February 13, 2008
Equinix to Expand its Hong Kong and Singapore IBX Centers
SINGAPORE — February 13, 2008 — Equinix, Inc. (Nasdaq: EQIX), the leading provider of network-neutral data centers and Internet exchange services, today announced plans to expand its Hong Kong Internet Business Exchange (IBX®) center by more than 80 percent and commence the third expansion of its Singapore IBX center. The expansions are being driven by significant demand growth from existing Equinix customers as well as from other businesses in the Asia-Pacific market.
The Equinix Hong Kong IBX is located in the Kowloon Peninsula and currently comprises approximately 3,550 square meters (38,000 gross sq. ft.). The planned 2,990 square meter (32,000 gross sq. ft.) expansion is expected to add 550 sellable cabinets and will be available for customers in the third quarter of 2008. These customers will have direct access to the more than 20 networks, 60 enterprise and content companies, and 20 leading financial institutions already operating within Equinix's Hong Kong IBX, as well as Equinix's Business Continuity Trading Room (BCTR), a specialized disaster recovery site for financial institutions, a principal element of Equinix's value proposition in Hong Kong. Equinix intends to invest approximately $17.0 million in the build out, of which $14.5 million will be incurred in 2008.
The planned 1,588 square meter (17,000 gross sq. ft.) expansion in Singapore is Equinix's third expansion of the center. The expansion is expected to add approximately 300 sellable cabinets plus additional power for the original expansion and will be available for customers in the fourth quarter of 2008. Equinix Singapore IBX currently comprises approximately 8,224 square meters (88,000 gross sq. ft.) and last year's Singapore expansions added approximately 2,667 square meters (28,500 gross square feet) and 900 cabinets to the center, which is currently 65% percent reserved. Equinix's Singapore center is home to many of the region's technology companies and houses more than 100 networks, making the IBX one of the richest IP network interconnection points in Asia. Equinix intends to invest approximately $14.0 million in the build out, nearly all of which will be incurred in 2008.
“As demand in the Asia-Pacific market for premium colocation and interconnection services continues to outpace supply, we continue our expansion efforts to meet the incremental needs of both our existing and new customers,” said Samuel Lee, president of Equinix Asia-Pacific. “These expansions in Hong Kong and Singapore represent Equinix's continued commitment to maintaining our investment in Asia to advance our market leadership position worldwide.”
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 IXEurope into Equinix; a failure to receive significant revenue from customers in recently built out 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; the results of any litigation relating to past stock option grants and practices; 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.