January 15, 2008
Biznet Improves Internet Performance and Broadband Experience for Indonesian Enterprise and Residential Customers with Switch and Data PAIXÂ® Peering
TAMPA, Fla. - January 15, 2008 - Switch and Data (NASDAQ: SDXC), a leading provider of Internet exchange and colocation services, today announced that premium Indonesian broadband Internet service provider (ISP) Biznet has entered the company's Palo Alto data center to set up public and private peering agreements to improve Internet performance for its Indonesian enterprise and residential customers. Peering is the voluntary interconnection of administratively separate Internet networks for the purpose of exchanging traffic between the customers of each network. Peering is crucial to the operation of the Internet.
Biznet says it is the first Indonesian operator to set up direct peering in the United States. This will reduce transit time between the countries and accelerate the performance of U.S. and other global websites in Indonesia. This is important due to the explosive growth of Web 2.0 with its bandwidth intensive websites for social networking, rich digital content, and business software applications. The company expects that its network performance advantage versus its competitors will support its premium positioning in the Indonesian ISP market.
Switch Data's Palo Alto site and its PAIX® Internet exchange will be the main interconnection point for all of Biznet's traffic to and from North America. PAIX® was one of the world's first commercial Internet exchanges and is one of the most densely interconnected peering points in the world. PAIX® is the key hub for peering traffic between the North America and the Asia Pacific region. Switch and Data supports the interconnection requirements of regional specialists by providing the broadest footprint of facilities in key North American communications hub markets such as Dallas, Seattle, San Francisco, Chicago, Miami, New York, Buffalo and Toronto.
"Switch and Data's Palo Alto data center and PAIX® exchange gives us access to most of the leading U.S. and international ISPs, voice over IP carriers, and content providers. It will be our main Internet exchange point for all IP traffic between Indonesia and North America," said Adi Kusma, President Director for Biznet. "Indonesian customer demand for U.S.-based content is very high and Biznet, as the first Indonesian operator with direct peering in the U.S. market, expects to create a competitive advantage by offering faster network performance between the geographies."
Biznet, which operates a global IP network, will not only utilize PAIX®'s high density of networks to reduce latency and improve performance, but also to lower and in some cases eliminate IP transit costs. Biznet's access to the U.S. enables it to establish new transit agreements in the U.S. where rates are lower than those found in Indonesia, further enhancing its enterprise and residential broadband Internet services, including data (IP), voice (VoIP) and television (IPTV).
"We're excited that Biznet, one of Indonesia's leading ISPs, has chosen us as its gateway to North America." said Ernie Sampera, Chief Marketing Officer for Switch and Data. "Our Palo Alto facility serves as the leading hub for the rapidly growing volume of IP traffic between North America and the Asia-Pacific region. It is a good example of the way our sites in key geographic hubs interconnect global networks and improve the exchange of IP traffic worldwide."
Indonesia is the world's fourth most populous country. Its population of 235 million created a gross domestic product (GDP) of about one trillion U.S. dollars in 2006 and its GDP is growing at a rate of 5.5% per year. Indonesia has about 20 million Internet users, which is equivalent to about 9% of the population, and Internet usage is estimated to have grown by about 25% from 2005 to 2006.
About Switch and Data
Switch and Data is a leading provider of Internet exchange and colocation services. Based in Tampa, Florida, Switch and Data operates one of the largest footprints of neutral Internet exchange and colocation facilities in North America serving more than 880 customers. Switch and Data's PAIX® is recognized worldwide as the premier name in peering and Internet exchange services and is home to one of the largest commercial exchange points in North America. For more information, please visit www.switchanddata.com.
Biznet is one of the leading Network Access Providers in Indonesia delivering Metro Ethernet and Metro FTTH (Fiber To The Home) services, Internet related services and Data Center facilities that works with businesses whose daily operations rely on premium connectivity, providing Fiber Optic network access, a complete range of cutting-edge wired and wireless Internet related services, including disaster recovery facility and managed services under a secure and monitored environment to deliver an around-the-clock availability of IT mission critical operations. Biznet aims to be the dominant provider of Metro Ethernet and FTTH operator in Indonesia. More information can be found at www.biz.net.id or www.biznetnetworks.com.
Forward Looking Statements
This press release contains forward-looking statements that involve risks and uncertainties. Actual results may differ materially from expectations discussed in such forward-looking statements. Factors that might cause such differences include, but are not limited to, the challenges of acquiring, operating and constructing IBX centers and developing, deploying and delivering Equinix services; unanticipated costs or difficulties relating to the integration of companies we have acquired or will acquire into Equinix; a failure to receive significant revenue from customers in recently built out or acquired data centers; failure to complete any financing arrangements contemplated from time to time; competition from existing and new competitors; the ability to generate sufficient cash flow or otherwise obtain funds to repay new or outstanding indebtedness; the loss or decline in business from our key customers; and other risks described from time to time in Equinix's filings with the Securities and Exchange Commission. In particular, see Equinix's recent quarterly and annual reports filed with the Securities and Exchange Commission, copies of which are available upon request from Equinix. Equinix does not assume any obligation to update the forward-looking information contained in this press release.
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