U.S. markets closed
  • S&P 500

    -22.89 (-0.58%)
  • Dow 30

    -236.94 (-0.75%)
  • Nasdaq

    -29.66 (-0.26%)
  • Russell 2000

    +1.38 (+0.08%)
  • Crude Oil

    +2.06 (+1.88%)
  • Gold

    +24.40 (+1.34%)
  • Silver

    +0.39 (+1.81%)

    +0.0122 (+1.16%)
  • 10-Yr Bond

    -0.0310 (-1.07%)

    +0.0131 (+1.06%)

    -0.4850 (-0.38%)

    +1,080.86 (+3.70%)
  • CMC Crypto 200

    +17.58 (+2.69%)
  • FTSE 100

    -135.35 (-1.82%)
  • Nikkei 225

    -508.36 (-1.89%)

Equinix (EQIX) Boosts Frankfurt Presence With New IBX Data Center

  • Oops!
    Something went wrong.
    Please try again later.
·2 min read
In this article:
  • Oops!
    Something went wrong.
    Please try again later.

Equinix, Inc. EQIX recently opened a new International Business Exchange (“IBX”) data center in Frankfurt. The new site named FR8 will cater to the rising demand for private connectivity and digital infrastructure in Germany.

With Frankfurt being a European financial capital and a leading data hub, this addition is in line with Equinix’s strategy to enhance its data-center capacity in key markets and strengthen the company’s competitive positioning and global reach.

The first phase of this new site adds 4,800 m² to the company's co-location space. With a direct access to a global digital ecosystem of more than 10,000 companies, it will help customers interconnect and innovate business successfully.

Equinix has made a total investment of $103 million for the new build. The carrier-neutral FR8 will offer a wide range of inter-connection and colocation services, including Equinix Fabric, Network Edge and Equinix Metal, to enterprises across all sectors. Equinix Fabric helps enterprises quickly and flexibly connect to the leading cloud and network providers globally. With Network Edge, customers can virtually modernize networks, while Equinix Metal enables them to configure and provision physical infrastructure within minutes.

Equinix is well positioned globally to bank on the robust demand for data-center spaces with its Platform Equinix, which comprises more than 230 data centers across 65 metros and 27 countries.

Robust growth in cloud computing, the Internet of Things and big data, and a greater call for third-party IT infrastructure are spurring the demand for data-center infrastructure. Furthermore, growth in artificial intelligence, autonomous vehicle and virtual/augmented reality markets will likely be solid in the upcoming year.

As infrastructure providers for the rapidly-growing digital economy, data-center landlords, such as Equinix, Digital Realty Trust DLR, CyrusOne Inc. CONE and CoreSite Realty Corporation COR, are well placed for sustainable growth.

However, stiff competition is likely to result in an aggressive pricing pressure.

Shares of Equinix have gained 16.5% over the past six months, outperforming the industry's growth of 11%.

Zacks Investment Research
Zacks Investment Research

Image Source: Zacks Investment Research

The company currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

Equinix, Inc. (EQIX) : Free Stock Analysis Report

Digital Realty Trust, Inc. (DLR) : Free Stock Analysis Report

CoreSite Realty Corporation (COR) : Free Stock Analysis Report

CyrusOne Inc (CONE) : Free Stock Analysis Report

To read this article on Zacks.com click here.