The new Equinix facility, situated in the Port Melbourne area, is likely to create some angst at Australian data centre provider NextDC which has a competing $100 million plus M1 facility, opened in 2012, just down the road in the same district.
The NextDC data centre, which had virtually no competition in Melbourne, houses some big ticket clients and the new Equinix facility may put downward pressure on the price of rack space.
With an initial investment of US$60 million, which includes the cost of the land, the Equinix ME1 data centre opens with 375 cabinets, with future expansion phases accommodating an additional 1,125 cabinets and a total of over 105,000 square feet of floor space.
ME1 opens with more than 50 new customers already deployed. Customers include Bulletproof, CacheFly, Entrust ICT, Exigent, First Path, GCOMM, Micron21 Telecommunications, Telstra, Vocus, and Western Australian Internet Association (WAIA).
“We extended our dark fiber network into ME1 as it offers Micron21 the ability to provide cost effective interconnections with just about any network provider, cloud service or company we choose to, should we need to. Equinix’s vast interconnection capability made ME1 the obvious choice. It’s great to see this capability now available in Melbourne. We are very much looking forward to growing our services within ME1 and supporting the Equinix ecosystem,” said James Braunegg, managing director, Mircon21 Telecommunications.
“By opening ME1, our first International Business Exchange in Melbourne, this city’s businesses can now choose more than just state-of-the-art carrier-neutral colocation space and carrier-dense interconnections. ME1 provides our customers with access to Platform Equinix, where major networks, enterprises and business partners interconnect to each other at global scale,” said Deutsch.
Equinix quotes a recent survey, which found that 85% of Australian enterprises are planning to deploy to multiple clouds within the next 12 months, 77% of which will use clouds operating in more than one country. The opening of ME1, says the company, addresses this high demand for cloud services in Australia and allows businesses to leverage Equinix’s network, content and cloud business ecosystems to rapidly accelerate the benefits of their cloud strategies.
According to Equinix, ME1 will enable Melbourne businesses to connect with Equinix’s network-dense ecosystem of more than 1,000 networks globally, 130 of which are available in Australia. Equinix says that it will provide customers with access to a large marketplace of over 4,800 potential customers and partners across more than 100 data centres worldwide, generating revenue opportunities and reducing time-to-market.
Cloud and IT service providers account for a quarter of Equinix’s business and are the fastest growing segment for the company.