Data centre operator Equinix has opened its third facility in Perth, a US$72 million investment into the Western Australian capital’s emerging role as a digital gateway between Australia, Asia-Pacific and the Middle East.
The opening of a third date centre in Perth – it is the operator’s 18th in Australia – comes just two weeks after Equinix’s second facility in the city was chosen as the connection point here for the Oman Australia Cable, which is due to be completed next year. Equinix also operates the connection at the other end of the 9800-kilometre sub-sea cable system, through a facility at Muscat.
Perth has carved out a strategic position in the national internet infrastructure through its proximity to Southeast Asia and direct connections abroad through sub-sea cables. It is shaping as a rival to Sydney for offshore connection, given its low “latency” or faster connection to Singapore and soon the Middle East.
“The West Australian market has experienced substantial growth driven by the acceleration of digital transformation across industries,” said Guy Danskine, managing director for Equinix Australia.
“With continued investment in sub-sea cables, Perth is becoming a key gateway for digital expansion and collaboration into Asia-Pacific and the Middle East, enabling our customers and partners to expand into new regions, countries and metros around the world.”
Already growing quickly, the expansion of the data centre sector has accelerated over the past two years, with rising demand for data centre storage through the use of streaming services, e-commerce and cloud computing.
Homegrown operators including Macquarie-backed AirTrunk and ASX-listed NextDC are busy building new data centres in Australia, as are global players such as Equinix itself and Digital Realty.
Last month AirTrunk outlined multibillion-dollar plans to create a Sydney facility that would be the Asia-Pacific region’s largest data centre campus outside China, while Microsoft lodged plans for a $1.3 billion data centre at Kemps Creek in Sydney’s west.
Perth’s own digital transformation has been strongly backed by the state government, which has committed $500 million to upgrade the state’s digital infrastructure over the next four years.