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Summary: Equinix expanded its inventory in China.
Details: Shanghai5 has launched, which came with the acquisition of Asia Tone (some details about the demand trajectory here). It will provide 200 cabinet equivalents in the first phase with a total of 900 cabinets to be built out over three phases. Total space is 80k sqft. Power metrics were not disclosed. In Hong Kong, Equinix is expanding HK2 to bring the total capacity to 1,450 cabinets.
Angle: No surprise. Demand is strong in China and the inventory build reflects that. An interesting side note here is the fact the Chinese government has officially encouraged organizations to adopt new technologies such as cloud computing. To what extent the government understands cloud computing as outsourced infrastructure and facilities is unclear. But the details in China’s five-year plan have a lot more chance of being followed and/or implemented than similar pronouncements in other political systems. Not to overdo the point but it should help ensure demand remains steady.