NTT to build financial data centre in Hong Kong
15 September 2011 | Kavit Majithia
NTT Communications has announced a plan to build its first financial data centre in Hong Kong, through its NTT Com Asia subsidiary.
The TKO data centre is expected to provide the company with the critical infrastructure required to position the company as a global financial centre and secure a position in the ICT space. The new data hub will ultimately be designed to provide low latency routes for financial institutions that use electronic trading tools.
High frequency trading now accounts for up to 70% of turnover in US equity markets according to press reports, said Takanobu Maeda, president and CEO at NTT Com Asia. “Following this trend, Asian hedge funds, investment banks and other institutional investors are enhancing their IT infrastructure and adapting trading strategies to stay competitive in a trading environment where every microsecond counts.”
Due to launch in 2013, the 30,000 square metre facility will co-locate NTT’s Asia Submarine Cable Express (ASE) and the network node of its global network to provide connectivity in the Hong Kong, Singapore and Tokyo. The connection is expected to extend further to the US, through PC-1, the undersea cable route connecting Japan and the US.
“Hong Kong has significant advantages to be the prime location for data centres in the Asia Pacific region", added Elizabeth Tse, permanent secretary for commerce and economic development for the Hong Kong government. “Our institutional and geographical advantages, including proximity to the Mainland, business-friendly environment, sound protection of data privacy, reliable power supply, comprehensive telecommunications infrastructure, sophisticated submarine and overland cable systems for international communications, and low risk of natural disasters, put us in good stead.”
NTT’s investment in Hong Kong comes after rival Asian carrier Pacnet constructed a new Data Landing Station in the region last week.
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