Nov 5 2009
Lexent Metro Connect, the leading provider of dark fiber networks in the New York Metropolitan area, and Equinix, Inc. (Nasdaq:EQIX), a provider of global data center services, today announced that Lexent has completed its ultra low latency dark fiber connection between two Equinix International Business Exchange (IBX) data centers in Secaucus, NJ and strategic carrier hotels located in Manhattan, including 60 Hudson Street, 32 Avenue of the America, 75 Broad Street and 111 Eighth Avenue.
The new dark fiber route follows the shortest distance across the Hudson River, offering the lowest latency fiber path between Manhattan and Equinix’s NY4 and NY2 centers in Secaucus. With a route latency of less than 100 microseconds, this new link will enable global banks, financial exchanges and other enterprises, located in the 100+ Lexent on-net buildings or along the Lexent fiber optic backbone, to link with the Equinix Financial eXchange community of execution venues, buy and sell side firms, market data providers and technology utilities operating within the NY4 and NY2 centers. These companies operate at Equinix’s high performance data centers to access the widest choice of low-latency networks and to directly exchange data with strategic partners and customers in close proximity.
“By utilizing Lexent Metro Connect, the financial community operating within our NY4 and NY2 centers in Secaucus can tap into fast, high-quality dark fiber routes to securely access New York’s carrier hotels,” said John Knuff, director of business development for Equinix. “This provides them with optimized, low-latency links to New York City’s financial exchanges and other key investment buildings.”
In June, Reuters published a paper called “Addressing the low-latency challenge, Low-latency architecture as a competitive advantage,” in which David Lester, the chief information officer at the London Stock Exchange commented that “the firms that have been happy with a latency of 400 or 500 milliseconds will find that it is just not good enough going forward.” Lexent’s short fiber path specifically addresses these concerns. The network was designed to meet the requirements of the growing proximity trading community by offering an ultra-low latency route with high reliability, as the probability of physical fiber faults are decreased due to reduced exposure to potential third-party damage. These low latency connections, measured in milliseconds, translate to tens of thousands of dollars per transaction for traders.
“Latency is arguably one of the most important factors driving financial firms’ metro network decisions today,” said Ray La Chance, President and CEO of Lexent Metro Connect. “We have seen a surge in financial firms requesting private dark fiber solutions utilizing shorter optical routes, and with no mid-span equipment. In response, Lexent has built upon its core regional dark fiber footprint, removing the ‘fiber variable’ and allowing its clients to deploy latency optimized applications unparalleled by comparable carrier solutions.”