Equinix, GIC to build South Korean data centers

Equinix, Inc. has signed an agreement to form a US$525 million joint venture in the form of a limited liability partnership with GIC, Singapore's sovereign wealth fund, to develop and operate two xScale data centers in Seoul, South Korea. This new joint venture will bring the global xScale data center portfolio to more than US$8 billion across 36 facilities, and an expected greater than 720 MW of power capacity when completed and fully constructed.

The two facilities under this joint venture, to be named SL2x and SL3x, are expected to provide more than 45 megawatts (MW) of power capacity to serve the unique core workload deployment needs of hyperscale companies, including the world's largest cloud service providers. With more hyperscale providers expanding in Korea to support businesses' digital infrastructure needs, the cloud computing market in the country is expected to flourish. 

Under the terms of Equinix's joint venture agreement with GIC, GIC will own an 80% equity interest in the joint venture, and Equinix will own the remaining 20% equity interest. The joint venture is expected to close in Q1 2022, pending regulatory approval and other closing conditions.