China Telecom Selects Equinix Internet Hub for U.S. Operations.

Business Editors/High-Tech Writers

FOSTER CITY, Calif.--(BUSINESS WIRE)--Aug. 25, 2003

China-Based Carrier to Utilize Equinix's Neutral Environment and Exchange Services to Grow Operations and Exchange Data Traffic with an

Aggregation of Networks

Equinix, Inc. (Nasdaq:EQIX), the leading provider of network-neutral data centers and Internet exchange services, today announced that China Telecom Corporation, a large state-owned operator of domestic and international fixed line networks and infrastructure in China, will establish a U.S. interconnection hub within Equinix's Washington, D.C. area Internet Business Exchange(TM) (IBX(R)) center. As a part of the agreement, China Telecom will have direct access to the carriers and ISPs serving more than 90% of the Internet's networks and users, and it will be able to offer China Telecom's transit services to other IBX participants.

By operating within Equinix's network-rich Internet hub, China Telecom will leverage access to the important carriers, ISPs and content providers with which it exchanges data. By reaching all of these partners within a single, centralized and neutral environment rather than by establishing multiple point-to-point communications with partners in many different locations, China Telecom can rapidly expand its operations and peering relationships on the U.S. continent while reducing costs.

In addition, China Telecom will be able to sell its global network services to the rich, diverse customer base participating at Equinix Internet hubs. China Telecom will be offering a suite of international telecommunications services, including layer-2 connectivity to China through a Virtual Private Network (VPN) infrastructure.

"U.S. and international networks of all sizes are finding that Equinix's network-rich Internet hubs offer an ideal environment to exchange data traffic with a strategic and critical mass of Internet infrastructure companies," said Margie Backaus, chief business officer of Equinix. "By operating within an Equinix IBX center, China Telecom can leverage this one-stop opportunity to buy and sell services from the widest aggregation of companies."

China Telecom Corporation is a large state-owned enterprise in China with 21 businesses at the provincial level, operating domestic and international fixed line networks and infrastructure. Services include network-based voice, data, video, multimedia and information services, international telecom services, systems integration, and technology development.

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.

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

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.