CME Moves Into New Data Center, Plots Electronic Growth
19 Agosto 2010 - 10:06PM
Dow Jones News
CME Group Inc. (CME) this week opened a new data center that
provides the world's largest futures exchange operator with
capacity to grow trading volume for at least a decade.
Chicago-based CME this week moved its electronic Globex trading
platform into the new facility, delivering a small boost in
execution speed. A second phase slated for early 2012 will allow
brokers and trading firms to house their own systems in the
facility, part of a broad industry trend towards co-location that
facilitates faster trades.
"Globex is a very large entity, and in the data center we were
using, we were going to run out of space at some point in time,"
said Joe Panfil, head of enterprise technology services for CME,
who has overseen construction of the data center. "The new facility
allows for a great amount of expansion as Globex grows."
Situated in Aurora, Ill., west of Chicago, the data center is
large enough to fit four football fields, and central to CME's
efforts to facilitate high-speed trading across its own derivatives
markets as well as connections to international futures exchange
platforms run by Brazil's BM&F Bovespa SA (BVMF3.BR), Mexico's
Bolsa Mexicana de Valores SAB (BOLSA.MX) and Bursa Malaysia Bhd
(1818.KU).
"It's all based around growth, both organic and the work that
we're doing with other exchanges," said Panfil.
Data centers, highly secured buildings that house high-speed
networks serving mobile phone companies, websites and other
information-intensive operations, have drawn market operators'
interest as computer-driven trading accounts for a greater
percentage of exchange activity.
NYSE Euronext (NYX) is in the process of moving trading into a
new facility in Mahwah, N.J., with a separate London-area unit due
to come online later this year.
While electronic trading firms can connect to CME and other
exchanges via data centers run by companies like Telx Group and
Equinix Inc. (EQIX), developing proprietary facilities ensures
capacity for growth. It also lets exchanges sell space to trading
firms seeking the shortest possible distance between their servers
and exchanges' trade-matching engines.
CME's data center expansion accounted for a large part of an
anticipated $180 million to $200 million in capital expenditures
this year, according to its most recent earnings report.
Co-location services, which let firms situate their trading
systems beside exchange matching engines for a fee, are expected to
come online in early 2012. CME has hired Craig Mohan, a former
executive with hedge fund operator Citadel LLC, to lead that
business.
This fall CME anticipates completing the shift of trading to the
new facility by forging a more direct pathway for customers into
the new data center, according to Panfil.
The data center's location--which CME declined to reveal--lies
near two major fiber corridors that enable fast connections to
other data centers, Panfil said. Power feeds from two separate
nuclear power plants also run nearby.
A number of environmentally friendly features were built in,
including a reflective white roof that reduces cooling costs,
according to Panfil.
-By Jacob Bunge, Dow Jones Newswires; (312) 750 4117;
jacob.bunge@dowjones.com
Grafico Azioni NYSE Group (NYSE:NYX)
Storico
Da Ago 2024 a Set 2024
Grafico Azioni NYSE Group (NYSE:NYX)
Storico
Da Set 2023 a Set 2024