ALOG to build new IBX in Rio de Janeiro and expand in São Paulo to
meet demand for interconnection and data center services in South America
REDWOOD CITY, Calif.--(BUSINESS WIRE)--Jul. 25, 2012--
a provider of global data center services, today announced that ALOG
Data Centers of Brazil S.A., a Platform
Equinix™ Company, plans to build a new International
Business Exchange™ (IBX®)
data center in Rio de Janeiro. Targeted to open in the first quarter of
2013, the first phase is expected to cost $20 million in expansion
capital and will have space for 320 cabinets with a total capacity of
1,170 cabinets once all future phases are completed. Equinix also
announced ALOG will begin construction on phase two of its SP2 data
center in São Paulo, which is expected to be available in early 2013.
SP2 phase two will have space for an additional 350 cabinets and is
expected to cost $14 million in expansion capital. Both projects are
reflected in Equinix’s guidance.
Equinix and Riverwood Capital completed the acquisition of ALOG in April
2011, and Equinix holds the controlling interest and sits on the board
of directors of ALOG. With its investment in ALOG, Equinix offers
colocation, interconnection and managed hosting services from its three
existing Brazil-based IBX data centers in São Paulo and Rio de Janeiro.
The new IBX, RJ2, will be ALOG’s second facility in the Rio de Janeiro
metropolitan area. Equinix is seeing increased demand from
multi-national customers, particularly in the financial services,
networking and content industries, who are expanding in the South
American market. According to Frost
& Sullivan, the Brazilian government expects GDP to grow three
to three-and-a-half percent and expects six percent growth in the IT
sector in 2012.
“As the seventh largest economy in the world, Brazil is experiencing
continued economic and infrastructure expansion, making it an attractive
country for multi-national investment,” said Charles Meyers, president
of the Americas for Equinix. “With the expansions in São Paulo and Rio
de Janeiro, we are in a strong position to support increasing demand for
Platform Equinix from key global customers looking to expand in the
Equinix, Inc. (Nasdaq:EQIX) connects businesses with partners and
customers around the world through a global platform of high performance
data centers, containing dynamic ecosystems and the broadest choice of
networks. Platform Equinix connects more than 4,000 enterprises, cloud,
digital content and financial companies including more than 900 network
service providers to help them grow their businesses, improve
application performance and protect their vital digital assets. Equinix
operates in 38 strategic markets across the Americas, EMEA and
Asia-Pacific and continually invests in expanding its platform to power
customer growth. http://www.equinix.com.
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.
International Business Exchange is a trademark of Equinix, Inc.
Source: Equinix, Inc.
Equinix Media Contacts
for Equinix, Inc.
Liam Rose, +1-415-318-4380
Katrina Rymill, +1-650-598-6583