FOSTER CITY, Calif.--(BUSINESS WIRE)--Aug. 2, 2004--Equinix, Inc. (Nasdaq:EQIX), the leading provider of network-neutral data centers and Internet exchange services, today announced that Tellme Networks is utilizing the Equinix Direct service available at Equinix Internet Business Exchange centers. The Equinix Direct service enables companies to quickly, easily and flexibly purchase bandwidth across a variety of network service providers.

Equinix Direct is the first and only service enabling buyers and sellers of Internet network connectivity to quickly, easily and cost-effectively establish business relationships with each other. Bandwidth purchasers can use the service to diversify their IP connections to any number of network service providers in order to reduce connectivity costs and to achieve more reliable performance through the "network insurance" of a redundant connectivity infrastructure.

"Equinix's neutral business model provides an open marketplace where companies can connect with a variety of network service providers," said Jonathan DiOrio, director of business development of Tellme Networks. "The Equinix Direct product enabled Tellme to streamline the direct peering process in both a short timeframe and cost-effective manner."

Tellme Networks is fundamentally improving how people and businesses use the phone by blending the capabilities of the Internet with voice technology. The company operates the world's largest IP application network for the phone, handling calls for enterprise customer service, national directory assistance and new consumer communication services.

"Equinix's multi-network environment serves as an ideal aggregation point for companies such as Tellme to connect with strategic networking partners," said Peter Van Camp, CEO of Equinix. "These companies benefit from direct connectivity within the same facility by lowering the risk of downtime while reducing overall connectivity costs."

Currently, more than 30 enterprises and content companies, including Hallmark.com, Adobe, Shutterfly, Macromedia, Hotwire and ExpertCity use Equinix Direct. The more than 20 bandwidth providers currently on the service include America Online, Level (3), Cox Communications, Global Crossing, BIG PIPE (a division of Shaw Communications), and Teleglobe.

Equinix Direct enables enterprises and content companies that have become increasingly dependent upon their network infrastructure for business operations to easily integrate a multi-network connectivity strategy that ensures the redundancy needed in the event of a failure to a primary provider. By leveraging a more efficient buyer-seller relationship within the same physical location, Equinix Direct allows bandwidth buyers to overcome previous challenges to establishing relationships with multiple networks, such as costly and prohibitive long-term contracts and monthly usage minimums, expensive local loops with lengthy provisioning times, the installation of complex router configurations for each network service provider, and the administrative and technical requirements of establishing these relationships. With the ability to select from multiple service providers in a competitive marketplace, Equinix Direct enables bandwidth buyers to reduce network expenditures by between 40 to 50 percent of the cost to establish independent relationships with three or more network service providers, based on current market rates for bandwidth.

About Equinix

Equinix is the leading global provider of network-neutral data centers and Internet exchange services for enterprises, content companies, systems integrators and network services providers. Through the company's 14 Internet Business Exchange(TM) (IBX(R)) centers in five countries, customers can directly interconnect with every major global network and ISP for their critical peering, transit and traffic exchange requirements. These interconnection points facilitate the highest performance and growth of the Internet by serving as neutral and open marketplaces for Internet infrastructure services, allowing customers to expand their businesses while reducing costs.

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 operating IBX centers and developing, deploying and delivering Equinix services; competition from existing and new competitors; the ability to generate sufficient cash flow or otherwise obtain funds to repay 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.

Equinix and IBX are registered trademarks of Equinix, Inc. Internet Business Exchange is a trademark of Equinix, Inc.

CONTACT: K/F Communications, Inc. (for Equinix)
David Fonkalsrud, 415-255-6506
dave@kfcomm.com
SOURCE: Equinix, Inc.