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.
Equinix, Inc. has 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.
"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," said Kei Furuta, managing director, Equinix Japan.
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.