FOSTER CITY, Calif. -- Equinix, Inc. (Nasdaq: EQIX), the leading provider of network-neutral data centers and Internet exchange services, today announced that the company will build a new 85,000 square foot Internet Business Exchange (IBX®) data center in the Washington, D.C. area to meet continued customer demand in the region. The new center will be located adjacent to the four other data centers that Equinix currently operates within the Washington, D.C. area.
The new expansion comes after Equinix has experienced strong demand from customers seeking to locate their networking operations within the companys Washington, D.C. area centers. The center will feature our recently updated design that will enable Equinix to expand its capacity and support the increased power and cooling demands of customers and will add approximately 1,650 high-power density cabinets. The center is expected to open to customers in the first quarter of 2008.
The companys Washington, D.C. area campus, located in the Dulles Corridor, is home to many of the regions technology companies. The existing four centers currently feature more than 386,000 square feet of data center space and house more than 150 networks, making the campus one of the richest IP network interconnection points in the U.S.
The continued demand we have experienced in the Washington, D.C. area necessitates that we begin construction on our next IBX to ensure smooth customer growth, said Peter Van Camp, CEO of Equinix. Todays announcement is a continuation of our ongoing expansion program, which includes the opening of four new centers in 2007, and will enable us to grow our market leadership position.
Equinix intends to invest approximately $70.0 million of capital expenditures in the new Washington, D.C. expansion, of which approximately $45.0 million is expected to be incurred in 2007. As a result of the Washington, D.C. expansion, Equinix has revised capital expenditures guidance for the full year 2007. Capital expenditures are expected to be in a range of $361.0 to $381.0 million, comprised of $36.0 million of ongoing capital expenditures and approximately $325.0 to $345.0 million of expansion capital expenditures. All other financial guidance for the first quarter and the full year 2007 remains unchanged.