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Tencent Expands Internationally with Equinix

China's leading content provider enhances and extends delivery of services via Platform Equinix in Hong Kong

Equinix, Inc. (Nasdaq: EQIX), the global interconnection and data center company, today announced that Tencent, China's leading content provider, has deployed in Equinix's Hong Kong data center, with plans for future expansion in additional markets globally. The deployment will enable Tencent to expand the availability of its Internet services internationally while delivering high-performance services and applications to its users globally.

China's GDP has maintained an average annual growth rate of approximately 10.2 percent since 2006, far outstripping growth in most Western economies.” Asian companies invested almost three trillion dollars in international expansion from 2003 to 2011 with 90 percent of Asian companies remaining strongly committed to expansion, according to 2013 research from Accenture.

Tencent is one of China's largest and most widely used Internet service portals, delivering leading Internet platforms such as QQ, WeChat, qq.com, Qzone and Tenpay. WeChat, an instant messaging app, is the latest service to have been made available by the company and has just surpassed over 100 million users outside of China in August 2013.

As content consumption increases globally – largely driven by the rising use of mobile devices to access services and information – this poses a significant opportunity for content companies to expand outside of China. Global mobile data traffic growth is projected to increase 13 times from 2012 to 2017, reaching 11.2 exabytes per month, with APAC set to generate 47 percent of all mobile data traffic by 2017. However, to successfully handle large amounts of data, content providers need to have the right IT infrastructure in place to meet this ongoing trend.

Through the deployment in Equinix's International Business Exchange™ (IBX®) data center in Hong Kong, Tencent has access to Equinix's carrier-dense ecosystem of more than 950 network providers globally, giving the company the freedom to choose the best provider to fit its needs and expand services outside of China rapidly and cost effectively. Access to multiple networks, as well as the ability to peer with members of the Equinix Internet Exchange (EIE), means Tencent can optimize transit routes to achieve lower latency and deliver improved application performance to end users.

Home to over 4,400 customers including 500 content and media companies, Platform Equinix™ allows Tencent to interconnect with a large marketplace for revenue- generating opportunities. Equinix's existing customers will also be able to connect their IT infrastructure directly to Tencent's services.

Samuel Lee, president, Equinix Asia-Pacific: "With the international demand of Tencent's services, it is critical that it has the necessary connectivity options and infrastructure to support its growth around the world. Through Equinix's global footprint in Hong Kong, we are committed to helping Tencent realize its expansion goals. The deployment will provide Tencent with industry-leading colocation services, the broadest interconnection options to the world's top networks and access to an increasing number of large enterprises and expanding ecosystems of providers, enabling Tencent to accelerate growth and the delivery of its services to more users overseas."