Newsroom Press Release
May 5, 2009
Equinix Opens $82 Million Expansion of New York Area Data Center with ACTIV Financial and Direct Edge as Initial Customers
Second Phase of the Company's NY4 IBX Center is Currently 50 Percent Reserved by Customers, Driven by the Continued Strong Demand for Data Center Services from Financial Services Customers
SECAUCUS, NJ - May 5, 2009 - Equinix, Inc. (Nasdaq: EQIX), a provider of global data center services, today announced the opening of the second phase expansion of its New York-4 (NY4) International Business Exchange (IBX®) data center in Secaucus, NJ. ACTIV Financial, a leading provider of market data content and technologies, and next-generation displayed markets provider Direct Edge will be among the initial customers of the $82 million expansion, which will add 1,100 cabinets of capacity to Equinix's data center footprint. The expansion space is currently 50 percent booked or reserved by customers, due to strong demand for data center services in the New York area. The company is evaluating customer demand for the third and final phase expansion of the NY4 center, which is currently in the design phase.
The NY4 center is Equinix's fourth New York area IBX center. The $95 million first phase of the center was opened in November 2007 and is now nearly fully booked, with strong traction from the financial services industry in the region. At full build-out, the NY4 center will be Equinix's largest in the U.S. to date at 340,000 square feet - the size of five football fields - with an annual revenue capacity of between $95 million and $110 million. It is directly linked to the three other New York area IBX centers through redundant dark fiber links managed by Equinix.
“The opening of this new phase of the NY4 center is representative of our commitment to ongoing and measured expansion to meet the needs of our customers,” said Steve Smith, president and CEO of Equinix. “In the New York area, we continue to see strong customer demand, especially from the financial services market, even in the face of a challenging economy.”
In the New York area, many of Equinix's financial services customers participate on the Equinix Financial eXchange, a community of financial market participants that locate mission-critical infrastructure within Equinix data centers to benefit from a high-performance, low latency connectivity within a network-neutral environment. At Equinix, these companies can directly exchange data within the same physical location with strategic partners, customers and vendors, thereby optimizing their electronic trading operations. They also have access to a broad range of data center services and high-performance network connectivity providers.
Equinix, Inc. (Nasdaq: EQIX) provides global data center services that ensure the vitality of the information-driven world. Global enterprises, content and financial companies, and network service providers rely upon Equinix's insight and expertise to protect and connect their most valued information assets. Equinix operates 42 International Business Exchange™ (IBX®) data centers across 18 markets in North America, Europe and Asia-Pacific.
Important information about Equinix is routinely posted on the investor relations page of its website located at www.equinix.com. We encourage you to check Equinix's website regularly for the most up-to-date information.
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. Internet Business Exchange is a trademark of Equinix, Inc.