Equinix and GIC Form $1 Billion Venture for European Hyperscale Data Centers
Equinix partners with Singapore's GIC to launch a $1 billion joint venture building massive data centers across Europe for top cloud providers.
Equinix and Singapore's sovereign wealth fund GIC form a $1 billion joint venture to build hyperscale data centers in Europe. The partnership targets the world's largest cloud service providers rather than the traditional wholesale market. GIC holds an 80% stake in the new venture, while Equinix retains the remaining 20%.
The deal involves converting existing Equinix facilities in London and Paris into new xScale centers, with additional locations planned in Amsterdam, Frankfurt, and London. Once completed, these six centers provide a combined capacity of 155 megawatts. The new facilities sit on or near Equinix's existing International Business Exchange campuses to maximize customer access points.
These specialized xScale data centers offer interconnection and edge services engineered specifically for the needs of hyperscale companies like AWS, Google Cloud, and Microsoft Azure. Equinix reports that hyperscale cloud deployments currently generate over $500 million in annual revenue for the company. Executives state that this joint venture structure allows Equinix to extend its cloud leadership and plan similar partnerships in other regions.