Equinix has announced the signing of a joint venture agreement with GIC and Canada Pension Plan Investment Board (CPP investments) to raise over US$15 billion for hyperscale data centres expansion in the United States.
With the capital raised, Equinix expects the joint venture to purchase land to build new xScale facilities of capacities exceeding 100 MW on multiple hyperscale campuses in the US, ultimately adding more than 1.5 GW of new capacity for hyperscale customers. XScale data centres are a specific type of data centres developed by Equinix to meet the needs of hyperscale companies.
Adaire Fox-Martin, CEO and President of Equinix said, “As the world’s leading companies build out their infrastructure to support key workloads such as artificial intelligence, they require the combination of large-scale data centre footprints optimised for AI training and interconnection nodes for the most efficient inferencing. Our xScale and IBX offerings are uniquely positioned to address this business need, enabling companies to realise the powerful potential of AI.”
According to the press release, the idea of this joint venture was driven by the increasing artificial intelligence and cloud growth. Through this collaboration, Equinix hopes to accelerate the Equinix xScale data centre portfolio, enabling more hyperscale companies to add core deployments to their existing access point footprints at Equinix International Business Exchange (IBX) data centres.
The completion of the joint venture is contingent upon obtaining the necessary regulatory approvals, which are anticipated to be granted in the fourth quarter of 2024.
