New TY5 Facility to help Japan deal with Data’s Perfect Storm

Kei Furuta


As an island nation, Japan is often the target of the powerful typhoons that race across the Pacific. However, now the country is at the center of an even bigger blow – a perfect storm created by the simultaneous explosion of interest in mobile technology, cloud computing and, last but not least, big data.

Japan is very serious about dealing with data. Last year it announced it was joining forces with the European Union to redefine internet architectures to increase the efficiency of networks in carrying data. One project aims to build networks 5000 times faster than today’s average European broadband speed – 100Gbps compared to 19.7Mbps.

The online data explosion is expected to continue over the next decade. Globally, data traffic volumes doubled between early 2012 and early 2013, and are expected to grow 12-fold by 2018. Japan is now at the forefront of that curve.

Japan’s increasingly digitally-driven economy received a boost in the form of a brand new US$43 million data center being built in the middle of Tokyo by Equinix.

According to Forrester, the data center market in Japan is forecasted to reach US$14.2 billion by 2016. Dubbed TY5, the new facility will meet strong demand from a variety of info-centric industries – including financial services firms, cloud and content providers – keen to access Equinix’s data center and interconnection services.

This development follows another big step Equinix took in October, with the opening of the second phase of our Osaka data center. Known as OS1, it is a carrier-neutral data center aimed at allowing global companies to easily expand their businesses into the second largest market in Japan.

Of course, the biggest market is Tokyo. It is one of the world’s major international finance centers, and houses some of the world’s largest investment banks, trading platforms and insurance companies. That makes it very important that we provide the necessary interconnection services to meet these increasing demands.

The new TY5 data center will do just that. Customers will have direct access to Equinix’s established financial ecosystem in TY3. Cloud, content and network providers will also have the opportunity to rapidly expand their business by connecting to TY5, meeting their customers’ international and domestic connectivity needs. It will also support the ambitions of multinational companies who want to expand into the Japanese market.

Through TY5, they will be able to access over 1,000 domestic and international network providers within Platform Equinix™, including local Japanese carriers and international carriers such as Softbank, PCCW Global, BT and AT&T.

Located near Tokyo’s financial district, TY5 is also in close proximity to both the Japan Exchange and the Tokyo Commodity Exchange. Or, looking at it another way, TY5 is right next door to where over 3,400 listed companies with a total market capitalization of US$4.47 trillion do business.

Customers have welcomed the news of TY5. For example, Takashi Kobiyama, the General Manager of its Building Dept. Life Service Creation Division of Tobu Railway, is looking forward to supporting Equinix in its expansion. He believes it will contribute to the increased development in the district and bring in additional local and global businesses near the Tobu line.

That’s additional proof, if proof were needed, of Equinix’s ongoing commitment to ensuring that Japan’s escalating data capacity demands are met.


Kei Furuta
Kei Furuta Managing Director, North Asia