23 January 2014

Equinix to build $60 million data center in Melbourne, Australia

Redwood City, Calif. and Sydney – 23 January 2014 - Equinix, Inc., the global interconnection and data center company, plans to invest approximately US$60M to build a new data center in Melbourne. Equinix's new Melbourne data center—called ME1—will address strong demand from customers for premium data center services in Melbourne, as data consumption and cloud services experience continued growth in the Australian and global IT markets.

Tony Simonsen, managing director, Equinix Australia said, “We continue to see a surge in demand for data center and interconnection services in the Asia-Pacific (APAC) region and the addition of ME1 will aid enterprises looking to gain proximity to customers and partners and to improve application performance for employees and end-users in Australia.”

Located in Port Melbourne, ME1 will provide a capacity of 1,500 cabinets, with the first phase of 375 cabinets scheduled for completion in Q4 2014. Equinix will construct a specially built 105,000 square foot building shell to house the new ME1 data center and allow for future development.

Melbourne is a hub for software companies with Victoria accounting for almost a quarter of Australia's economic activity. The ME1 International Business Exchange™ (IBX®) data center will enable existing Equinix customers to expand into the second largest market in Australia providing opportunities for business connectivity in APAC and across Equinix's global footprint.

The Australian IT market is continuing to experience significant growth. Cisco's Visual Networking Index predicts that by 2017 there will be 23 million Internet users in Australia—up from 18 million in 2012. In Australia, IP traffic will reach 30 gigabytes per capita in 2017, up from 14 gigabytes per capita in 2012. 

Source: Equinix