Platform Equinix® to build future-proof hybrid multicloud architecture and go digital-first in the new era.

In recent years, Osaka has been emerging as a new regional center for major cloud service providers (CSPs) to improve their services and strengthen their presence in Asia-Pacific. The metro has become a magnet for leading CSPs, including Amazon Web Services (AWS), Microsoft, Google and Oracle. As the shift towards hybrid multicloud continues, these major players are expected to keep scaling up their investments in the Kansai region to address the growing demands for high performance, consistency, security, resiliency and local data residency when it comes to cloud adoption.

According to the Global Interconnection Index Volume 5 (GXI Vol. 5), a market study published by Equinix, overall interconnection bandwidth in Osaka is predicted to grow at a compound annual growth rate (CAGR) of 50% to 110 Terabits per second (Tbps) from 2020 to 2024. From a vertical perspective, the hyperscale sector is expected to lead with the highest interconnection bandwidth locally, indicating major cloud service providers’ continuously growing needs for interconnections.

With close proximity to major network providers located in the center of Osaka, OS3 offers a wide variety of network choices for cloud and content providers who want to be closer to the large user community in the Kansai area for metro redundancy and lower latency. It also offers direct connections to the large Kansai region, which consists of major cities including Osaka, Kyoto and Kobe, allowing digital leaders to scale and utilize digital infrastructure for optimal performance.

Highlights / Key Facts:

  • The first phase of OS3 is opened and scheduled to complete by end of 2021. Upon phase 1 completion, the facility will provide an initial capacity of 900 cabinets and more than 33,000 square feet (approximately 3,070 square meters) of colocation space. At full buildout, the facility will provide 2,500 cabinets with a total colocation space of approximately 89,340 square feet (more than 8,300 square meters).  
  • Directly connected to OS1, OS3 provides a wide range of interconnection solutions, including Equinix Fabric™. Through this on-demand, SDN-enabled interconnection service, businesses can connect between their own or any other company’s distributed infrastructure on Platform Equinix in Tokyo and other parts of the world. Customers in Osaka can establish direct and secure access to Amazon Web Services, Google Cloud, Microsoft Azure, Oracle Cloud Infrastructure, and other local cloud services, to address their intensifying needs for a hybrid multicloud infrastructure.
  • Equinix also plans to introduce Network Edge and Equinix Metal™ in Osaka to further support customers to build their digital infrastructure at software speed. When the services become available, enterprises and service providers will be able to use Equinix Fabric as a single interconnection approach to connect between all their physical and virtual devices on Platform Equinix with automated bare metal servers available with Equinix Metal, and virtual devices such as routers, firewalls and SD-WAN gateways available on Network Edge.
  • Equinix customers will have access to a network-dense data center campus with more than 25 network service providers including Arteria Networks Corporation, Chubu Telecommunications Co., Inc, Colt Technology Services, Internet Multifeed CO (JPNAP), Lumen, Optage, TOKAI Communications Corporation and Verizon. Some of these network service providers will also deploy in OS3, providing direct connectivity to customers inside the facility. As part of Equinix’s interconnection network in Japan, it incorporates seismic protection features with extensive network choice and direct connection to Dojima, a major internet exchange hub.
  • Equinix has achieved its long-term goal of 100% clean and renewable energy in all of its data centers in Japan since 2020 using high-quality renewable energy certificates. Equinix Osaka data centers are also certified to meet rigorous environmental and energy management standards. OS3 has adopted a number of green features and measures, including motion-activated LED lights, high temperature chilled water set points, DCIM and Adaptive Control Systems, as well as cold/hot aisle containment, to support the Japan government's green agenda.
  • The OS3 is earthquake-resistant and equipped with multiple measures to prevent from natural disasters. In addition, Equinix has obtained ISO 22301 certification of its business continuity management system to support its IBX data centers in Asia-Pacific. The certification was performed by Schellman & Company, LLC, an ANAB and UKAS accredited Certification Body based in the United States.1
  • Today, the global footprint of Platform Equinix spans more than 230 IBX data centers across 65 metros, providing digital infrastructure for more than 10,000 of the world's leading businesses. Today, Equinix operates 50 IBX data centers in Asia-Pacific across 13 metros in Australia, China, Hong Kong, India, Japan, Korea and Singapore.

Quotes:

  • Mimei Ito, Research Manager, IT Services, IDC Japan
    “Demand for cloud services continues to grow with digital transformation demand, and this has been accelerating data center capital investment in Japan. The addition of Equinix data center in Osaka reflects the growing data center demand in the Kansai area. Additionally, Equinixs data center expansion within Japan demonstrates     its commitment to sustainable investment, as the company is one of the few data center operators which has already achieved a high level of carbon-neutrality in their facilities in Japan.”
     
  • Jeremy Deutsch, President, Equinix Asia-Pacific
    “As one of the fastest-growing metros in Asia-Pacific, Osaka is gaining attention as a rising digital hub. Strengthening our presence in the market with OS3 showcases our continuous commitments to helping businesses fast-track their digital journeys with a robust yet versatile infrastructure. We will continue to keep an eye on new opportunities and expand Platform Equinix for more businesses in the fast-growing Asia-Pacific region to power enterprises’ success in the new era.”
     
  • Kuniko Ogawa, Managing Director, Equinix Japan
    “With more and more local and global enterprises in Osaka shifting to a digital-first strategy, we have been seeing cloud service providers moving faster than before in this metro to support enterprises’ increasing needs. The opening of OS3 enables us to maintain our leadership in an evolving market and help businesses to build a digital infrastructure they need. Looking ahead, we are well poised to leverage on our global footprint and ecosystem to help businesses eliminate the distance between clouds, users and applications for optimal performance, speed and flexibility.”

Additional Resources

About Equinix
Equinix (Nasdaq: EQIX) is the world’s digital infrastructure company, enabling digital leaders to harness a trusted platform to bring together and interconnect the foundational infrastructure that powers their success. Equinix enables today’s businesses to access all the right places, partners and possibilities they need to accelerate advantage. Equinix can scale with agility, speed the launch of digital services, deliver world-class experiences, and multiply their value.

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® data centers and developing, deploying and delivering Equinix products and solutions; unanticipated costs or difficulties relating to the integration of companies we have acquired or will acquire into Equinix; a failure to receive significant revenues from customers in recently built out or acquired data centers; a 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; risks related to our taxation as a REIT; and other risks described from time to time in Equinix filings with the Securities and Exchange Commission. In particular, see recent Equinix 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 Media Contact (Asia-Pacific)
Annie Ho
Equinix
+852 2970-7761
annho@ap.equinix.com

 

1 The details of BCMS certification are publicly available at https://www.schellman.com/certificate-directory.