Credit: Equinix
Equinix will build two more data centres in Sydney after signing a $775 million (US$575 million) joint venture with PGIM Real Estate.
The partnership between the data centre builder and real estate investment firm will see the development of two xScale facilities, named SY9x and SY10x.
Together, the centres are expected to provide more than 55 megawatts (MW) of power capacity to serve a targeted group of hyperscale companies, including public cloud service providers such as Amazon Web Services (AWS) and Microsoft Azure.
The first xScale data centre in Sydney, SY9x, is expected to open in the first quarter of 2022. Both SY9x and SY10x will be based in Rosehill, Western Sydney.
Under the terms of the deal, PGIM Real Estate will own an 80 per cent equity interest in the joint venture while Equinix will own the remaining 20 per cent. The deal is expected to close by the end of this year pending regulatory approval.
"As digital transformation accelerates across all industries, hybrid multi-cloud is becoming the IT architecture of choice for leading businesses," said Charles Meyers, president and CEO of Equinix.
"These companies recognise that digital infrastructure is a source of competitive advantage and they are leveraging Platform Equinix to directly connect and operate close to the largest cloud companies powering this infrastructure.
"Our new relationship with PGIM Real Estate... will enable the world’s largest hyperscalers to expand within the Equinix ecosystem in Australia.”
The announcement comes a year after Equinix revealed plans to invest A$76.6 million on building a third data centre in Perth called PE3.
The company, along with NTT, now leads the Asia Pacific regional colocation market based on second quarter revenue.
