Equinix

In nineteen ninety-eight, the internet was decentralized. Server farms existed in every region. Traffic between regions required expensive connections. Equinix built neutral colocation facilities. Companies could install servers in the same building and rent space. Direct connections cost nothing. Traffic stayed local. Bandwidth costs collapsed immediately. Equinix owns data centers where companies colocate servers. Customers pay for floor space, electricity, cooling. Once installed, moving servers requires physical migration and network reconfiguration. The process takes weeks and costs hundreds of thousands. Switching becomes expensive. Retention exceeds ninety-five percent. Stickiness becomes extraordinary over time. By twenty twenty-three, Equinix operated data centers globally and generated revenue exceeding eight billion dollars.