Equinix’s newest data center, a $122 million facility in Silicon Valley, will help meet the growing demand for interconnection, according to Karl Strohmeyer, president of the Americas at Equinix.
In an interview with SDxCentral at the building’s grand opening last week, Strohmeyer said Equinix has more than 240,000 interconnection points, which link network, cloud and IT service providers, and enterprise customers. Strohmeyer calls these digital ecosystems.
“That is what is driving the digital economy,” he said. “They all need to come together and interconnect and exchange traffic in a low-latency environment. That happens on our platform. And SV10 is especially cloud dense.”
SV10 is the name of the new center, located at the Equinix San Jose, California campus. The company now operates 13 Silicon Valley data center sites and 182 facilities globally.
Strohmeyer won’t name the cloud providers located at the San Jose campus. But the Equinix Cloud Exchange, which gives enterprises direct connections to cloud providers, includes Amazon Web Services (AWS), Microsoft Azure, Oracle Cloud, Google Cloud Platform, IBM Bluemix, Alibaba Cloud, and, as of last month, SAP Cloud.
“More than 90 percent of the Internet traffic on the west coast goes through the Silicon Valley campus,” he said. “On this campus we have the largest Internet service providers, the largest cloud service providers, the largest managed services provider, and the largest enterprises all as customers. I think there’s over 600 customers on the campus in Silicon Valley, and they’re all interconnecting with each other.”
According to the Global Interconnection Index, a market study published recently by Equinix, the U.S. is the largest and most advanced region for interconnection bandwidth growth, with 82 percent of enterprises’ bandwidth expected to be dedicated to interconnection to networks and cloud by 2020.
Silicon Valley represents one of the top four fastest-growing regions within the U.S., with a forecasted 39 percent interconnection bandwidth growth through 2020.
Having these hyperscale cloud providers as customers benefits Equinix’s enterprise customers that are moving to hybrid and multicloud environments. But it’s important for Equinix’s service provider customers as well, Strohmeyer said.
“Because they all know that their end customer is not going to just buy their stuff. They’re going to want [Microsoft] Office 365 for their desktop, they’re going to want Oracle for whatever, they’re going to want SAP for their ERP [enterprise resource planning],” he explained. “And because of that multicloud environment, they come to Equinix.”
In addition to providing connectivity to cloud service providers, Equinix Silicon Valley sites provide access to network services from more than 125 providers including AT&T, Verizon, Vodafone, and Cisco.
The company offers direct connection between customers at the new SV10 and the seven other Equinix IBX data centers in Silicon Valley via low-latency dark fiber links between sites.