Noticing the increasing demand for data centres,
) is making considerable efforts to open new data centres at
regular intervals. Moreover, Equinix is continuously winning
business deals and the latest one being a deal from LMAX
LMAX Exchange is the first Financial Services Authority
regulated forex exchange, which offers spot FX. The Equinix
London data centre has selected as the main operational site for
LMAX Exchange. The data center will enhance LMAX Exchange's
access to sophisticated trading technology and would improve the
delivery capabilities of the company.
LMAX is using the Equinix platform prudently, as they are
confident of its technical capabilities. LMAX is using the
efficient infrastructure of Equinix and puts LMAX Exchange at the
Moreover, earlier in October, Equinix's Hong Kong data center
was selected by Frankfurt-based hosting and co-location services
provider RTS Realtime Systems Group. Leveraging Equinix's
state-of-the-art IBX data centers, RTS has managed to enhance the
speed, performance and reliability of its services by directly
connecting to network service providers and financial trading
companies operating within the center.
Again in Dec 2012, Equinix announced that
CBOE Holdings, Inc.
) has moved its CBOE Command trading engine platform to the NY4
International Business Exchange (IBX) data center to New
This will bring the fastest exchange platforms from Chicago to
the New York area, thereby enhancing the efficiency and service
delivery process of CBOE.
To enhance its customer base even more and to win more deals
in some designated areas, Equinix had previously announced plans
to expand further in the Middle East via its newly-acquired
International Business Exchange (IBX) data center in Dubai. The
data centre will host 650 cabinets within its 44,000 square feet
area. The first phase, which is likely to be fully operational by
Jan 1, 2013, will cost around $40.0 million.
The growing demand for big data exchanges call for greater
usage of data centers. To meet this global need, Equinix is
expanding its IBX data center footprint globally and becoming
popular among tech majors looking for data management. The
company's worldwide presence has resulted in high network density
with a vertically focused approach, which will continue to
The company reported decent second quarter 2012 results with
earnings per share exceeding the company's expectation. Moreover,
revenue improved substantially on a year-over-year basis backed
by improved colocation, interconnection and managed
infrastructure services. Guidance for the third quarter and
fiscal 2012 were encouraging.
However, high debt, competitive threats from the likes of
), and European exposure keep us on the sidelines.
Equinix carries a Zacks #3 Rank, implying a short-term Hold
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