Building on the subsea cable momentum, Equinix Inc. (EQIX - Free Report) recently added RTI Connectivity Pte. Ltd.'s transpacific cable systems to the list of sub-marine cable systems offered in the IBX data centers of the former, in turn, enhancing connectivity options for users.
By using Equnix’s IBX data centers, RTI will extend the reach of its connectivity solutions in Tokyo, Japan, and Sydney, Australia. Hyperscale cloud providers and enterprise companies are fueling data growth between the Asia-Pacific region and Australia. These customers require economically-cheaper bandwidth solutions, alternative paths and improved quality of service.
Hence, RTI's latest secure long-haul routes will interconnect the Asia-Pacific region and Australia through Guam, in order to meet the growing demand for inter-connection services. The unique design of the cable systems will offer better latency between these continents and significantly reduce provisioning time frames.
Meanwhile, RTI will depend on Equinix to deliver and manage cable landing stations (CLS). Equinix’s next-generation CLS design terminates sub-marine cabling systems inside the company’s IBX data centers at the digital edge, where commerce, population hubs and digital ecosystems integrate.
Further, by providing a neutral landing point to submarine cable operators, thereby simplifying operations at a neutral location. This will reduce operator’s costs as well as the time taken to deploy.
Additionally, RTI is constructing several high-fibre capacity cables that will land on Guam. This complements two of Equinix’s cable routes that connect via Guam. The Japan-Guam-Australia South Cable System (JGA South) connects Sydney and Guam with termination point into Equinix’s SY4 IBX in Sydney. The second cable route — Japan-Guam-Australia North Cable System (JGA North) — connects Tokyo and Guam with Equinix’s TY2 IBX in Tokyo as a termination point.
The collaboration between the companies will strengthen communication networks between the Asia-pacific region and Australia. With efficient inter-connection options for service providers and enterprises, it will propel greater business opportunities and drive growth of the digital economy between the two growing markets.
Equinix currently carries a Zacks Rank #3 (Hold).
Over the past six months, shares of the company have rallied 16.1%, outperforming the real estate market’s gain of 7.7%.
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