Equinix has purchased Mexican telecom firm Axtel’s three data centers with 115,000 square feet of server space for US$175 million.
The three facilities made US$21 million in annual revenue last year, according to the company’s statement.
The acquisition expands Equinix footprint significantly in Latin America, increasing the company’s investment in the regional data centers to in excess of US$500 million.
Axtel’s data centers are serving businesses in Mexico City and Monterrey metro area.
Of the three data centers, two are located in Querétaro, and both are carrier-neutral facilities with multiple, diverse fiber entry points.
In addition, one of the Querétaro facilities is the first data center in Latin America with an energy cogeneration system. Equinix says this data center can be expanded to make room for 60,000 square feet of colocation space.
The Monterrey area facility is a highly connected data center offering a key connectivity gateway between the U.S. and Mexico. It features 25,000 gross square feet of data center space with 12,500 square feet of colocation space. It is a carrier-neutral facility with 10 network service providers.
“This acquisition, when combined with the previous acquisitions of key traffic hubs in Dallas (Infomart) and Miami (NAP of the Americas), will further strengthen Equinix’s global platform by increasing interconnection between North, Central and South America,” the company stated.
Jon Lin, Equinix’s President for Americas, says a large number of businesses in Mexico are undergoing digital transformation, stoking demand for interconnection and data center services.