Equinix is betting big on the Southern Cone; obtains four data centers in Chile and Peru
equinix acquired four data centers in Chile and Peru, hoping its multi-cloud hybrid solutions will appeal to companies seeking digital transformation in the Southern Cone region.
Three of these data centers are located in the Chilean capital Santiago, with the others based in Lima, Peru.
Equinix (based in Redwood City, Calif.) said it paid more than $700 million for the four data centers, which could generate around $53 million in annual revenue.
The data centers serve more than 100 customers, which operate in the financial services and technology sectors, among a wide range of others.
“Latin America holds enormous potential” said Charles Meyers, President and CEO at Equinix. “Chilean, Peruvian and multinational companies are hungry for the digital infrastructure needed to thrive in today’s economy.”
All of these data centers will be powered by renewable energy, Equinix said, adding that cheaper electricity is key to data center profitability.
Equinix, which claims to have invested more than US$1.2 billion in Latin America over the past 11 years, operates similar facilities in Brazil, Colombia and Mexico.
Chile has long been at the center of Latin America’s data center industry, with most major cloud service providers running at least one facility in the country.
Cloud spending in Chile will increase by 35% between 2020 and 2024, Equinix said citing an IDC report.