December 10, 2024, KUALA LUMPUR, Malaysia – Hexa Capital Consultancy PLT (Hexa), owner of the Malaysia-U.S. (MYUS) cable based in Malaysia, and Equinix, Inc. (Nasdaq: EQIX), the world’s digital infrastructure company®, today announced the signing of a Memorandum of Understanding (MoU) to provide businesses with direct connectivity between Asia-Pacific and the United States. Connecting the MYUS cable with the Equinix International Business ExchangeTM (IBX®) data centers in Malaysia, Indonesia and the US will allow MYUS customers to directly access a vast ecosystem of hyperscalers, network and content service providers, and enterprises, fostering digital exchanges between the two market regions.
The Southeast Asia digital landscape is experiencing rapid growth and transformation, fueled by the increasing adoption of digital technologies and the rise of digital economies. With a population of over 650 million people and a thriving tech startup ecosystem, the region presents immense opportunities for business growth and innovation. However, to fully unlock the potential of this digital revolution, robust connectivity between Southeast Asia and the United States is crucial to enable the exchange of data, knowledge, and ideas, facilitating collaboration, expanding market reach, and driving economic growth.
The collaboration between Hexa and Equinix aims to allow businesses in Southeast Asia to tap into the vast resources, markets, and expertise available in the US, while also enabling US companies to access the vibrant Southeast Asian market.
The MYUS cable will connect Malaysia and the U.S. directly for the first time with high-capacity fiber optic connectivity, increasing access to reliable and affordable digital services across Southeast Asia. The cable backbone will extend between the Malaysian Peninsula near Sedili, Johor; to the U.S territory of Guam and then directly onward to Florence, Oregon. Along the path, MYUS will also connect Batam and Jakarta in Indonesia, and Davao in the Philippines. The cable is proposed to be ready for service in the second half of 2028. Subsequent future phases would extend the network to Balikpapan, Hawaii and other locations through incremental cable builds and strategic partnerships.
Equinix operates data centers in Kuala Lumpur and Johor in Malaysia; Jakarta in Indonesia, and numerous data centers in Seattle, Washington and Silicon Valley and Los Angeles, California on the West Coast of the U.S. With data centers in close proximity to the cable landing stations, MYUS customers and network service providers will be able to interconnect with the dense ecosystems of more than 10,000 companies around the world.
This new strategic collaboration between Hexa and Equinix expands global connectivity and improves internet infrastructure in the Southeast Asia region, providing the crucial link between cloud, content and digital processing workloads housed in the region’s key data centers. MYUS will enhance global digital infrastructure by strengthening international data exchange, decreasing latency, and providing robust connectivity across continents.
“The MYUS Cable is being designed specifically to provide trusted and reliable direct fiber connectivity for the very largest of global hyperscalers, cloud and content services providers as well as for major telecom carriers, it is likely that there will be a high degree congruency between MYUS Cable customers and Equinix’s largest data center customers,” noted Dr Abang Azhari Hadari, Founder & CEO of Hexa.
Today, Equinix boasts a global network of more than 60 subsea connected data centers across 35 metros. With the expertise in infrastructure and cable systems, Equinix plays a pivotal role in reducing cable landing system overhead costs and managing landing points.
Cheam Tat Inn, Managing Director, Malaysia, Equinix, commented, “At Equinix, we recognize the critical role that subsea cables play in today's interconnected global economy. We are proud to leverage our extensive expertise and experience in hosting subsea cables to support the MYUS cable project. By providing reliable and efficient connectivity solutions, we enable businesses to thrive in the digital era and unlock new opportunities in the global marketplace."
Hexa is in the process of finalizing anchor fiber pair customers, negotiating the system supply contract and closing on its full project implementation financing which is expected in 2025.
About Hexa Capital Consultancy PLT (Hexa)
Hexa Capital Consultancy PLT is a special-purpose start-up company led by a well-seasoned development team of telecom and submarine cable industry veterans for the purposes of planning, financing, constructing and operating the first high-speed undersea fiberoptic cable directly connecting Malaysia and the continental United States, called the Malaysia-U.S. (MYUS) Cable.
The Hexa Management Team includes a growing roster of Malaysia-based executives that has been established and being built upon as development progresses. External consultants and core development team members currently providing support include Boston-based T Soja & Associates, Inc. (TSA) and Stuart Florida-based Ocean Specialists, Inc. (OSI), Commercial Lead, among other leading industry experts being funded by a grant from the U.S. Trade and Development Agency (USTDA).
The Malaysia-U.S. (MYUS) Cable is a fiberoptic undersea cable network connecting Malaysia, Indonesia, and the Philippines with the United States in Guam and the Pacific Northwest of the continental U.S. with options for additional future extensions. MYUS supports Malaysia's booming green energy-powered digital economy goals. MYUS is designed as a 16 fiber pairs Open Cable system, that will have a minimum 15 Tbps per Pair, 240 Tbps total capacity, and world class system architecture, design, manufacture Installation and operation.
Sale of MYUS’s wholesale fiber pairs will be targeted to hyperscalers, cloud providers, global telcos and governments as a trusted cable network connecting trusted data center operators and their customers.
MYUS will also provide international on ramps for other ASEAN regional economies and connect with Major Regional Hubs (e.g. Guam). The MYUS Cable route avoids contested waters where permitting, construction and repairs are problematic.
Hexa expects to close on its financing for the MYUS Cable in mid-2025, at which time the System Supply Contract would come into force (CIF) and begin manufacturing and construction for a mid-2028 Ready For Service (RFS) date.
For further information, please visit www.hexamyus.com.
About Equinix
Equinix (Nasdaq: EQIX) is the world’s digital infrastructure company®. Digital leaders harness Equinix’s trusted platform to bring together and interconnect foundational infrastructure at software speed. Equinix enables organizations to access all the right places, partners and possibilities to scale with agility, speed the launch of digital services, deliver world-class experiences and multiply their value, while supporting their sustainability goals.
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, risks to our business and operating results related to the current inflationary environment; foreign currency exchange rate fluctuations; stock price fluctuations; increased costs to procure power and the general volatility in the global energy market; the challenges of acquiring, operating and constructing IBX® and xScale® data centers and developing, deploying and delivering Equinix products and solutions; unanticipated costs or difficulties relating to the integration of companies we have acquired or will acquire into Equinix; a failure to receive significant revenues 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; risks related to our taxation as a REIT; risks related to regulatory inquiries or litigation and other risks described from time to time in Equinix filings with the Securities and Exchange Commission. In particular, see recent and upcoming Equinix 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.
Hexa Media Contact
Dr Azhari Abang Hadari, CEO
drazhari@hexamyus.com
Equinix Media Contact (Asia-Pacific)
Annie Ho
annho@ap.equinix.com