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What changed in Equinix's 10-K — 2024 vs 2025

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Paragraph-level year-over-year comparison of Equinix's 2024 and 2025 10-K annual filings, covering the Business, Risk Factors, Legal Proceedings, Cybersecurity, MD&A and Market Risk sections. Every new, removed and edited paragraph is highlighted side-by-side so you can see exactly what management changed in the 2025 report.

+486 added−569 removedSource: 10-K (2026-02-11) vs 10-K (2025-02-12)

Top changes in Equinix's 2025 10-K

486 paragraphs added · 569 removed · 370 edited across 8 sections

Item 1. Business

Business — how the company describes what it does

60 edited+28 added−34 removed25 unchanged
Biggest changeEPA Energy Star for Data Centers. We disclose these and other site-level details about our data centers on our sustainability website. Year Total Gross sq. ft. (million) (1) Area of Eligible Portfolio with Green Building Rating (million sq. ft.) (2) Eligible Portfolio with Green Building Rating (%) Global Total through 2024 32.6 31.3 95.9% U.S.
Biggest changeWithin the U.S., we had 10.8 million gross sq. ft., or 100% of our footprint, under certification, including 1.8 million gross sq. ft., or 16.6% of U.S. footprint, having achieved U.S. EPA Energy Star for Data Centers. We disclose these and other site-level details about our data centers on our sustainability website. Year Total Gross sq. ft.
As the foundation of Platform Equinix’s interconnection capability, Equinix Fabric also enables customers to quickly and easily connect between the physical and virtual digital infrastructures they have deployed in Equinix data centers globally. • Equinix Fabric Cloud Router makes it easy to connect applications and data across different clouds.
As the foundation of Equinix’s interconnection capability, Equinix Fabric also enables customers to quickly and easily connect between the physical and virtual digital infrastructures they have deployed in Equinix data centers globally. • Equinix Fabric Cloud Router makes it easy to connect applications and data across different clouds.
In addition, we maintain a confidential ethics helpline where employees are encouraged to speak up if they have any questions or concerns that our code of conduct is being violated. We have a zero-tolerance, non-retaliation policy that protects our employees when they speak up.
In addition, we maintain a confidential ethics helpline where employees are encouraged to speak up if they have any questions or concerns that our Code of Business Conduct is being violated. We have a zero-tolerance, non-retaliation policy that protects our employees when they speak up.
Using Equinix IBX data center technicians, Smart Hands allows customers to manage their Platform Equinix data center operations from anywhere in the world. • Equinix Smart Build ("ESB") provides customers with an easy way to accelerate and simplify world-class data center deployments with expert support.
Using Equinix IBX data center technicians, Smart Hands allows customers to manage their data center operations from anywhere in the world. • Equinix Smart Build ("ESB") provides customers with an easy way to accelerate and simplify world-class data center deployments with expert support.
We are required to file reports under the Securities Exchange Act of 1934, as amended, with the Securities and Exchange Commission ("SEC"). The SEC maintains an internet website at http://www.sec.gov that contains reports, proxy and information statements and other information.
We are required to file reports under the Securities Exchange Act of 1934, as amended, with the Securities and Exchange Commission ("SEC"). The SEC maintains an internet website at www.sec.gov that contains reports, proxy and information statements and other information.
As of December 31, 2024, approximately 71% of our workforce identified as men, 28% identified as women and less than 1% declined to identify. Equinix remains steadfast in its commitment to create a thriving workplace where we foster belonging for all— where every one of our colleagues is valued and respected for who they are and what they contribute.
As of December 31, 2025, approximately 71% of our workforce identified as men, 28% identified as women and less than 1% declined to identify. Equinix remains steadfast in its commitment to create a thriving workplace where we foster belonging for all— where every one of our colleagues is valued and respected for who they are and what they contribute.
Our footprint consists of 268 data centers worldwide: • IBX Data Centers are our carrier-neutral colocation data centers, providing our customers with the secure, reliable and robust environments (including space and power) necessary to aggregate and distribute information and connect digital and business ecosystems globally.
Our footprint consists of 280 data centers worldwide, including: • IBX Data Centers are our carrier-neutral colocation data centers, providing our customers with the secure, reliable and robust environments (including space and power) necessary to aggregate and distribute information and connect digital and business ecosystems globally.
This shift is being accelerated by the increasing adoption of hybrid multi-cloud architectures and the adoption of AI. Historically, the outsourcing market was served by large telecommunications carriers that bundled their products and services with their colocation offerings.
This shift is being accelerated by the proliferation of hybrid multi-cloud architectures and the adoption of AI. Historically, the outsourcing market was served by large telecommunications carriers that bundled their products and services with their colocation offerings.
These solutions include both on-consumption and subscription services that may generate MRR as well as non-recurring revenue ("NRR"). 8 Table of Contents • Equinix Smart View ® is a fully integrated monitoring software that provides customers visibility into the operating data relevant to their specific Equinix footprint as if they were in-house.
These solutions include both on-consumption and subscription services that may generate MRR as well as non-recurring revenue ("NRR"). • Equinix Smart View ® is a fully integrated monitoring software that provides customers visibility into the operating data relevant to their specific Equinix footprint as if they were in-house.
Each grade has a specific pay range informed by benchmarking against the external market in the country in which the role is located. This global framework is also used to determine target levels for annual bonuses and long-term incentives. We strive to update annually our global market data where information is available.
Each grade has a specific pay range informed by benchmarking against the external market in the country in which the role is located. This global 9 Table of Contents framework is also used to determine target levels for annual bonuses and long-term incentives. We strive to update annually our global market data where information is available.
These offerings are typically billed based on the space and power a customer consumes in our IBX data centers, are delivered under a fixed duration contract and generate monthly recurring revenue ("MRR"). • Private Cages are typically designed and built to order for a single customer, with space assigned based on purchased power allocations and planned cabinet quantity.
These offerings are typically billed based on the space and power a customer consumes in our IBX data centers, are delivered under a fixed duration contract and generate monthly recurring revenue ("MRR"). 6 Table of Contents • Private Cages are typically designed and built to order for a single customer, with space assigned based on purchased power allocations and planned cabinet quantity.
Equinix operates a rigorous governance framework to manage pay and other compensation elements to ensure that all reward decisions are made equitably and without discrimination or bias. All roles are mapped and graded to one consistent global organizational framework.
Equinix operates a rigorous governance framework to manage pay and other compensation elements to ensure that all reward decisions are fair and without discrimination or bias. All roles are mapped and graded to one consistent global organizational framework.
Fabric Cloud Router also reduces networking costs, lowers cloud egress charges and enables elastic bandwidth consumption so customers pay for only what they need. • Equinix Cross Connects provide a point-to-point cable link between two Equinix customers in the same data center.
Fabric Cloud Router also reduces networking costs, lowers cloud egress charges and enables elastic bandwidth consumption so customers pay for only what they need. 7 Table of Contents • Equinix Cross Connects provide a point-to-point cable link between two Equinix customers in the same data center.
No one customer made up 10% or more of our total business revenues for the year ended December 31, 2024. 10 Table of Contents The following companies represent some of our leading customers and partners: We serve our customers with a direct sales force and channel marketing program.
No one customer made up 10% or more of our total business revenues for the year ended December 31, 2025. The following companies represent some of our leading customers and partners: We serve our customers with a direct sales force and channel marketing program.
On Platform Equinix, businesses can reach the most strategic markets with scalable, navigable infrastructure that blends physical and virtual options on our one-of-a-kind global ecosystem. We enable competitive advantage for our customers and partners by creating the foundational infrastructure capabilities that harness innovation and create value.
At Equinix, businesses can reach strategic markets with scalable, manageable infrastructure that blends physical and virtual options on our one-of-a-kind global ecosystem. We enable competitive advantage for our customers and partners by creating the foundational infrastructure capabilities that harness innovation and create value.
Customers Our customers include telecommunications carriers, mobile and other network services providers, cloud and IT services providers, digital media and content providers, financial services companies, and global enterprise ecosystems in various industries.
Customers Our customers include telecommunications carriers, mobile and other network services providers, cloud and IT services providers, digital media and content providers, financial services companies, and global enterprise 8 Table of Contents ecosystems in various industries.
The following are the leading revenue-generating products and other offerings that collectively make up Platform Equinix: Infrastructure Offerings Equinix infrastructure offerings include a suite of comprehensive solutions that provide all the components required by a customer to house its IT infrastructure or equipment. These offerings are designed to speed and streamline data center deployments for our customers.
The following are Equinix's primary revenue-generating products and other offerings: Infrastructure Offerings Equinix infrastructure offerings include a suite of comprehensive solutions that provide all the components required by a customer to house its IT infrastructure or equipment. These offerings are designed to speed and streamline data center deployments for our customers.
In contrast, our U.S. portfolio has 22 LEED-certified data centers or 46.7% of the U.S. portfolio by gross square footage. 14 Table of Contents Our Business Segment Financial Information We currently operate in three reportable segments comprised of our Americas, EMEA and Asia-Pacific geographic regions.
In contrast, our U.S. portfolio has 24 LEED-certified data centers or 48.2% of the U.S. portfolio by gross square footage. 12 Table of Contents Our Business Segment Financial Information We currently operate in three reportable segments comprised of our Americas, EMEA and Asia-Pacific geographic regions.
Equinix was incorporated on June 22, 1998 as a Delaware corporation and operates as a REIT for federal income tax purposes. Al Avery and Jay Adelson founded Equinix as a network-neutral, multi-tenant data center ("MTDC") provider, where competing networks could connect and share data traffic to help scale the rapid growth of the early internet.
Equinix was incorporated on June 22, 1998 as a Delaware corporation and operates as a REIT for federal income tax purposes. Since our inception, Equinix has been a network-neutral, multi-tenant data center ("MTDC") provider, where competing networks could connect and share data traffic to help scale the rapid growth of the early internet.
We provide each company with access to a choice of business partners and solutions based on their colocation, interconnection and managed IT service needs, and we delivered 99.999%+ operational uptime across our global data centers in the previous fiscal year. As of December 31, 2024, we had over 10,000 customers worldwide.
We provide each company with access to a choice of business partners and solutions based on their colocation, interconnection and managed IT service needs, and we delivered 99.9999%+ operational uptime across our global data centers during the year ended December 31, 2025. As of December 31, 2025, we had over 10,500 customers worldwide.
As of December 31, 2024, we have executed 25 PPAs in 10 countries, which brings our total portfolio to 1,289 MW of new wind and solar capacity in Australia, Finland, France, India, Italy, Portugal, Singapore, Spain, Sweden, and the United States.
As of December 31, 2025, we have executed 29 PPAs in 12 countries, which brings our total portfolio to 1,472 MW of new wind and solar capacity in Australia, Brazil, Finland, France, India, Italy, Japan, Portugal, Singapore, Spain, Sweden, and the United States.
Available in 60+ markets, Internet Access allows scalable bandwidth to meet growing usage needs, empowering businesses to innovate in the digital age. • Fiber Connect provides dark fiber links between customers and partners between multiple Equinix data centers.
Available in 60+ markets, Internet Access allows scalable bandwidth to meet growing usage needs, empowering businesses to innovate in the digital age. • Fiber Connect provides dark fiber links between customers and partners between multiple Equinix data centers. Fiber Connect enables fast, convenient and affordable integration with partners, customers and service providers across the global Equinix digital ecosystem.
(2) Like-for-like computed for stabilized asset list for the overlapping list of sites designated as stabilized in 2022 and 2023. (3) Equinix procures renewable energy to cover for the entire electricity consumption of sites. (4) Recently constructed or acquired sites for which no utility data is available are excluded, including LM1, ST1, ST2, ST3, ST4, AB1, AC1, LG1, LG2, PA10.
(2) Like-for-like computed for stabilized asset list for the overlapping list of sites designated as stabilized in 2023 and 2024. (3) Equinix procures renewable energy to cover for the entire electricity consumption of sites. (4) Recently constructed or acquired sites for which no utility data is available are excluded.
Reseller sites are also excluded in the energy metrics (DA99, OS99, SH1). (5) 2022 portfolio coverage excludes xScale TM sites: DB5x, SY9x. (6) Recently constructed or acquired sites for which no utility data is available are excluded. These include BG2, DC16, NY3, JH1, KL1, MB4, SL4, TY15, FR13, IL4, JN1, MD6.
These include BG2, DC16, FR13, IL4, JH1, JN1, KL1, MB4, MD6, NY3, SL4 and TY15. Reseller sites are also excluded in both the gross floor area and the energy metrics (DA99, OS99, SH1). (5) 2023 portfolio coverage excludes xScale sites: DB6x, FR9x, OS4x, SL2x, SV12x. (6) Recently constructed or acquired sites for which no utility data is available are excluded.
Competition While a large number of enterprises and service providers, such as hyperscale cloud service providers, own their own data centers, we believe the industry is shifting away from single-tenant solutions to customers outsourcing some or all of their IT housing and interconnection requirements to third-party facilities, such as those operated by Equinix.
Competitive Landscape While a large number of enterprises and service providers, such as hyperscale cloud service providers, own their own data centers, we believe enterprises are shifting away from single-tenant solutions toward those that enable customers to outsource some or all of their IT infrastructure and interconnection requirements to third-party facilities, such as those operated by Equinix.
We promote these high standards through a number of policies including the Equinix Code of Business Conduct. All employees are required to complete training in ethics and the company’s anti-bribery and corruption policies.
We believe our commitment to the highest standards of honesty, integrity and ethical behavior differentiates our business as much as our technology. We promote these high standards through a number of policies including the Equinix Code of Business Conduct. All employees are required to complete training in ethics and the company’s anti-bribery and corruption policies.
Human Capital As of December 31, 2024, we had 13,606 employees worldwide with 5,952 based in the Americas, 4,653 based in EMEA and 3,001 based in Asia-Pacific. Of those employees, 43% of employees were in engineering and operations, 15% of employees were in sales and marketing and 42% of employees were in management, finance and administration.
Human Capital As of December 31, 2025, we had 13,716 employees worldwide with 5,917 based in the Americas, 4,706 based in EMEA and 3,093 based in Asia-Pacific. Of those employees, 44% of employees were in engineering and operations, 14% of employees were in sales and marketing and 42% of employees were in management, finance and administration.
Additionally, as AI and cloud innovations fuel workload demands for hyperscale infrastructure and optimization across enterprises, our scalable, neutral, global platform offers one-of-a-kind solutions to the most pressing digital challenges in today’s market. Our platform enables customers to bring together physical and programmable technologies like compute, storage, network and applications to build the foundation for their company's digital success.
Our scalable, neutral, global platform offers one-of-a-kind solutions to the most pressing digital challenges customers face. Our platform enables customers to bring together physical and programmable technologies like compute, storage, network, AI and applications to build the foundation for their company's digital success.
You may also obtain copies of our annual reports on Form 10-K, our quarterly reports on Form 10-Q and our current reports on Form 8-K, and any amendments to such reports, free of charge by visiting the Investor Relations page on our website, www.equinix.com. These reports are available as soon as reasonably practical after we file them with the SEC.
You may also obtain copies of our annual reports on Form 10-K, our quarterly reports on Form 10-Q and our current reports on Form 8-K, including exhibits, and any amendments to such reports, free of charge by visiting the Investor Relations page on our website, www.equinix.com.
Platform Equinix combines a global footprint of International Business Exchange TM (IBX ® ) and xScale ® data centers in the Americas, Asia-Pacific, and Europe, the Middle East and Africa ("EMEA") regions, infrastructure and interconnection offerings, unique business and digital ecosystems and expert consulting and support.
Equinix combines a global footprint of International Business Exchange TM (IBX ® ) and xScale TM data centers in the Americas, Asia-Pacific, and Europe, the Middle East and Africa ("EMEA") regions, infrastructure and interconnection offerings, and digital ecosystems required to serve a large and diverse set of customers around the world.
Equinix is differentiated in this market by offering customers a global platform that reaches over 30 countries and contains the industry’s largest and most active ecosystem of partners in our sites, including access to a leading share of cloud on-ramps and an increasingly diverse ecosystem of networks and cloud and IT service providers.
Our global platform reaches 36 countries and connects the industry’s largest and most active ecosystem of partners across our sites, including access to a leading share of cloud on-ramps and an increasingly diverse ecosystem of networks and cloud and IT service providers.
Fiber Connect enables fast, convenient and affordable integration with partners, customers and 9 Table of Contents service providers across the global Equinix digital ecosystem. It supports highly reliable, extremely low-latency communication, system integration and data exchange. • Metro Connect ® provides direct, dedicated, carrier-grade network links between customers in one IBX and partners in another IBX within the same metro.
It supports highly reliable, extremely low-latency communication, system integration and data exchange. • Metro Connect ® provides direct, dedicated, carrier-grade network links between customers in one IBX and partners in another IBX within the same metro.
Calendar year data for 2024 will become available in Q2 2025 and will be published in our annual Corporate Sustainability Report located on our corporate website. 13 Table of Contents Energy Management: Energy Consumption Year Energy Consumption Data as a % of Floor Area Total Energy Consumed by Portfolio Area with Data Coverage (MWh) (1) Like-for-Like Change in Energy Consumption of Portfolio Area with Data Coverage (MWh) (2) Grid Electricity Consumption as a % of Energy Consumption Energy Consumption from Renewable Sources (MWh) (3) Renewable Energy as a % of Energy Consumption Like-for-Like Change in Energy Consumption from Renewable Sources of Portfolio Area with Data Coverage (MWh) (2) (3) Renewable Energy as a % of Electricity Consumption 2022 (4)(5) 96.3% 7,820,000 29.1% 94.2% 6,995,000 90% 32.1% 91% 2023 (6)(7) 92.2% 8,217,000 4.9% 94.7% 7,770,000 95% 5.2% 96% (1) The scope of energy includes energy used onsite and energy procured.
Energy Management: Energy Consumption Year Energy Consumption Data as a % of Floor Area Total Energy Consumed by Portfolio Area with Data Coverage (MWh) (1) Like-for-Like Change in Energy Consumption of Portfolio Area with Data Coverage (MWh) (2) Grid Electricity Consumption as a % of Energy Consumption Energy Consumption from Renewable Sources (MWh) (3) Renewable Energy as a % of Energy Consumption Like-for-Like Change in Energy Consumption from Renewable Sources as a % of Portfolio Area with Data Coverage (2) (3) Renewable Energy as a % of Electricity Consumption 2023 (4)(5) 92.2% 8,217,000 4.9% 94.7% 7,770,000 95% 5.2% 96% 2024 (6)(7) 99.6% 8,868,053 13% 92.7% 8,229,552 92.8% 13.3% 96% (1) The scope of energy includes energy used onsite and energy procured.
This ecosystem creates a network effect, which improves performance and lowers the cost for our customers, enabling them to innovate and fast-track their digital success. This is a significant source of competitive advantage for Equinix.
This ecosystem creates a network effect that improves performance and lowers the cost for our customers, enabling them to innovate and fast-track digital transformation. This is a significant source of competitive advantage for Equinix—particularly as AI and cloud innovations fuel workload demands for hyperscale infrastructure and optimization across enterprises.
In 2023, Equinix started reporting on its Water Usage Effectiveness ("WUE") annually. Sustainability Accounting Standards Board ("SASB") Disclosures The following metrics are aligned with SASB Real Estate Standard version 2023-06 and represent the performance of our colocation facilities in the calendar years specified.
We also introduced Customer Water Reports ("CWRs") that provide allocated water withdrawal and Water Usage Effectiveness ("WUE") metrics for every Equinix site that uses water for cooling. Sustainability Accounting Standards Board ("SASB") Disclosures The following metrics are aligned with SASB Real Estate Standard version 2023-06 and represent the performance of our facilities in the calendar years specified.
We offer a comprehensive, integrated suite of infrastructure and interconnection solutions and products to over 10,000 enterprise and service provider customers worldwide. 7 Table of Contents Our global, state-of-the-art data centers meet strict standards of security, reliability, certification and sustainability.
We offer a comprehensive, integrated suite of infrastructure and interconnection solutions, with global, state-of-the-art data centers which meet strict standards of security, reliability, certification and sustainability.
Through both virtual and in-person connection, and in collaboration with the business and their local communities, these volunteer leaders create opportunities to support Wellbeing, Sustainability, and Community engagement. Across our EECNs and WeAreEquinix teams, we currently have 853 volunteer leaders who are working on strengthening community and belonging for our workforce.
As of 2025, we have 44 global WeAreEquinix teams, led by employee volunteers, who are empowered to create and promote belonging in locations across the world. Through both virtual and in-person connection, and in collaboration with the business and their local communities, these volunteer leaders create opportunities to support Wellbeing, Sustainability, and Community engagement.
(2) As of December 2024, ten sites received Energy Star for Data Centers recognition, representing 16.1% of our U.S. portfolio.
Environmental Protection Agency Energy Star for Data Centers, BCA Green Mark, NABERS and Green Globes. (2) As of December 2025, ten sites received Energy Star for Data Centers recognition, representing 16.6% of our U.S. portfolio.
As of 2023, we have achieved a 24% absolute reduction in operational GHG emissions from a 2019 baseline year (Scope 1 and Scope 2 market-based metric tons of carbon dioxide-equivalent ("mtCO2e")), even as the company increased its electricity consumption by 43% over the same period.
As of 2024, we have achieved a 10% absolute reduction in operational GHG emissions from a 2019 baseline year (Scope 1 and Scope 2 market-based metric tons of carbon dioxide-equivalent ("mtCO2e")), despite significant business growth.
Our employee engagement efforts differentiate Equinix's culture and accelerate our competitive advantage as they lead to more inclusive and high performing teams, higher employee satisfaction and overall organizational innovation and success. In 2024, employee satisfaction scores resulted in an average score of 81 for Equinix, followed by our average belonging score of 83 and average well-being score of 86.
We believe our employee engagement efforts differentiate Equinix's culture and accelerate our competitive advantage as they lead to more inclusive and high performing teams, higher employee satisfaction and overall organizational innovation and success.
The data center market landscape has evolved to include private and carrier-neutral multi-tenant data centers, public and private cloud providers, managed infrastructure and application hosting providers, large hyperscale cloud providers and systems integrators. It is estimated that Equinix is one of more than 2,400 companies that provide MTDC offerings around the world. The global MTDC market is highly fragmented.
The data center market landscape has since evolved to include private and carrier-neutral multi-tenant data centers, public and private cloud providers, managed infrastructure and application hosting providers, large hyperscale cloud providers and systems integrators.
Since the launch of the Equinix Foundation in 2022, we have continued to focus on the advancement of digital inclusion— from access to technology and connectivity to the skills needed to thrive in today's digitally-driven world. We believe our commitment to the highest standards of honesty, integrity and ethical behavior differentiates our business as much as our technology.
In 2025, our employees volunteered over 54,400 hours, representing an increase of approximately 45% year-over-year. Since the launch of the Equinix Foundation in 2022, we have continued to focus on the advancement of digital inclusion—from access to technology and connectivity to the skills needed to thrive in today's digitally-driven world.
The Equinix global platform, and the quality of our offerings, have enabled us to establish a critical mass of customers. As more customers choose Platform Equinix for bandwidth cost and performance reasons, it benefits their suppliers and business partners to colocate in the same data centers and connect directly with each other.
As more customers choose Equinix for high connectivity and performance reliability at the metro edge, it benefits their suppliers and business partners to colocate in the same data centers and connect directly with each other.
Information contained on or accessible through our website is not part of this Annual Report on Form 10-K. 15 Table of Contents
These reports are available as soon as reasonably practical after we file them with the SEC. Information contained on or accessible through our website is not part of this Annual Report on Form 10-K. 13 Table of Contents
Our data centers are planned holistically to incorporate the needs of our customers and communities, while minimizing the use of natural resources in our operations. Our Energy Efficiency Center of Excellence is driving a global approach to improving operational efficiency across our IBX locations from lighting and airflow management to efficient cooling innovations.
Energy Management: Green Building Ratings Our data centers are designed with high operational excellence standards and energy efficiency in mind and are planned holistically to incorporate the needs of our customers and communities, while minimizing the use of natural resources in our operations.
The program also engages customers to manage their implementations more sustainably at our facilities, leading to overall improved site efficiencies. We certify our data centers to green buildings and energy management certifications and schemes. These include USGBC LEED green buildings certifications, ISO 14001:2015 Environmental Management Standard, ISO 50001:2011 Energy Management Standard, BCA Green Mark, U.S.
We aim to have our data centers certified to green buildings and energy management certifications and schemes. These include USGBC LEED green buildings certifications, ISO 14001:2015 Environmental Management Standard, ISO 50001:2011 Energy Management Standard, BCA Green Mark, U.S. EPA Energy Star for Data Centers and others.
Our Employee Connection 11 Table of Contents Networks ("EECNs") are a strategic cornerstone of our inclusive culture, fostering a sense of belonging that drives engagement and business impact. Open to all employees, our nine EECNs are designed to provide meaningful learning opportunities, raise awareness of diverse perspectives, and strengthen connections across the organization.
Open to all employees, our nine EECNs are designed to provide meaningful learning opportunities, raise awareness of diverse perspectives, and strengthen connections across the organization. We recognize that creating the best workplace and culture requires a global effort with localized approaches.
The Equinix Foundation and Equinix Community Impact program promote connection and belonging by enabling employees to give back through volunteer services, donations and more, to the communities in which we work and live. In 2024, our employees volunteered over 37,500 hours, representing an increase of approximately 50% year-over-year.
Across our EECNs and WeAreEquinix teams, we currently have 800+ volunteer leaders who are working on strengthening community and belonging for our workforce. The Equinix Foundation and Equinix Community Impact program promote connection and belonging by enabling employees to give back through volunteer services, donations and more, to the communities in which we work and live.
We are committed to creating a workplace that allows individuals to contribute their unique strengths, share their varied perspectives, and grow their skills leading to meaningful and fulfilling careers. Sustainability At Equinix, our Future First sustainability strategy rallies our people and partners to envision a better future and then do what it takes to make it happen.
We are committed to creating a workplace that allows individuals to contribute their unique strengths, share their varied perspectives, and grow their skills leading to meaningful and fulfilling careers. Sustainability We believe in a future where technology drives sustainable growth and transformative social impact.
Energy, renewable energy and GHG emissions are independently assured to ISO 14064-3:2019 Standards for the quantification and reporting of GHG emissions (Scope 1, 2 and 3).
Energy, renewable energy, and GHG emissions are independently assured to ISO 14064-3:2019 Standards for the quantification and reporting of GHG emissions 11 Table of Contents (Scope 1, 2 and 3). Calendar year data for 2025 will become available in Q2 2026 and will be published in our annual Sustainability Report located on our corporate website.
In 2023, 96% of our global electricity consumption, and 100% of U.S. and European electricity consumption, was covered by renewable energy sources. We are committed to measuring and reporting our global Greenhouse Gas ("GHG") footprint across direct ("Scope 1"), indirect energy ("Scope 2") and indirect value chain ("Scope 3") emission.
We track our progress towards our goals by measuring and reporting our global Greenhouse Gas ("GHG") footprint across direct ("Scope 1"), indirect energy ("Scope 2") and indirect value chain ("Scope 3") emissions.
Reseller sites are also excluded in both the gross floor area and the energy metrics (DA99, OS99, SH1). (7) 2023 portfolio coverage excludes xScale TM sites: DB6x, FR9x, OS4x, SL2x, SV12x. Energy Management: Green Building Ratings Our data centers are designed with high operational excellence standards and energy efficiency in mind.
These include JN1, MB4 and SA1. Reseller sites are also excluded in both the gross floor area and the energy metrics (DA99, OS99, SH1). (7) 2024 portfolio coverage excludes xScale sites: FR9x.
Total through 2024 11.1 11.1 1.8 (Energy Star) 100% 16.1% (Energy Star) (1) Ratings included in our totals: ISO 50001 Energy Management, ISO 14001 Environmental Management, LEED green buildings certifications, U.S. Environmental Protection Agency Energy Star for Data Centers, BCA Green Mark, NABERS and Green Globes.
(million) (1) Area of Eligible Portfolio with Green Building Rating (million sq. ft.) (2) Eligible Portfolio with Green Building Rating (%) Global Total through 2025 32.8 32.4 98.7% U.S. Total through 2025 10.8 10.8 1.8 (Energy Star) 100% 16.6% (Energy Star) (1) Ratings included in our totals: ISO 50001 Energy Management, ISO 14001 Environmental Management, LEED green buildings certifications, U.S.
We continue to progress on our sustainability goals and look to build a business and world that reflects our purpose to bring the world together on our platform to create innovations that will enrich our work, life and planet. We document our sustainability progress in our Annual Report and in our annual Corporate Sustainability Report located on our corporate website.
We continue to progress on our sustainability strategy and look to build a business and world that reflects our vision to enable innovations that enrich our work, life and planet. Our sustainability program earned notable recognition in 2025, including achieving the EcoVadis Gold Medal for the first time.
We are continuing our work to embed climate change risk management into our business where relevant. 12 Table of Contents Environmental Performance Equinix was the first data center company to set a long-term goal of 100% clean and renewable energy coverage across our global portfolio of IBXs.
In parallel, we continue to expand renewable energy coverage across our portfolio. Equinix was the first data center company to set a goal of 100% clean and renewable energy coverage across our portfolio. In 2024, 96% of our global electricity consumption, and 100% of U.S. and European electricity consumption, was covered by renewable energy sources.
Over two and a half decades later, we have expanded upon that vision to build Platform Equinix ® , which we believe is unmatched in scale and reach. Our data centers around the world allow our customers to bring together and interconnect the infrastructure they need to fast-track their digital advantage.
Twenty-seven years later, we have expanded upon that vision by connecting economies, countries, enterprises and communities with seamless digital experiences, including cutting-edge artificial intelligence ("AI"). Our data centers around the world allow our customers to bring together and interconnect the infrastructure they need to seamlessly operate their business.
With Equinix, they can scale with agility, accelerate the launch of digital offerings, deliver world-class experiences and multiply their value. We enable them to differentiate by distributing infrastructure and removing the distance between clouds, users and applications in order to reduce latency and deliver a superior customer, partner and employee experience.
With Equinix, they can scale with speed and agility, accelerate the launch of new digital offerings while safeguarding data, and implement AI applications at scale to achieve business success. We enable customers to simplify their digital infrastructure, ensure interoperability across platforms, and maximize speed, efficiency and security to deliver superior customer, partner and employee experiences.
ITEM 1. Business Overview: Enabling Innovation for the Digital World Equinix (Nasdaq: EQIX) is the world's digital infrastructure company ® . Digital leaders harness our trusted platform to bring together and interconnect the foundational infrastructure that powers their success. Equinix enables organizations to access all the right places, partners and possibilities they need to accelerate their advantage.
ITEM 1. Business Overview: Enabling Innovation for the Digital World Equinix (Nasdaq: EQIX) is the world's digital infrastructure company, shortening the path to boundless connectivity anywhere in the world to enable the innovations that enrich our work, life and planet.
This adjacency creates a network effect that attracts new customers, continuously enhances our existing customers' value and enables them to capture further economic and performance benefits from our offerings. 5 Table of Contents In 2024, we opened 16 new data centers, inclusive of new xScale sites via our joint ventures.
This adjacency creates a network effect that attracts new customers while continuously enhancing our value proposition to existing customers and enabling them to capture further economic and performance benefits from our offerings. Our Competitive Advantage The digital economy continues to accelerate as AI, data-intensive workloads, and ecosystem-based business models reshape how industries operate.
Developing and retaining talent is vital to our continued success and in 2024, we focused on leadership development, starting with our VP+ leaders, by offering programs that feature external experts to speak on topics ranging from strategic alignment, team leadership, and industry relevant topics.
Also, through employee-led collaborations, Equinix is building long-term relationships with local schools to raise awareness of data center careers and provide ongoing opportunities for student engagement, learning and mentorship. Lastly, we continue to focus on leadership development by offering programs that feature external experts to speak on topics ranging from strategic alignment, team management, and industry relevant topics.
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Our new data center openings included sites in the following metros: Barcelona, Istanbul, Johannesburg, Johor, Kuala Lumpur, Madrid, Mumbai, New York, Osaka, Paris, Rio de Janeiro, Seoul, Silicon Valley, Tokyo and Warsaw. When including an additional data center which opened in February 2025, this results in an increase in our total number of data center facilities to 268.
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Organizations continue to shift from siloed digital adoption toward interconnected systems where data, digital services, and workflows flow smoothly across partners and platforms. Equinix is uniquely positioned to capture the increasing demand for these infrastructure solutions.
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Additional 2024 highlights include: • In April, we sold the Silicon Valley 12 (“SV12”) data center site in connection with the formation of a new joint venture ("JV") to develop and operate the first xScale data center in the U.S.
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Trends reinforcing our leading market position include: • Scaled global presence: As the world becomes increasingly digital across geographies, organizations will need to partner and collaborate with an infrastructure provider that can satisfy their requirements in a globally consistent manner. Our extensive global footprint spans 280 data centers, in 77 markets in 36 countries.
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The facility will be built out in two phases and is expected to provide more than 28 MW of power capacity when completed. • In July, we announced our entry into the Philippines with the planned acquisition of three data centers in Manila for a stated purchase price of $180 million, subject to certain adjustments.
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Data sovereignty, security and latency requirements are increasing, requiring a distributed and local metro footprint. This further positions us as a global trusted vendor to our current and prospective customers. 5 Table of Contents • The requirement of hybrid architectures: Industries are moving from linear value chains to hybrid digital ecosystems.
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The transaction is expected to close in the first half of 2025, subject to customary closing conditions, and is expected to add more than 1,000 cabinets of capacity.
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Service providers supply cloud and AI infrastructure, services across payments, cybersecurity and other domains, and industry-specific platforms and applications, while enterprise consumers assemble these capabilities into operational stacks that drive innovation and scale. These comprehensive solutions require a hybrid of enterprise-owned infrastructure combined with networking to a diverse set of service providers.
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This follows our recent expansions into Indonesia and Malaysia, enabling us to help businesses expand and capitalize on the digital opportunity of the fast-growing Southeast Asia region. • In October, we entered into an agreement to form a joint venture to develop and operate data centers in the Americas region, subject to regulatory approval and other closing conditions which were satisfied on October 30, 2024.
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With over 10,500 customers, including 2,000+ network service providers and a leading market share of cloud-on ramps, our position is unmatched in the industry. • The interconnection imperative: Growing digital complexity and real-time operational demands require secure, low-latency private interconnection across clouds, networks, partners, and data sources.
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With the $15.0 billion of capital expected to be raised through this joint venture, we expect to accelerate xScale deployment in the U.S., eventually adding more than 1.5 gigawatts of new capacity for hyperscale customers. • In November, we announced plans to build our sixth data center in Singapore.
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Critical workflows—including digital payments, supply chain telemetry, smart manufacturing, telemedicine, and AI inference—depend on high-performance connectivity. Interconnection has become essential for resiliency, regulatory compliance, and collaboration across increasingly distributed digital ecosystems.
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This new high performance data center will feature a design built to efficiently compute intensive workloads like artificial intelligence ("AI"), supported by capabilities such as advanced liquid cooling. Expected to open in Q1 2027, the 9-story facility was awarded as part of Singapore's pilot Data Centre - Call for Application and will provide 20MW of power capacity when fully built.
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Over our 27-year history, we have curated a diverse, industry-leading ecosystem of more than 500,000 interconnections. • AI as a catalyst for ecosystem acceleration: AI adoption is increasing the need for distributed, interconnected digital infrastructure. Training, inference, and model coordination require dense data exchange across cloud and edge environments.
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Industry Trends: The rise of intelligent ecosystems The digital economy is advancing rapidly, driven by exponential data growth, ecosystem collaboration and edge-to-cloud innovations. Interconnected networks are transforming business operations and enabling organizations to scale, innovate and thrive.
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AI-driven use cases—spanning fraud detection, predictive maintenance, connected mobility, personalized retail, energy optimization and agentic connectivity—depend on secure, low-latency pathways. As AI integrates into mission-critical workflows, multi-directional, low-latency connectivity becomes essential.
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Emerging trends shaping this landscape include: • The digital shift: Industries are becoming smarter, faster and more adaptable as AI enhances decision-making and automates tasks. Businesses are shifting from traditional, siloed models to interconnected ecosystems, where collaboration and seamless integration of services drive value at scale.
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Equinix has curated a leading AI ecosystem of model providers, data platforms, neoclouds and gateways to serve the AI requirements of enterprises. • Sustainability, resource efficiency and intelligent infrastructure management: Rising digital demand—driven by AI, cloud growth, and global data proliferation—is heightening expectations for environmental accountability.
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Digital-first strategies are empowering businesses to transition from static product offerings to dynamic, outcome-based services, harnessing real-time data and ecosystem interconnections as competitive advantages. • The interconnection imperative: This digital shift is fostering collaboration and data sharing, forming tightly connected networks of businesses and partners.
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Digital value networks support more efficient operations through innovations in high-density compute, AI-optimized cooling, grid-interactive systems, renewable integration, and telemetry-driven management. Intelligent infrastructure is becoming critical to meeting sustainability goals while supporting expanding digital workloads. Equinix Business Proposition In 2025, we continued to build new offerings to further our mission to make digital infrastructure more powerful, accessible and sustainable.

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Item 1A. Risk Factors

Risk Factors — what could go wrong, per management

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Biggest changeOur international operations are generally subject to a number of additional risks, including: • the costs of customizing IBX data centers for foreign countries; • protectionist laws and business practices favoring local competition; • greater difficulty or delay in accounts receivable collection; • difficulties in staffing and managing foreign operations, including negotiating with foreign labor unions or workers' councils; • difficulties in managing across cultures and in foreign languages; • political and economic instability; • fluctuations in currency exchange rates; • difficulties in repatriating funds from certain countries; • our ability to obtain, transfer or maintain licenses required by governmental entities with respect to our business; • unexpected changes in regulatory, tax and political environments; • difficulties in procuring power; • trade wars; • changes in the government and public administration in emerging markets that may impact the stability of foreign investment policies; • our ability to secure and maintain the necessary physical and telecommunications infrastructure; • compliance with anti-bribery and corruption laws; • compliance with economic and trade sanctions enforced by the Office of Foreign Assets Control of the U.S.
Biggest changeUndertaking and managing expansions in foreign jurisdictions may present unanticipated challenges to us. 28 Table of Contents Our international operations are generally subject to a number of additional risks, including: • the costs of customizing IBX data centers for foreign countries; • protectionist laws and business practices favoring local competition; • greater difficulty or delay in accounts receivable collection; • difficulties in staffing and managing foreign operations, including negotiating with foreign labor unions or workers' councils; • difficulties in managing across cultures and in foreign languages; • political and economic instability; • difficulties in managing varying business standards and construction speeds across markets; • fluctuations in currency exchange rates; • exposure to hyperinflation related to expansion into developing countries; • difficulties in repatriating funds from certain countries; • our ability to obtain, transfer or maintain licenses required by governmental entities with respect to our business; • difficulties in procuring power and/or in obtaining stable sources of power; • our ability to secure and maintain the necessary physical and telecommunications infrastructure; • unexpected changes in political environments and government relations including trade wars; • changes in the government and public administration in emerging markets that may impact the stability of foreign investment policies; • compliance with anti-bribery and corruption laws; • compliance with economic and trade sanctions enforced by the Office of Foreign Assets Control of the U.S.
Sales or issuances of shares of our common stock may adversely affect the market price of our common stock. Future sales or issuances of common stock or other equity related securities may adversely affect the market price of our common stock, including any shares of our common stock issued to finance capital expenditures, finance acquisitions or repay debt.
Future sales or issuances of common stock or other equity related securities may adversely affect the market price of our common stock, including any shares of our common stock issued to finance capital expenditures, finance acquisitions or repay debt.
Regulations such as the US Cyber Incident Reporting for Critical Infrastructure Act of 2022 (“CIRCIA 2022”), the SEC Cybersecurity Disclosure Rule, the EU Network and Information Security Directive No.2 (“NIS 2”), the EU Digital Operational Resilience Act (“DORA”), and Australia’s Security of Critical Infrastructure Act 2018 make it mandatory for Equinix to comply with more stringent requirements related to cybersecurity, controls on data storage and cross border data transfer and operational resilience, more so, in countries where our entities and/or IBXs are designated as critical information or critical national infrastructure.
Regulations such as the US Cyber Incident Reporting for Critical Infrastructure Act of 2022 (“CIRCIA 2022”), the SEC Cybersecurity Disclosure Rule, the EU Network and Information Security Directive No.2 (“NIS 2”), the EU Digital Operational Resilience Act (“DORA”), and Australia’s Security of Critical Infrastructure Act 2018 make it mandatory for Equinix to comply with more stringent requirements related to cybersecurity, data privacy, controls on data storage and cross border data transfer and operational resilience, more so, in countries where our entities and/or IBXs are designated as critical information or critical national infrastructure.
Acquisitions expose us to potential risks, including: • the possible disruption of our ongoing business and diversion of management's attention by acquisition, transition and integration activities, particularly when multiple acquisitions and integrations are occurring at the same time or when we are entering an emerging market with a higher risk profile; • our potential inability to successfully pursue or realize some or all of the anticipated revenue opportunities associated with an acquisition or investment; • the possibility that we may not be able to successfully integrate acquired businesses, or businesses in which we invest, or achieve anticipated operating efficiencies or cost savings; • the possibility that announced acquisitions may not be completed, due to failure to satisfy the conditions to closing as a result of: • an injunction, law or order that makes unlawful the consummation of the acquisition; • inaccuracy or breach of the representations and warranties of, or the non-compliance with covenants by, either party; • the nonreceipt of closing documents; or • for other reasons; • the possibility that there could be a delay in the completion of an acquisition, which could, among other things, result in additional transaction costs, loss of revenue or other adverse effects resulting from such uncertainty; • the possibility that our projections about the success of an acquisition could be inaccurate and any such inaccuracies could have a material adverse effect on our financial projections; • the dilution of our existing stockholders as a result of our issuing stock as consideration in a transaction or selling stock in order to fund the transaction; • the possibility of customer dissatisfaction if we are unable to achieve levels of quality and stability on par with past practices; • the possibility that we will be unable to retain relationships with key customers, landlords and/or suppliers of the acquired businesses, some of which may terminate their contracts with the acquired business as a result of the acquisition or which may attempt to negotiate changes in their current or future business relationships with us; • the possibility that we could lose key employees from the acquired businesses; • the possibility that we may be unable to integrate certain IT systems that do not meet Equinix's standard requirements with respect to security, privacy or any other standard; • the potential deterioration in our ability to access credit markets due to increased leverage; • the possibility that our customers may not accept either the existing equipment infrastructure or the "look-and-feel" of a new or different IBX data center; 29 Table of Contents • the possibility that additional capital expenditures may be required or that transaction expenses associated with acquisitions may be higher than anticipated; • the possibility that required financing to fund an acquisition may not be available on acceptable terms or at all; • the possibility that we may be unable to obtain required approvals from governmental authorities under antitrust and competition laws on a timely basis or at all, which could, among other things, delay or prevent us from completing an acquisition, limit our ability to realize the expected financial or strategic benefits of an acquisition or have other adverse effects on our current business and operations; • the possible loss or reduction in value of acquired businesses; • the possibility that future acquisitions may present new complexities in deal structure, related complex accounting and coordination with new partners, particularly in light of our desire to maintain our qualification for taxation as a REIT; • the possibility that we may not be able to prepare and issue our financial statements and other public filings in a timely and accurate manner, and/or maintain an effective control environment, due to the strain on the finance organization when multiple acquisitions and integrations are occurring at the same time; • the possibility that future acquisitions may trigger property tax reassessments resulting in a substantial increase to our property taxes beyond that which we anticipated; • the possibility that future acquisitions may be in geographies and regulatory environments to which we are unaccustomed and we may become subject to complex requirements and risks with which we have limited experience; • the possibility that future acquisitions may appear less attractive due to fluctuations in foreign currency rates; • the possibility that carriers may find it cost-prohibitive or impractical to bring fiber and networks into a new IBX data center; • the possibility of litigation or other claims in connection with, or as a result of, an acquisition, or inherited from the acquired company, including claims from terminated employees, customers, former stockholders or other third parties; • the possibility that asset divestments may be required in order to obtain regulatory clearance for a transaction; • the possibility of pre-existing undisclosed liabilities, including, but not limited to, lease or landlord related liability, tax liability, environmental liability or asbestos liability, for which insurance coverage may be insufficient or unavailable, or other issues not discovered in the diligence process; • the possibility that we receive limited or incorrect information about the acquired business in the diligence process; and • the possibility that we do not have full visibility into customer agreements and customer termination rights during the diligence process which could expose us to additional liabilities after completing the acquisition.
Acquisitions expose us to potential risks, including but not limited to: • the possible disruption of our ongoing business and diversion of management's attention by acquisition, transition and integration activities, particularly when multiple acquisitions and integrations are occurring at the same time or when we are entering an emerging market with a higher risk profile; • our potential inability to successfully pursue or realize some or all of the anticipated revenue opportunities associated with an acquisition or investment; • the possibility that we may not be able to successfully integrate acquired businesses, or businesses in which we invest, or achieve anticipated operating efficiencies or cost savings; • the possibility that announced acquisitions may not be completed, due to failure to satisfy the conditions to closing as a result of: • an injunction, law or order that makes unlawful the consummation of the acquisition; • inaccuracy or breach of the representations and warranties of, or the non-compliance with covenants by, either party; • the nonreceipt of closing documents; or • for other reasons; • the possibility that there could be a delay in the completion of an acquisition, which could, among other things, result in additional transaction costs, loss of revenue or other adverse effects resulting from such uncertainty; • the possibility that our projections about the success of an acquisition could be inaccurate and any such inaccuracies could have a material adverse effect on our financial projections; • the dilution of our existing stockholders as a result of our issuing stock as consideration in a transaction or selling stock in order to fund the transaction; • the possibility of customer dissatisfaction if we are unable to achieve levels of quality and stability on par with past practices; • the possibility that we will be unable to retain relationships with key customers, landlords and/or suppliers of the acquired businesses, some of which may terminate their contracts with the acquired business as a result of the acquisition or which may attempt to negotiate changes in their current or future business relationships with us; • the possibility that we could lose key employees from the acquired businesses; • the possibility that we may be unable to integrate certain IT systems for any reason including because they do not meet Equinix's standard requirements with respect to security, privacy or any other standard; • the potential deterioration in our ability to access credit markets due to increased leverage; • the possibility that our customers may not accept either the existing equipment infrastructure or the "look-and-feel" of a new or different IBX data center; • the possibility that additional capital expenditures may be required or that transaction expenses associated with acquisitions may be higher than anticipated; • the possibility that required financing to fund an acquisition may not be available on acceptable terms or at all; • the possibility that we may be unable to obtain required approvals from governmental authorities under antitrust and competition laws on a timely basis or at all, which could, among other things, delay or prevent 26 Table of Contents us from completing an acquisition, limit our ability to realize the expected financial or strategic benefits of an acquisition or have other adverse effects on our current business and operations; • the possible loss or reduction in value of acquired businesses; • the possibility that future acquisitions may present new complexities in deal structure, related complex accounting and coordination with new partners, particularly in light of our desire to maintain our qualification for taxation as a REIT; • the possibility that we may not be able to prepare and issue our financial statements and other public filings in a timely and accurate manner, and/or maintain an effective control environment, due to the strain on the finance organization when multiple acquisitions and integrations are occurring at the same time; • the possibility that future acquisitions may trigger property tax reassessments resulting in a substantial increase to our property taxes beyond that which we anticipated; • the possibility that future acquisitions may be in geographies and regulatory environments to which we are unaccustomed and we may become subject to complex requirements and expose us to risks with which we have limited experience; • the possibility that future acquisitions may appear less attractive due to fluctuations in foreign currency rates; • the possibility that carriers may find it cost-prohibitive or impractical to bring fiber and networks into a new IBX data center; • the possibility of litigation or other claims in connection with, or as a result of, an acquisition, or inherited from the acquired company, including claims from terminated employees, customers, former stockholders or other third parties; • the possibility that asset divestments may be required in order to obtain regulatory clearance for a transaction; • the possibility of pre-existing undisclosed liabilities, including, but not limited to, lease or landlord related liability, tax liability, environmental liability or asbestos liability, for which insurance coverage may be insufficient or unavailable, or other issues not discovered in the diligence process; • the possibility that we receive limited or incorrect information about the acquired business in the diligence process; and • the possibility that we do not have full visibility into customer agreements and customer termination rights during the diligence process which could expose us to additional liabilities after completing the acquisition.
We may be subject to additional risks, including: • we may not have the right to exercise sole decision-making authority regarding the properties, partnership, joint venture or other entity; • if our partners become bankrupt or fail to fund their share of required capital contributions, we may choose to or be required to contribute such capital or be otherwise adversely impacted; • our partners may have economic, tax or other business interests or goals which are inconsistent with our business interests or goals, and may be in a position to take actions contrary to our policies or objectives; • our joint venture partners may take actions that are not within our control, which could require us to dispose of the joint venture asset, transfer it to a taxable REIT subsidiary ("TRS") in order to maintain our qualification for taxation as a REIT, or purchase the partner's interests or assets at an above-market price; • our joint venture partners may take actions unrelated to our business agreement but which reflect poorly on us because of our joint venture relationship; • disputes between us and our partners may result in litigation or arbitration that would increase our expenses and prevent our management from focusing their time and effort on our day-to-day business; • we may in certain circumstances be liable for the actions of our third-party partners or guarantee all or a portion of the joint venture's liabilities, which may require us to pay an amount greater than its investment in the joint venture; • we may fail to maintain the complex tax structure of the joint ventures and, as a result, become liable for additional tax liabilities of the joint ventures; • our joint venture partner may have contractual exit rights under certain circumstances, and may force us to buy them out on terms and timing unfavorable to us; • we may need to change the structure of an established joint venture or create new complex structures to meet our business needs or the needs of our partners which could prove challenging; and • a joint venture partner's decision to exit the joint venture may not be at an opportune time for us or in our business interests.
We may be subject to additional risks, including: • we may not have the right to exercise sole decision-making authority regarding the properties, partnership, joint venture or other entity; • our joint venture structures may come with complex governance obligations that may be challenging to meet; • if our partners become bankrupt or fail to fund their share of required capital contributions, we may choose to or be required to contribute such capital or be otherwise adversely impacted; • our partners may have economic, tax or other business interests or goals which are inconsistent with our business interests or goals, and may be in a position to take actions contrary to our policies or objectives; • our joint venture partners may take actions that are not within our control, which could require us to dispose of the joint venture asset, transfer it to a taxable REIT subsidiary ("TRS") in order to maintain our qualification for taxation as a REIT, or purchase the partner's interests or assets at an above-market price; • our joint venture partners may take actions unrelated to our business agreement but which reflect poorly on us because of our joint venture relationship; • disputes between us and our partners may result in litigation or arbitration that would increase our expenses and prevent our management from focusing their time and effort on our day-to-day business; • we may in certain circumstances be liable for the actions of our third-party partners or guarantee all or a portion of the joint venture's liabilities, which may require us to pay an amount greater than its investment in the joint venture; • we may fail to maintain the complex tax structure of the joint ventures and, as a result, become liable for additional tax liabilities of the joint ventures; • our joint venture partner may have contractual exit rights under certain circumstances, and may force us to buy them out on terms and timing unfavorable to us; • we may need to change the structure of an established joint venture or create new complex structures to meet our business needs or the needs of our partners which could prove challenging; and • a joint venture partner's decision to exit the joint venture may not be at an opportune time for us or in our business interests.
As a result, we may need to adapt our key revenue-generating offerings and pricing to be competitive in those markets. If the establishment of highly diverse internet connectivity to our IBX data centers does not occur, is materially delayed or is discontinued, or is subject to failure, our results of operations and financial condition will be adversely affected.
As a result, we may need to adapt our key revenue-generating offerings and pricing to be competitive in those markets. If the establishment of highly diverse internet connectivity to our IBX data centers does not occur, is materially delayed, disrupted or is discontinued, or is subject to failure, our results of operations and financial condition will be adversely affected.
In particular, on March 20, 2024, a short seller report was published about us, which contained certain allegations related to components of our operating results and other strategic matters. As a result, the Audit Committee of our Board of Directors commenced an independent investigation to review the matters referenced in the report.
On March 20, 2024, a short seller report was published about us, which contained certain allegations related to components of our operating results and other strategic matters. As a result, the Audit Committee of our Board of Directors commenced an independent investigation to review the matters referenced in the report.
We may need to expend significant attention, time and resources to correct problems or find alternative sources for performing these functions. All of these changes to our financial systems also create an increased risk of deficiencies in our internal controls over financial reporting until such systems are stabilized.
We may need to expend significant attention, time and resources to correct problems or find alternative sources for performing these functions. Changes to our financial systems also create an increased risk of deficiencies in our internal controls over financial reporting until such systems are stabilized.
Certain of these laws and regulations also impose joint and several liability, without regard to fault, for investigation and cleanup costs on current and former owners and operators of real property and persons who have disposed of or released hazardous substances into the environment.
Certain of these laws and regulations also impose joint and several liability, without regard to fault, for investigation and cleanup costs on current and former owners and operators of real property and persons who have arranged for, disposed of or released hazardous substances into the environment.
Any such difficulties or disruptions may adversely affect our business and results of operations. The level of insurance coverage that we purchase may prove to be inadequate. We carry liability, property, business interruption and other insurance policies to cover insurable risks to our company.
Any such difficulties or disruptions may adversely affect our business, our culture and our results of operations. The level of insurance coverage that we purchase may prove to be inadequate. We carry liability, property, business interruption and other insurance policies to cover insurable risks to our company.
Further, if we cannot effectively manage the challenges associated with our international operations and expansion plans, we could experience a delay in our expansion projects or a failure to grow. Expansion challenges and international operations failures could also materially damage our reputation, our brand, our business and results of operations.
If we cannot effectively manage the challenges associated with our international operations and expansion plans, we could experience a delay in our expansion projects or a failure to grow. Expansion challenges and international operations failures could also materially damage our reputation, our brand, our business and results of operations.
Additionally, laws and regulations related to economic sanctions, export controls, anti-bribery and anti-corruption, and other international activities may restrict or limit our ability to engage in transactions or dealings with certain counterparties, in or with certain countries or territories, or in certain activities.
Laws and regulations related to economic sanctions, export controls, anti-bribery and anti-corruption, and other international activities may restrict or limit our ability to engage in transactions or dealings with certain counterparties, in or with certain countries or territories, or in certain activities.
Additional or unexpected disruptions to our supply chain, including in the event of any sustained regional escalation of the current conflict in the Middle East in the area around the Red Sea or more broadly, or inflationary pressures could significantly affect the cost of our planned expansion projects and interfere with our ability to meet commitments to customers who have contracted for space in new IBX data centers under construction.
Any additional or unexpected disruptions to our supply chain, including in the event of any sustained regional escalation of the current conflict in the Middle East in the area around the Red Sea or more broadly, or inflationary pressures could significantly affect the cost and delivery timing of our planned expansion projects and interfere with our ability to meet commitments to customers who have contracted for space in new IBX data centers under construction.
Our results of operations may fluctuate. We have experienced fluctuations in our results of operations on a quarterly and annual basis. The fluctuations in our results of operations may cause the market price of our common stock to be volatile.
We have experienced fluctuations in our results of operations on a quarterly and annual basis. The fluctuations in our results of operations may cause the market price of our common stock to be volatile.
At some of our locations, there are land use restrictions in place relating to earlier environmental cleanups that do not materially limit our use of the sites.
At some of our locations, there are land use restrictions in place relating to earlier environmental cleanups that currently do not materially limit our use of the sites.
In addition, our cash flows from 38 Table of Contents operations may be insufficient to fund required distributions as a result of differences in timing between the actual receipt of income and the payment of expenses and the recognition of income and expenses for federal income tax purposes, or the effect of nondeductible expenditures, such as capital expenditures, payments of compensation for which Section 162(m) of the Code denies a deduction, interest expense deductions limited by Section 163(j) of the Code, the settlement of reserves or required debt service or amortization payments.
In addition, our cash flows from operations may be insufficient to fund required distributions as a result of differences in timing between the actual receipt of income and the payment of expenses and the recognition of income and expenses for federal income tax purposes, or the effect of nondeductible expenditures, such as capital expenditures, payments of compensation for which Section 162(m) of the Code denies a deduction, interest expense deductions limited by Section 163(j) of the Code, the settlement of reserves or required debt service or amortization payments.
Under the $2.0 billion 2024 ATM Program, we may, from time to time, issue and sell shares of our common stock to or through sales agents up to established limits. As of December 31, 2024, we had approximately $1.3 billion available for sale under the 2024 ATM Program.
Under the $2.0 billion 2024 ATM Program, we may, from time to time, issue and sell shares of our common stock to or through sales agents up to established limits. As of December 31, 2025, we had approximately $1.2 billion available for sale under the 2024 ATM Program.
Our customers may in the future experience difficulties due to system failures unrelated to our systems and offerings. If, for any reason, these providers fail to provide the required services, our business, financial condition and results of operations could be materially and adversely impacted.
Our customers may in the future experience difficulties due to system failures unrelated to our systems and offerings. If, for any reason, these suppliers fail to provide the required services, our business, financial condition and results of operations could be materially and adversely impacted.
Our derivative transactions expose us to counterparty credit risk. Our derivative transactions expose us to risk of financial loss if a counterparty fails to perform under a derivative contract.
Our derivative transactions expose us to risk of financial loss if a counterparty fails to perform under a derivative contract.
Dollar strengthens relative to the currencies of the foreign countries in which we operate, our consolidated financial position and results of operations may be negatively impacted as amounts in foreign currencies will generally translate into fewer U.S. Dollars.
However, if the U.S. dollar strengthens relative to the currencies of the foreign countries in which we operate, our consolidated financial position and results of operations may be negatively impacted as amounts in foreign currencies will generally translate into fewer U.S. dollars.
Any hardware or fiber failures on this network, either on land or subsea, may result in significant loss of connectivity to our new IBX data center expansions. This could affect our ability to attract new customers to these IBX data centers or retain existing customers.
Any hardware or fiber failures on these networks, either on land or subsea, may result in significant loss of connectivity to our new IBX data center expansions. This could affect our ability to attract new customers to these IBX data centers or retain existing customers.
We have service level commitment obligations to certain customers. As a result, service interruptions or significant equipment damage in our IBX data centers could result in difficulty maintaining service level commitments to these customers and potential claims related to such failures.
We have service level commitment obligations to most customers. As a result, service interruptions or significant equipment damage in our IBX data centers could result in difficulty maintaining service level commitments to these customers and potential claims related to such failures.
Department of Treasury, the Bureau of Industry and Security of the US Department of Commerce and other enforcement agencies in other jurisdictions around the world including those related to the Russian and Ukrainian war; • compliance with changing laws, policies and requirements related to sustainability; • increasing scrutiny on the operational resilience of data centers, especially in countries where data centers are designated as critical national infrastructure and/or essential ICT service providers; • increasing resistance to data center presence and expansion by local communities; • compliance with evolving cybersecurity laws including reporting requirements; and • compliance with evolving governmental regulation.
Department of Treasury, the Bureau of Industry and Security of the US Department of Commerce and other enforcement agencies in other jurisdictions around the world including those related to the Russian and Ukrainian war; • compliance with changing and conflicting laws, policies and requirements related to sustainability; • increasing scrutiny on the operational resilience of data centers, especially in countries where data centers are designated as critical national infrastructure and/or essential ICT service providers; • increasing resistance to data center presence and expansion by local communities; • compliance with evolving cybersecurity laws including reporting requirements; • unexpected changes and compliance with tax laws; and • compliance with evolving governmental regulation.
Because of these distribution requirements, we will likely not be able to fund future capital needs and investments from operating cash flow. As such, compliance with REIT tests may hinder our ability to make certain attractive investments, including the purchase of significant nonqualifying assets and the material expansion of non-real estate activities.
Because of these distribution requirements, we will likely not be able to fund future capital needs and investments from operating cash flow. As such, compliance with REIT tests may hinder our ability to make certain attractive 35 Table of Contents investments, including the purchase of significant nonqualifying assets and the material expansion of non-real estate activities.
In addition, Section 203 of the Delaware General Corporation Law, which restricts certain business combinations with interested stockholders in certain situations, may also discourage, delay or prevent someone from acquiring or merging with us. 42
In addition, Section 203 of the Delaware General Corporation Law, which restricts certain business combinations with interested stockholders in certain situations, may also discourage, delay or prevent someone from acquiring or merging with us. 38
Should a designer, general contractor, significant subcontractor or key supplier experience financial problems or other problems during the design or construction process, we could experience significant delays, increased costs to complete the project and/or other negative impacts to our expected returns. Site selection is also a critical factor in our expansion plans.
Further, should a designer, general contractor, significant subcontractor or key supplier experience financial problems or other problems during or leading up to the design or construction process, we could experience significant delays, increased costs to complete the project and/or other negative impacts to our expected returns. Site selection is also a critical factor in our expansion plans.
Our most recent evaluation of our controls resulted in our conclusion that, as of December 31, 2024, in compliance with Section 404 of the Sarbanes-Oxley Act of 2002, our internal controls over financial reporting were effective.
Our most recent evaluation of our controls resulted in our conclusion that, as of December 31, 2025, in compliance with Section 404 of the Sarbanes-Oxley Act of 2002, our internal controls over financial reporting were effective.
We rely primarily on revenue opportunities from the telecommunications carriers' customers to encourage them to invest the capital and operating resources required to connect from their data centers to our IBX data centers. Carriers will likely evaluate the revenue opportunity of an IBX data center based on the assumption that the environment will be highly competitive.
We rely primarily on revenue opportunities from the 18 Table of Contents telecommunications carriers' customers to encourage them to invest the capital and operating resources required to connect from their data centers to our IBX data centers. Carriers will likely evaluate the revenue opportunity of an IBX data center based on the assumption that the environment will be highly competitive.
Additionally, the workloads related to new and evolving technologies such as AI are increasing the demand for high density computing power. Because many of our IBX data centers were built a number of years ago, the current demand for power may exceed the designed electrical capacity in these IBX data 22 Table of Contents centers.
Additionally, the workloads related to new and evolving technologies such as AI are increasing the demand for high density computing power. Because many of our IBX data centers were built a number of years ago, the current demand for power may exceed the designed electrical capacity in these IBX data centers.
The more balanced the customer base within each IBX data center, the better we will be able to generate significant interconnection revenues, which in turn increases our overall revenues.
In many instances, the more balanced the customer base within each IBX data center, the better we will be able to generate significant interconnection revenues, which in turn increases our overall revenues.
Any of these factors may hinder the development, growth and retention of a balanced customer base and adversely affect our business, financial condition and results of operations. Risks Related to our Financial Results The market price of our stock may continue to be highly volatile, and the value of an investment in our common stock may decline.
Any of these factors may hinder the development, growth and retention of a balanced customer base and adversely affect our business, financial condition and results of operations. 21 Table of Contents Risks Related to our Financial Results and Stock Price The market price of our stock may continue to be highly volatile, and the value of an investment in our common stock may decline.
If, in the future, our internal control over financial reporting is found to be ineffective, or if a material weakness is identified in our controls over financial reporting, our financial results may be adversely affected. 41 Table of Contents Investors may also lose confidence in the reliability of our financial statements which could adversely affect our stock price.
If, in the future, our internal control over financial reporting is found to be ineffective, or if a material weakness is identified in our controls over financial reporting, our financial results may be adversely affected. Investors may also lose confidence in the reliability of our financial statements which could adversely affect our stock price.
Finally, the collective impact of these changes to our business has placed significant demands on impacted employees across multiple functions, increasing the risk of errors and control deficiencies in our financial statements, distraction from the effective operation of our business and difficulty in attracting and retaining employees.
Finally, the collective impact of these changes to our business has placed significant demands on impacted employees across multiple functions, increasing the risk of errors and control deficiencies in our financial statements, distraction from 17 Table of Contents the effective operation of our business and difficulty in attracting and retaining employees.
It is possible that compliance with the sustainability-related regulations and directives will require us to re-evaluate and make changes to our current operations and our supply chain and thus increase our cost of doing business in the relevant affected regions or countries.
It is possible that compliance with sustainability-related laws, regulations and directives will require us to re-evaluate and make changes to our business, including changes in operations and in our supply chain and thus increase our cost of doing business in the relevant affected regions or countries.
In addition, costs associated with the acquisition and integration of any acquired companies, as well as the additional interest expense associated with debt financing, we have undertaken to fund our growth initiatives, 27 Table of Contents may also negatively impact our ability to sustain profitability.
In addition, costs associated with the acquisition and integration of any acquired companies, as well as the additional interest expense associated with debt financing, we have undertaken to fund our growth initiatives, may also negatively impact our ability to sustain profitability.
Such development may be more difficult, time-consuming or costly than expected and could result in increased costs, decreases in the amount of expected revenues and diversion of management's time and energy, which could 30 Table of Contents materially impact our business, financial condition and results of operations.
Such development may be more difficult, time-consuming or costly than expected and could result in increased costs, decreases in the amount of expected revenues and diversion of management's time and energy, which could materially impact our business, financial condition and results of operations.
The failure to recruit and retain necessary key personnel could cause disruption, harm our business and hamper our ability to grow our company. 21 Table of Contents The failure to obtain favorable terms when we renew our IBX data center leases, or the failure to renew such leases, could harm our business and results of operations.
The failure to recruit and retain necessary key personnel could cause disruption, harm our business and hamper our ability to grow our company. The failure to obtain favorable terms when we renew our IBX data center leases, or the failure to renew such leases, could harm our business and results of operations.
These may relate to: • our results of operations or forecasts; • new issuances of equity, debt or convertible debt by us, including issuances through any existing ATM Program; • increases in market interest rates and changes in other general market and economic conditions, including inflationary concerns; • changes to our capital allocation, tax planning or business strategy; 25 Table of Contents • our qualification for taxation as a REIT and our declaration of distributions to our stockholders; • changes in U.S. or foreign tax laws; • changes in management or key personnel; • developments in our relationships with customers; • announcements by our customers or competitors; • changes in regulatory policy or interpretation; • market speculation involving us or other companies in our industry, which may include short seller reports; • litigation and governmental investigations; • changes in the ratings of our debt or stock by rating agencies or securities analysts; • our purchase or development of real estate and/or additional IBX data centers; • our acquisitions of complementary businesses; or • the operational performance of our IBX data centers.
These may relate to: • our results of operations or forecasts; • new issuances of equity, debt or convertible debt by us, including issuances through any existing ATM Program; • increases in market interest rates and changes in other general market and economic conditions, including inflationary concerns; • changes to our capital allocation, tax planning or business strategy; • our qualification for taxation as a REIT and our declaration of distributions to our stockholders; • changes in U.S. or foreign tax laws; • changes in management or key personnel; • developments in our relationships with customers; • announcements by our customers or competitors; • changes in the perceived demand for goods and services supporting AI; • changes in regulatory policy or interpretation; • market speculation involving us or other companies in our industry, which may include short seller reports; • litigation and governmental investigations; • changes in the ratings of our debt or stock by rating agencies or securities analysts; • our purchase or development of real estate and/or additional IBX data centers; • our acquisitions of complementary businesses; or • the operational performance of our IBX data centers.
We expect to make additional acquisitions in the future, which may include (i) acquisitions of businesses, products, solutions or technologies that we believe to be complementary, (ii) acquisitions of new IBX data centers or real estate for development of new IBX data centers; (iii) acquisitions through investments in local data center operators; or (iv) acquisitions in new markets with higher risk profiles.
We have completed numerous acquisitions and we expect to make additional acquisitions in the future, which may include (i) acquisitions of businesses, products, solutions or technologies that we believe to be complementary, (ii) acquisitions of new IBX data centers or real estate for development of new IBX data centers; (iii) acquisitions through investments in local data center operators; or (iv) acquisitions in new markets with higher risk profiles.
We expect that we will continue to experience limited availability of power and grid constraints in many markets as well as shortages of associated equipment because of the current high demands and finite nature of 28 Table of Contents these resources. These shortages could result in site selection challenges, construction delays or increased costs.
We expect that we will continue to experience limited availability of water and power and grid constraints in many markets as well as shortages of associated equipment because of the current high demands and finite nature of these resources. These shortages could result in site selection challenges, construction delays or increased costs.
The occurrence of any of the foregoing factors could have a material adverse effect on our business, results of operations and financial condition. We may also need to refinance a portion of our outstanding debt as it matures.
The occurrence of any of the foregoing factors could have a material adverse effect on our business, results of operations and financial condition. We also plan to refinance a portion of our outstanding debt as it matures.
While we believe these product offerings and others we may implement in the future will be desirable to our customers and will complement our other offerings on Platform Equinix, we cannot guarantee the success of any product or any other new product offering.
While we believe these product offerings and others we may implement in the future will be desirable to our customers and will complement our other offerings, we cannot guarantee the success of any product or any other new product offering.
Additional factors could include, but are not limited to: • the timing and magnitude of depreciation and interest expense or other expenses related to the acquisition, purchase or construction of additional IBX data centers or the upgrade of existing IBX data centers; • demand for space, power and solutions at our IBX data centers; • the availability of power and the associated cost of procuring the power; • changes in general economic conditions, such as those stemming from pandemics or other economic downturns, or specific market conditions in the telecommunications and internet industries, any of which could have a material impact on us or on our customer base; 26 Table of Contents • additions and changes in product offerings and our ability to ramp up and integrate new products within the time period we have forecasted; • restructuring charges incurred in the event of a realignment of our management structure, operations or products; • the financial condition and credit risk of our customers; • the provision of customer discounts and credits; • the mix of current and proposed products and offerings and the gross margins associated with our products and offerings; • increasing repair and maintenance expenses in connection with aging IBX data centers; • lack of available capacity in our existing IBX data centers to generate new revenue or delays in opening new or acquired IBX data centers that delay our ability to generate new revenue in markets which have otherwise reached capacity; • changes in employee stock-based compensation; • changes in our tax planning strategies or failure to realize anticipated benefits from such strategies; • changes in income tax benefit or expense; and • changes in or new GAAP as periodically released by the Financial Accounting Standards Board ("FASB").
Additional factors could include, but are not limited to: • the timing of investment commitment versus the subsequent resulting revenue as development can take multiple years; • the timing and magnitude of depreciation and interest expense or other expenses related to the acquisition, purchase or construction of additional IBX data centers or the upgrade of existing IBX data centers; • demand for space, power and solutions at our IBX data centers; • the availability of power and the associated cost of procuring the power; • changes in general economic conditions, such as those stemming from pandemics or other economic downturns, or specific market conditions in the telecommunications and internet industries, any of which could have a material impact on us or on our customer base; • additions and changes in product offerings and our ability to ramp up and integrate new products within the time period we have forecasted; • restructuring and other exit charges incurred in the event of a realignment of our management structure, operations or products or other exit activities; • the financial condition and credit risk of our customers; • the provision of customer discounts and credits; • the mix of current and proposed products and offerings and the gross margins associated with our products and offerings; • increasing repair and maintenance expenses in connection with aging IBX data centers; • lack of available capacity in our existing IBX data centers to generate new revenue or delays in opening new or acquired IBX data centers that delay our ability to generate new revenue in markets which have otherwise reached capacity; • changes in employee stock-based compensation; • changes in our tax planning strategies or failure to realize anticipated benefits from such strategies; • changes in income tax benefit or expense; and • changes in or new GAAP as periodically released by the Financial Accounting Standards Board ("FASB").
While this and other incidents have been resolved, and their impacts have been immaterial, we expect we will continue to face risks associated with unauthorized access to our computer systems, loss or destruction of data, computer viruses, ransomware, malware, distributed denial-of-service attacks or other malicious activities, and the impact of such events in the future may be material.
While previous incidents have been resolved, and their impacts have been immaterial, we expect we will continue to face risks associated with unauthorized access to our 16 Table of Contents computer systems, loss or destruction of data, computer viruses, ransomware, malware, distributed denial-of-service attacks or other malicious activities, and the impact of such events in the future may be material.
Until the legacy systems are brought up to our standards, customers in these IBX data centers could be exposed to higher risks of unexpected power outages. We have experienced power outages because of these legacy design issues in the past and we could experience these in the future.
Until the legacy systems are brought up to our standards, customers in 15 Table of Contents these IBX data centers could be exposed to higher risks of unexpected power outages. We have experienced power outages because of these legacy design issues in the past and we could experience them in the future.
Further, volatility in the financial markets and rising interest rates like we are currently experiencing could affect our ability to access the capital markets at a time when we desire, or need, to do so which could have an impact on our flexibility to pursue additional expansion opportunities and maintain our desired level of revenue growth in the future.
Volatility in the financial markets and rising interest rates could affect our ability to access the capital markets at a time when we desire, or need, to do so which could have an impact on our flexibility to pursue additional expansion opportunities and maintain our desired level of revenue growth in the future.
Risks Related to Environmental Laws and Climate Change Impact Environmental regulations may impose upon us new or unexpected costs.
Risks Related to Sustainability, Environmental Laws and Climate Change Environmental and sustainability laws and regulations may impose upon us new or unexpected costs.
These could result from numerous factors, including but not limited to: • human error; • equipment failure; • physical, electronic and cybersecurity breaches; • fire, earthquake, hurricane, flood, tornado and other natural disasters; • extreme temperatures; • water damage; • fiber failures, subsea cable damage and other network interruptions; • software updates; • power loss; • terrorist acts; • sabotage and vandalism; • global pandemics such as the COVID-19 pandemic; • inability of our operations employees to access our IBX data centers for any reason; and • failure of business partners who provide our resale products.
These could result from numerous factors, including but not limited to: • human error; • equipment failure; • physical, electronic and cybersecurity breaches; • fire, earthquake, hurricane, flood, tornado and other natural disasters; • extreme temperatures; • water damage; • fiber failures, subsea cable damage and other network damage/interruptions; • software updates; • power loss; • terrorist acts; • sabotage and vandalism; • insider threat; • global pandemics; • inability of our operations employees to access our IBX data centers for any reason; and • failure of business partners who provide our resale products.
We will be required to commit substantial operational and financial resources to these IBX data centers, generally 12 to 18 months in advance of securing customer contracts, and we may not have sufficient customer demand in those markets to support these IBX data centers once they are built.
We will be required to commit substantial operational and financial resources to these IBX data centers in advance of securing customer contracts and we may not have sufficient customer demand in those markets to support these IBX data centers once they are built.
GAAP, we are required to assess our goodwill and other intangible assets annually, or more frequently whenever events or changes in circumstances indicate potential impairment, such as changing market conditions or any changes in key assumptions.
In accordance with U.S. GAAP, we are required to assess our goodwill and other intangible assets annually, or more frequently whenever events or changes in circumstances indicate potential impairment, such as changing market conditions or any changes in key assumptions.
There may not be suitable properties available in our markets with the necessary combination of high-power capacity and fiber connectivity, or selection may be limited.
There may not be suitable properties available in our markets with the necessary combination of high-power capacity, sufficient water supply and fiber connectivity, or selection may be limited.
We refer to these restrictions collectively as the "ownership limits" and we included them in our certificate of incorporation to facilitate our compliance with REIT tax rules.
We refer to these restrictions collectively as the "ownership limits" and we included them 36 Table of Contents in our certificate of incorporation to facilitate our compliance with REIT tax rules.
Some of the risks associated with construction projects include: • construction delays; • power and power grid constraints; • lack of availability and delays for data center equipment, including items such as generators and switchgear; • unexpected budget changes; • increased prices for and delays in obtaining building supplies, raw materials and data center equipment; • labor availability, labor disputes and work stoppages with contractors, subcontractors and other third parties; • unanticipated environmental issues and geological problems; • delays related to permitting and approvals to open from public agencies and utility companies; • unexpected lack or reduction of power access; • delays in site readiness leading to our failure to meet commitments made to customers planning to expand into a new build; and • unanticipated customer requirements that would necessitate alternative data center design, making our sites less desirable or leading to increased costs in order to make necessary modifications or retrofits.
Some of the risks associated with construction projects include: • construction delays and/or quality issues; • power and power grid constraints; • unexpected lack or reduction of power access; • increased prices and lack of availability and delays for data center equipment, including items such as generators and switchgear; • water constraints; • unexpected budget changes; • increased prices for and delays in obtaining building supplies and raw materials; • labor availability, labor disputes and work stoppages with contractors, subcontractors and other third parties; • unanticipated environmental issues and geological problems; • delays related to permitting and approvals to open from public agencies and utility companies; • community protest and/or disruption; 24 Table of Contents • adverse impacts on existing customers in the IBX data center; • delays in site readiness leading to our failure to meet commitments made to customers planning to expand into a new build; and • unanticipated customer requirements that would necessitate alternative data center design, making our sites less desirable or leading to increased costs in order to make necessary modifications or retrofits.
Similarly, current relations between the U.S. and China have created increased supply chain risk due to successive U.S. legislation promoting decoupling from China on semiconductors and specific telecommunications equipment makers, and having to source for alternative suppliers for key components outside of China.
Current relations between the U.S. and China have created increased supply chain risk due to successive U.S. legislation promoting decoupling from China on semiconductors and specific telecommunications equipment makers as well as the threat of increased tariffs and having to source from alternative suppliers for key components outside of China.
As of December 31, 2024, we recorded operating lease liabilities of $1.5 billion, which represents our obligation to make lease payments under those lease arrangements. Our substantial amount of debt and related covenants, and our off-balance sheet commitments, could have important consequences.
As of December 31, 2025, we recorded operating lease liabilities of $1.5 billion, which represents our obligation to make lease payments under those lease arrangements. Our substantial amount of debt and related covenants, our off-balance sheet commitments, and our intent to raise additional debt could have important consequences.
Our ability to find reliable partners and appropriate sites for expansion may also be limited by access to power, especially as we design our data centers to the specifications of new and evolving technologies, such as AI, which are more power-intensive, and further prepare to serve the power demands in the future that are expected from the electrification of the economy.
Our ability to find reliable partners and appropriate sites for expansion may also be limited by access to power, especially as we design our data centers to the specifications of new and evolving technologies, such as AI, which are more power-intensive, and further prepare to serve the power demands we expect in the future.
We have refreshed our ATM program in the past and expect to refresh our ATM program periodically, which could lead to additional dilution for our stockholders in the future. We may also seek authorization to sell additional shares of common stock through other means which could 33 Table of Contents lead to additional dilution for our stockholders.
We have refreshed our ATM program in the past and may refresh our ATM program in the future, which may lead to additional dilution for our stockholders. We may also seek authorization to sell additional shares of common stock through other means which could lead to additional dilution for our stockholders.
To the extent any hazardous substances or any other substance or material must be investigated, cleaned up or removed from our property, we may be responsible under applicable laws, permits or leases for the investigation, removal or cleanup of such substances or materials, the cost of which could be substantial.
To the extent any hazardous substances or any other substance or material must be investigated, cleaned up or removed from any property that we own, operate or lease, we may be responsible under applicable laws, regulations, permits or leases for the investigation, removal or cleanup of such substances or materials, the cost of which could be substantial.
Utility companies and other third-party power providers may impose onerous operating conditions to any approval or provision of power or we may experience significant delays, unfavorable contractual terms, and substantial increased costs to provide the level of electrical service required by our current or future IBX data center designs.
Utility companies and other third-party power providers may impose onerous operating conditions to any agreement to provision power or we may experience significant delays, unfavorable contractual terms, new industry regulations and substantial increased costs to obtain the level of electrical service required by our current or future IBX data center designs.
In addition, as of December 31, 2024, we had approximately $3.9 billion of additional liquidity available to us from our $4.0 billion revolving credit facility. In addition to our substantial debt, we lease many of our IBX data centers and certain equipment under lease agreements, some of which are accounted for as operating leases.
In addition, as of December 31, 2025, we had 29 Table of Contents approximately $4.0 billion of additional liquidity available to us from our $4.0 billion revolving credit facility. In addition to our substantial debt, we lease many of our IBX data centers and certain equipment under lease agreements, some of which are accounted for as operating leases.
There is a risk that we may not be able to refinance existing debt or that the terms of any refinancing may not be as favorable as the terms of our existing debt.
Given current market conditions, there is a risk that we may not be able to refinance existing debt or the terms of any refinancing may not be as favorable as the terms of our existing debt.
New offerings may come with additional risks and may not always be successful, and certain past offerings have been discontinued including the Equinix Metal product. New offerings may also require additional capital, have lower margins and higher customer churn as compared to our data center offerings, thus adversely impacting our results.
New offerings may come with additional risks and may not always be successful, and certain past offerings have been or are being discontinued, including the Equinix Metal product. New offerings may also require additional capital, have lower margins and higher customer churn as compared to our data center offerings, thus adversely impacting our 20 Table of Contents results.
These efforts to support and enhance renewable electricity generation may increase our costs of electricity above those that would be incurred through procurement of conventional electricity from existing sources or through conventional grids. Reducing our carbon footprint may require physical or operational modifications that may be costly. These initiatives could adversely affect our financial position and results of operations.
These efforts may increase our costs of electricity above those that would be incurred through procurement of conventional electricity from existing sources or through conventional grids. Reducing our environmental footprint may also require physical or operational modifications that may be costly. These initiatives could adversely affect our financial position and results of operations.
While these plans are designed to allow us to recover from natural disasters or other events that can interrupt our business, we cannot be certain that our plans will work as intended to mitigate the impacts of such disasters or events. Failure to prevent impact to customers from such events could adversely affect our business.
While we maintain disaster recovery and business continuity plans to allow us to recover from natural disasters or other events that can interrupt our business, we cannot be certain that our plans will work as intended to mitigate the impacts of such disasters or events. Failure to prevent impact to customers from such events could adversely affect our business.
Failure to successfully execute on our product strategy or hyperscale strategy could materially adversely affect our financial condition, cash flows and results of operations. 24 Table of Contents We have government customers, which subjects us to revenue risk and certain other risks including early termination, audits, investigations, sanctions and penalties, any of which could have a material adverse effect on our results of operations.
Failure to successfully execute on our product, AI or hyperscale strategies could materially adversely affect our financial condition, cash flows and results of operations. We have government contracts, which subject us to revenue risk and certain other risks including early termination, audits, investigations, sanctions and penalties, any of which could have a material adverse effect on our results of operations.
The foregoing subpoenas, or any inquiries or investigations conducted by a governmental organization or other regulatory body or internal investigation, could result in a material diversion of our management’s time and result in substantial cost and, in the event of an adverse finding, could have a material adverse effect on our business and results of operations.
Although these investigations are resolved, any future subpoenas, inquiries or investigations conducted by a 22 Table of Contents governmental organization or other regulatory body or internal investigation, could result in a material diversion of our management’s time and result in substantial cost and, in the event of an adverse finding, could have a material adverse effect on our business and results of operations.
In order to adapt effectively, we sometimes must make long-term investments and commit significant resources before knowing whether our predictions will accurately reflect customer demand for the new offerings. This kind of investment may include real estate expansion or developing, acquiring and obtaining intellectual property. We also must remain flexible and change strategies quickly if our predictions are not accurate.
In order to adapt effectively, we sometimes must make long-term investments and commit significant resources before knowing whether our predictions will accurately reflect customer demand for the new offerings. This kind of investment may include real estate expansion or developing, acquiring and obtaining power and intellectual property investments.
If such landlord has not maintained a leased property sufficiently, we may be forced into an early exit from the center which could be disruptive to our business. Furthermore, we continue to acquire IBX data centers not built by us.
If such landlord has not maintained a leased property sufficiently, we may be forced into an early exit from the center which could be disruptive to our business. Furthermore, we continue to acquire IBX data centers not built by us and we may be required to incur substantial additional costs to repair or upgrade the IBX data centers.
Any failure of our physical infrastructure or negative impact on our ability to meet our obligations to our customers, or damage to customer infrastructure within our IBX data centers, could lead to significant costs and disruptions that could reduce our revenue and harm our business reputation and financial condition. Our business depends on providing customers with highly reliable solutions.
Risks Related to our Operations Any failure of our physical infrastructure or negative impact on our ability to meet our obligations to our customers, or damage to customer infrastructure within our IBX data centers, could lead to significant costs and disruptions that could reduce our revenue and harm our business reputation and financial condition.
Construction projects are dependent on permitting from public agencies and utility companies. Any delay in permitting could affect our growth. We are currently experiencing permitting delays in most metros due to reduced production from labor availability.
Construction projects are dependent on permitting from public agencies and utility companies. Any delay in permitting, including due to community opposition, could affect our growth. We are currently experiencing permitting delays in most metros.
The process of developing and acquiring new offerings and enhancing existing offerings is complex. If we fail to anticipate customers’ evolving needs and expectations or do not adapt to technological and IT trends, our results of operations could suffer. Ineffective planning and execution in our cloud, AI and product development strategies may cause difficulty in sustaining our competitive advantages.
If we fail to anticipate customers’ evolving needs and expectations or do not adapt to technological and IT trends, our results of operations could suffer. Ineffective planning and execution in our cloud, AI and product development strategies may cause difficulty in sustaining our competitive advantages.
We also face pressure from our customers, stockholders and other stakeholders, such as the communities in which we operate, who are increasingly focused on climate change, to prioritize renewable energy procurement, reduce our carbon footprint and promote resource efficiency practices.
We face pressure from our customers, stockholders and other stakeholders, such as the communities in which we operate, who are increasingly focused on sustainability, to prioritize clean and renewable energy procurement, reduce our carbon footprint, promote resource efficiency practices and demonstrate economic benefits to society.
Therefore, any weakness of the U.S. Dollar may have a positive impact on our consolidated results of operations because the currencies in the foreign countries in which we operate may translate into more U.S. Dollars. However, as we have experienced more recently, if the U.S.
Therefore, any weakness of the U.S. dollar may have a positive impact on our consolidated results of operations because the currencies in the foreign countries in 37 Table of Contents which we operate may translate into more U.S. dollars.
In particular, if the accumulation of cash in our TRSs causes (1) the fair market value of our securities in our TRSs to exceed 20% of the fair market value of our assets or (2) the fair market value of our securities in our TRSs and other nonqualifying assets to exceed 25% of the fair market value of our assets, then we will fail to remain qualified for taxation as a REIT.
In particular, if the accumulation of cash in our TRSs causes (1) the fair market value of our securities in our TRSs to exceed 25% (20% for our tax years beginning after December 31, 2017 and before January 1, 2026) of the fair market value of our assets or (2) the fair market value of our securities in our TRSs and other nonqualifying assets to exceed 25% of the fair market value of our assets, then we will fail to remain qualified for taxation as a REIT.
Unplanned power outages, including, but not limited to those relating to large storms, earthquakes, fires, tsunamis, cyber-attacks, physical attacks on utility infrastructure, war, and any failures of electrical power grids or internal systems more generally, and planned power outages by public utilities, such as Pacific Gas and Electric Company's practice of planned outages in California to minimize fire risks, could harm our customers and our business.
Unplanned power outages, including, but not limited to those relating to large storms, earthquakes, fires, tsunamis, cyber-attacks, physical attacks on utility infrastructure, war, and any failures of electrical power grids or internal systems more generally, and planned power outages by public utilities, could harm our customers and our business.
Any of the limits of insurance that we purchase, including those for flood or cyber risks, could prove to be inadequate, which could materially and adversely impact our business, financial condition and results of operations.
Any of the limits of insurance that we purchase, including those for flood or cyber risks, could prove to be inadequate, which could materially and adversely impact our business, financial condition and results of operations. If we are unable to recruit or retain key qualified personnel, our business could be harmed.
Additionally, all construction related projects require us to carefully select and rely on the experience of one or more designers, general contractors, and associated subcontractors during the design and construction process.
All construction related projects require us to carefully select and rely on the experience of one or more designers, general contractors, and associated subcontractors during the design and construction process. Additionally, we specify performance and quality requirements for our products.
We may fail to achieve our sustainability objectives, or may encounter objections to them, either of which may adversely affect public perception of our business and affect our relationship with our customers, our stockholders and/or other stakeholders.
We may fail to achieve our sustainability initiatives, including reaching our climate targets, or may encounter objections to them, which may adversely affect public perception of our business and affect our relationship with our customers, regulators, our stockholders and/or other stakeholders.
We attempt to limit our exposure to system downtime by using backup generators, which are in turn supported by onsite fuel storage and through contracts with fuel suppliers, but these measures may not always prevent downtime or solve for long-term or large- 17 Table of Contents scale outages.
We attempt to limit our exposure to system downtime by using backup generators, which are in turn supported by onsite fuel storage and through contracts with fuel suppliers, but these measures may not always prevent downtime or solve for long-term or large-scale outages. We have experienced outages in the past for various reasons and could experience outages in the future.
As a REIT, failure to make required distributions would subject us to federal corporate income tax. We paid quarterly distributions in each quarter of 2024 and have declared a quarterly distribution for the fourth quarter of 2024 to be paid on March 19, 2025.
As a REIT, failure to make required distributions would subject us to federal corporate income tax. We paid a quarterly distribution on December 17, 2025 and have declared a quarterly distribution for the first quarter of 2026 to be paid on March 18, 2026.

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Item 1C. Cybersecurity

Cybersecurity — threats and controls disclosure

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Biggest changeInformation security risks have been deemed by our Board to be of critical importance to Equinix, and thus the Nominating and Governance Committee receives quarterly updates on cybersecurity and the full Board receives a briefing on cybersecurity at least annually.
Biggest changeBoard of Directors’ Oversight of Risks from Cybersecurity Threat The Nominating and Governance Committee oversees InfoSec per its charter, reviewing and considering developments related to the program and reporting on the InfoSec activities and recommendations to the full Board. 39 Information security risks have been deemed by our Board to be of critical importance to Equinix, and thus the Nominating and Governance Committee receives quarterly updates on cybersecurity and the full Board receives a report on cybersecurity at least annually.
Currently, our cybersecurity program includes the following key categories of security controls with many security capabilities serving under each category: Governance, Access Control, Awareness and Training, Audit and Accountability, Configuration Management, Contingency Planning, Incident Response, Data Security, Continuous Monitoring, Maintenance Controls, Media Protection, Physical Protections, Risk Assessment, Third-Party Risk Management, System and Communications Projection, and System and Information Integrity.
Currently, our cybersecurity program includes the following key categories of security controls with many security capabilities serving under each category: Governance, Access Control, Awareness and Training, Audit and Accountability, Configuration Management, Contingency Planning, Incident Response, Data Security, Continuous Monitoring, Maintenance Controls, Media Protection, Physical Protections, Risk Assessment, Third-Party Risk Management, System and Communications Protection, and System and Information Integrity.
Cybersecurity Risk Management and Strategy Equinix cybersecurity risk management activities and outcomes are guided by the National Institute of Standards and Technology (“NIST”) Cybersecurity Framework (“CSF”) and assessed by a third party. In addition, our cybersecurity program is certified globally against the International Organization for Standardization (“ISO”) 27001 standards.
Cybersecurity Risk Management and Strategy Equinix cybersecurity risk management activities and outcomes are guided by the National Institute of Standards and Technology (“NIST”) Cybersecurity Framework (“CSF”). In addition, our cybersecurity program is certified globally against the International Organization for Standardization (“ISO”) 27001 standards.
Equinix has also implemented controls designed to identify and mitigate cybersecurity risk associated with our use of third-party service providers, such as security risk assessments. We use a variety of inputs in such assessments, including information supplied by the third parties and regular monitoring.
Equinix has also implemented our Security Engagement and Third-Party Risk programs which are designed to identify and mitigate cybersecurity risk associated with our use of third-party service providers. We use a variety of inputs in such assessments, including information supplied by the third parties and regular monitoring.
“Risk Factors” for further discussion of cybersecurity risks. 44 Table of Contents
“Risk Factors” for further discussion of cybersecurity risks. 40 Table of Contents
Our interim CISO brings over 20 years of experience in information technology, which enables him to ensure alignment of our cybersecurity program with our critical infrastructure strategies. He has experience in implementing and operating a governance framework and core controls in information technology.
Our current CISO brings over 30 years of experience in information technology and cybersecurity, which enables him to ensure alignment of our cybersecurity program with our critical infrastructure strategies. He has experience in implementing and operating a governance framework and core controls in information technology. Additionally, team members supporting our program have relevant education and information security experience.
Equinix conducts regular employee training on how to spot suspicious activity, educates employees on potential security risks, and periodically runs simulations of cyber incidents for employees across various functions to assess and refine response capabilities.
Equinix conducts annual, mandatory employee training on how to spot suspicious activity, educates employees on potential security risks, and periodically conducts cybersecurity tests across various functions to assess and refine response capabilities.
ITEM 1C. Cybersecurity Equinix Risk Management and Strategy Equinix has processes for assessing, identifying, and managing material risks from cybersecurity threats, both integrated into our Governance, Risk and Compliance Program (the “GRC Program”) and existing within our Information Security function (“InfoSec”) led by a Chief Information Security Officer (“CISO”).
ITEM 1C. Cybersecurity Equinix Risk Management and Strategy Equinix has processes for assessing, identifying, and managing material risks from cybersecurity threats within our Information Security function (“InfoSec”) led by our Chief Information Security Officer (“CISO”). The foundation of risk oversight at Equinix is our Enterprise Risk Management program ("ERM”), overseen by the Nominating and Governance Committee of our Board.
Equinix also offers a role-based security certification for its software engineering employees. 43 Equinix’s cybersecurity risk management processes are carried out in the context of broader business objectives and are integrated into Equinix’s broader risk management processes as described above in “Equinix Risk Management and Strategy”.
Equinix’s cybersecurity risk management processes are carried out in the context of broader business objectives and are integrated into Equinix’s broader risk management processes as described above in “Equinix Risk Management and Strategy”.
In the event of a material cybersecurity incident, the full Board would be convened on a frequent basis to receive updates and provide oversight. Management’s Role in Assessing and Managing Material Risks from Cybersecurity Threats The Information Security Steering Committee (“ISSC”) is a key element of our cybersecurity strategy.
In the event of a material cybersecurity incident, the full Board would be convened to receive updates and provide oversight. Management’s Role in Assessing and Managing Material Risks from Cybersecurity Threats Equinix's Information Security governance is supported by the Equinix Security Council, a cross-functional body of senior leaders chaired by our CISO.
Risk identification involves periodic risk surveys and/or risk interviews with key business process owners and executives to identify key strategic, operational, financial, regulatory, compliance and external risks at the enterprise level. Our next global risk assessment to identify enterprise risks will be conducted in the first half of 2025.
Risk identification involves periodic risk surveys and/or risk interviews with key business process owners and executives to identify key strategic, operational, financial, regulatory, compliance and external risks at the enterprise level. The Emerging Risk team, comprised of business leaders representing a majority of business functions at Equinix, meets monthly to identify fast-moving, potentially impactful risks.
The GRCC considers enterprise and emerging risks via Equinix’s Enterprise Risk Management Program (the “ERM Program”). Our ERM Program focuses on the identification, assessment, management, monitoring and reporting of key business risks.
The process is governed by the ERM Policy and includes the ERM team, the Emerging Risk team and the Governance, Risk and Compliance Committee. The ERM program focuses on identification, assessment, management, monitoring and reporting of key business risks.
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Our prior CISO departed Equinix in the fourth quarter of 2024, at which time we appointed a tenured Equinix Information Technology senior leader to the role in an interim capacity. To assist our interim CISO, we have engaged a technology risk consultant in an advisory role.
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Equinix's networks, products and services are reviewed by our internal audit teams as well as independent third-party assessors in support of security-related industry certifications and attestations (including SOC2, ISO27001 and PCI DSS). When appropriate, external service providers are also used to assess, test, or otherwise assist our program.
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The foundation of risk oversight at Equinix is our Governance, Risk and Compliance Committee (“GRCC”), overseen by the Nominating and Governance Committee of our Board. The GRCC is a global, cross-functional group currently comprised of global senior leaders, across functions such as Legal, Compliance and Risk Management.
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The Security Council is responsible for shaping Equinix's security operating model and culture, aligning Equinix-wide security standards, and providing oversight of the security program and strategic security initiatives. Its mission includes strengthening Equinix's overall security posture, fostering a secure-by-design culture, and ensuring that cybersecurity priorities are aligned with business objectives and regulatory expectations.
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In addition, the ERM Program also includes an Emerging Risks Team of business leaders at Equinix, representing a majority of business functions, that meets monthly to identify fast-moving, potentially impactful risks.
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The Security Council meets quarterly to review risk-based priorities, assess security outcomes and performance indicators, and evaluate progress on key initiatives. The Security Council serves as a central mechanism for enterprise-level alignment, decision-making, and communication on cybersecurity matters.
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The GRCC prioritizes top enterprise and emerging risks for reporting to and dialoguing with our executive staff at least quarterly, and from this discussion, risks are presented to the Nominating and Governance Committee to consider for further assessment and report-out either to a committee or the full Board as appropriate.
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Equinix does not generally engage any consultants, auditors, or other third parties in connection with processes for assessing, identifying and managing risks from cybersecurity threats other than the technology risk consultant identified above.
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Board of Directors’ Oversight of Risks from Cybersecurity Threats The Nominating and Governance Committee oversees our GRC Program per its charter, reviewing and considering developments related to the GRC Program and reporting on the GRC Program’s activities and recommendations to the full Board.
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The ISSC is chaired by the CISO and comprises of a cross-functional group of senior leaders from various functions in the company. The ISSC aims to align our security and compliance programs with business objectives.
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Specifically, the ISSC (i) facilitates identification of risk-based priorities and trade-offs; (ii) aims to ensure economies of scale and consistency of information security and compliance across IT assets at the company; (iii) reviews and approves information security policies; (iv) reviews requests for policy and risk exceptions to provide a “Risk Acceptance Authorization”; and (v) serves as a communications channel and steward to cultivate a culture of trust across the enterprise.
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The ISSC currently meets quarterly. In addition, various subcommittees meet on an as-needed basis to address business needs. At the ISSC, topics such as changes to the InfoSec risk register, notable issues, and information security projects are discussed.
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Further, he oversaw the building of our application disaster recovery infrastructure for all production applications at Equinix, and since that time has been responsible for operating this infrastructure and ongoing disaster recovery testing. All of this experience is applicable and relevant to our cybersecurity program at Equinix. Additionally, team members supporting our program have relevant education and information security experience.

Item 2. Properties

Properties — owned and leased real estate

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Biggest changeQ1 2026 1,525 83 SP6 phase I São Paulo Q1 2026 1,125 110 BG2 phase II Bogotá Q2 2026 550 28 SV18 phase I Silicon Valley Q3 2026 1,350 260 NY3 phase II New York Q4 2026 2,275 222 20,175 2,048 EMEA: LG2 phase II Lagos Q1 2025 150 9 MA5 phase II Manchester Q1 2025 775 39 SN1 phase I Salalah Q1 2025 125 20 SN1 phase II Salalah Q2 2025 125 8 LD10 phase IV London Q3 2025 850 63 LG2 phase III Lagos Q3 2025 275 29 LG3 phase I Lagos Q3 2025 225 22 LS2 phase I Lisbon Q3 2025 625 53 MD5 phase I Madrid Q3 2025 1,700 115 FR8 phase II Frankfurt Q4 2025 1,400 193 FR13 phase II Frankfurt Q2 2026 350 42 DX3 phase II Dubai Q3 2026 1,100 81 IL3 phase I Istanbul Q3 2026 1,325 116 LG4 phase I Lagos Q1 2027 925 78 PA14 phase I Paris Q1 2027 825 133 LD14 phase I London Q2 2027 1,425 243 ZH4 phase VI Zurich Q3 2027 200 47 12,400 1,291 48 Table of Contents Asia-Pacific: CN1 phase I Chennai Q1 2025 850 65 KL1 phase II Kuala Lumpur Q1 2025 450 4 MB3 phase I Mumbai Q2 2025 1,375 86 HK1 phase XIII B Hong Kong Q4 2025 250 16 HK6 phase I Hong Kong Q1 2026 1,000 124 OS3 phase IV Osaka Q1 2026 550 30 JH2 phase I Johor Q1 2027 1,100 152 SG6 phase I Singapore Q1 2027 1,525 290 TY15 phase II Tokyo Q2 2027 1,000 101 JH2 phase II Johor Q3 2027 1,125 49 9,225 917 Total 41,800 $ 4,256 (1) Capital expenditures are approximate and may change based on final construction details.
Biggest changeQ2 2027 2,125 144 SV18 phase 2 Silicon Valley Q2 2027 850 180 TR6 phase 3 Toronto Q3 2027 1,075 123 CH5 phase 2 Chicago Q3 2027 1,625 165 DA12 phase 1 Dallas Q2 2028 3,700 837 19,950 2,648 EMEA: LG3 phase 1 Lagos Q1 2026 225 22 DX3 phase 2 Dubai Q2 2026 800 81 MD5 phase 1 Madrid Q2 2026 1,650 115 IL3 phase 1 Istanbul Q3 2026 1,325 116 FR8 phase 3 Frankfurt Q4 2026 1,400 107 LD14 phase 1 London Q1 2027 1,425 242 PA14 phase 1 Paris Q2 2027 675 104 LS2 phase 2 Lisbon Q3 2027 325 31 ZH4 phase 6 Zurich Q3 2027 200 47 LG4 phase 1 Lagos Q4 2027 975 78 DB10 phase 1 Dublin Q1 2028 475 14 LD14 phase 2 London Q1 2028 1,425 122 FR12 phase 1 Frankfurt Q2 2028 1,750 381 MU4 phase 3 Munich Q2 2028 1,375 342 PA14 phase 2 Paris Q2 2028 600 49 FR15 phase 1 Frankfurt Q3 2028 1,550 487 16,175 2,338 Asia-Pacific: HK6 phase 1 Hong Kong Q1 2026 1,000 124 OS3 phase 4 Osaka Q1 2026 550 30 JK1 phase 2 Jakarta Q4 2026 1,125 39 SG6 phase 1 Singapore Q1 2027 1,550 290 SY5 phase 4 Sydney Q1 2027 1,350 96 KL2 phases 1 and 2 Kuala Lumpur Q2 2027 2,200 192 MB3 phase 2 Mumbai Q2 2027 1,375 38 BK1 phase 1 Bangkok Q3 2027 1,175 110 JH2 phases 1 and 2 Johor Q3 2027 2,225 201 CN1 phase 2 Chennai Q4 2027 1,375 88 OS6 phase 1 Osaka Q4 2028 1,850 355 15,775 1,563 Total 51,900 $ 6,549 (1) Capital expenditures are approximate and may change based on final construction details. 44
AMERICAS Metro Leased (1) Owned (1) (2) Atlanta ● ● Bogotá ● Boston ● Calgary ● ● Chicago ● ● Culpeper ● Dallas ● ● Washington, D.C./Ashburn ● ● Denver ● ● Houston ● Kamloops ● Lima ● Los Angeles ● ● Mexico City ● Miami ● ● Monterrey ● Montreal ● New York ● ● Ottawa ● Philadelphia ● Rio de Janeiro ● ● Saint John ● Santiago ● São Paulo ● Seattle ● ● Silicon Valley ● ● Toronto ● ● Vancouver ● Winnipeg ● 45 Table of Contents EMEA Metro Leased (1) Owned (1) (2) Abidjan ● Abu Dhabi ● Accra ● Amsterdam ● ● Barcelona ● ● Bordeaux ● Dubai ● ● Dublin ● Düsseldorf ● East Netherlands ● Frankfurt ● ● Geneva ● ● Genoa ● Hamburg ● Helsinki ● ● Istanbul ● Johannesburg ● Lagos ● Lisbon ● London ● ● Madrid ● ● Manchester ● ● Milan ● ● Munich ● ● Muscat ● Paris ● ● Sofia ● Stockholm ● ● Warsaw ● ● Zurich ● ● 46 Table of Contents Asia-Pacific Metro Leased (1) Owned (1) (2) Adelaide ● Brisbane ● Canberra ● Hong Kong ● Jakarta ● Johor ● Kuala Lumpur ● Melbourne ● Mumbai ● ● Osaka ● ● Perth ● Seoul ● ● Shanghai ● ● Singapore ● ● Sydney ● ● Tokyo ● ● (1) " ● " denotes locations with one or more data centers.
AMERICAS Metro Leased (1) Owned (1) (2) Atlanta ● ● Bogotá ● Boston ● Calgary ● ● Chicago ● ● Culpeper ● Dallas ● ● Washington, D.C./Ashburn ● ● Denver ● ● Houston ● Kamloops ● Lima ● Los Angeles ● ● Mexico City ● Miami ● ● Monterrey ● ● Montreal ● New York ● ● Ottawa ● Philadelphia ● Rio de Janeiro ● ● Saint John ● Santiago ● São Paulo ● Seattle ● ● Silicon Valley ● ● Toronto ● ● Vancouver ● Winnipeg ● 41 Table of Contents EMEA Metro Leased (1) Owned (1) (2) Abidjan ● Abu Dhabi ● Accra ● Amsterdam ● ● Barcelona ● ● Bordeaux ● Dubai ● ● Dublin ● ● Düsseldorf ● East Netherlands ● Frankfurt ● ● Geneva ● ● Genoa ● Hamburg ● Helsinki ● ● Istanbul ● Johannesburg ● Lagos ● Lisbon ● London ● ● Madrid ● ● Manchester ● ● Milan ● ● Munich ● ● Muscat ● Paris ● ● Salalah ● Sofia ● Stockholm ● ● Warsaw ● ● Zurich ● ● 42 Table of Contents Asia-Pacific Metro Leased (1) Owned (1) (2) Adelaide ● Brisbane ● Canberra ● Chennai ● Hong Kong ● Jakarta ● Johor ● Kuala Lumpur ● Manila ● Melbourne ● Mumbai ● ● Osaka ● ● Perth ● Seoul ● ● Shanghai ● ● Singapore ● ● Sydney ● ● Tokyo ● ● (1) " ● " denotes locations with one or more data centers.
(2) Owned sites include IBX data centers subject to long-term ground leases.
(2) Owned sites include IBX data centers and xScale data centers subject to long-term ground leases.
(3) The cabinet utilization rate represents the percentage of cabinet space billed versus total cabinet capacity, taking into consideration power limitations. (4) MRR per cabinet represents average monthly recurring revenue recognized divided by the average number of cabinets billed during the fourth quarter of the year.
(4) MRR per cabinet represents average monthly recurring revenue recognized divided by the average number of cabinets billed during the fourth quarter of the year.
The JK1 data center is included in the # of IBXs only. (2) Cabinets represent a specific amount of space within an IBX data center. Customers can combine and use multiple adjacent cabinets within an IBX data center, depending on their space requirements.
(2) Cabinets represent a specific amount of space within an IBX data center. Customers can combine and use multiple adjacent cabinets within an IBX data center, depending on their space requirements. (3) The cabinet utilization rate represents the percentage of cabinet space billed versus total cabinet capacity, taking into consideration power limitations.
Our Asia-Pacific headquarters office is located in Hong Kong and we also have sales offices in several cities throughout Asia-Pacific. The following tables present the locations of our leased and owned IBX data centers and xScale TM data centers investments as of December 31, 2024, as well as one data center which opened in February 2025.
ITEM 2. Properties Our executive offices are located in Redwood City, California, with additional offices in several cities throughout the Americas, EMEA and Asia-Pacific regions. The following tables present the locations of our leased and owned IBX data centers and xScale TM data centers as of December 31, 2025.
The following table presents an overview of our portfolio of IBX data centers as of December 31, 2024: # of IBXs (1) Total Cabinet Capacity (1)(2) Cabinets Billed (1) Cabinet Utilization % (1)(3) MRR per Cabinet (1)(4) Americas 107 144,100 116,700 81 % $ 2,550 EMEA 86 138,200 107,700 78 % 2,152 Asia-Pacific 54 89,100 66,600 75 % 2,218 Total 247 371,400 291,000 (1) Excludes 21 unconsolidated data centers (20 xScale data centers and the MC1 IBX data center) and includes the JK1 data center which opened in February 2025.
The following table presents an overview of our portfolio of IBX data centers as of December 31, 2025: # of IBXs (1) Total Cabinet Capacity (1)(2) Cabinets Billed (1) Cabinet Utilization % (1)(3) MRR per Cabinet (1)(4) Americas 109 157,400 123,700 79 % $ 2,694 EMEA 88 141,300 107,200 76 % 2,418 Asia-Pacific 58 93,600 68,400 73 % 2,355 Total 255 392,300 299,300 (1) Excludes 25 unconsolidated data centers (23 xScale data centers and the MC1 and SN1 IBX data centers).
Americas MRR per cabinet excludes Infomart non-IBX tenant income and EMEA MRR per cabinet excludes MainOne revenue. 47 Table of Contents The following table presents a summary of our significant IBX data center projects under construction as of December 31, 2024: Property Property Location Target Open Date Sellable Cabinets Total Capex (in millions) (1) Americas: SP4 phase IV São Paulo Q1 2025 750 $ 21 ST2 phase II Santiago Q1 2025 425 45 DA11 phase III Dallas Q2 2025 2,000 186 TR6 phase II Toronto Q2 2025 900 123 CH2 phase II Chicago Q3 2025 575 46 MI1 phase III Miami Q3 2025 1,050 86 MO2 phase I Monterrey Q3 2025 725 79 DC2 Redevelopment Washington, D.C.
Americas MRR per cabinet excludes Infomart non-IBX tenant income. 43 Table of Contents The following table presents a summary of our significant IBX data center projects under construction as of December 31, 2025: Property Property Location Target Open Date Sellable Cabinets Total Capex (in millions) (1) Americas: NY11 phase 5 New York Q1 2026 600 $ 38 BG2 phase 2 Bogotá Q2 2026 550 28 SV18 phase 1 Silicon Valley Q2 2026 2,100 260 MI1 redevelopment Miami Q3 2026 475 59 MT1 phase 3 Montreal Q4 2026 300 37 RJ3 phase 2 Rio de Janeiro Q4 2026 550 46 SP7 phase 1 São Paulo Q4 2026 600 35 SP4 phase 5 São Paulo Q2 2027 700 74 DC17 phases 1 and 2 Washington, D.C.
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ITEM 2. Properties Our executive offices are located in Redwood City, California, with sales offices in several cities throughout the U.S. Our EMEA headquarters office is located in Amsterdam, the Netherlands and we also have sales offices in several cities throughout EMEA.
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Q2 2027 4,700 622 DC22 phase 2 Washington, D.C.
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Q4 2025 425 56 DC16 phase II Washington, D.C. Q4 2025 1,525 131 DC22 phase I Washington, D.C. Q4 2025 2,125 260 MT1 phase II Montreal Q4 2025 250 22 NY11 phase V New York Q4 2025 600 38 SE4 phase IV Seattle Q4 2025 400 33 CH5 phase I Chicago Q1 2026 1,600 219 DC16 phase III Washington, D.C.

Item 3. Legal Proceedings

Legal Proceedings — active lawsuits and investigations

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Biggest changeITEM 3. Legal Proceedings On March 20, 2024, the Company received a subpoena from the U.S. Attorney’s Office for the Northern District of California. On April 30, 2024, the Company received a subpoena from the Securities and Exchange Commission. The Company is cooperating fully with both government agencies.
Biggest changeITEM 3. Legal Proceedings On March 20, 2024, the Company received a subpoena from the U.S. Attorney’s Office for the Northern District of California (“NDCA”). On April 30, 2024, the Company received a subpoena from the SEC. Thereafter, the Company responded to additional information requests by the SEC on the same or related issues.
The named plaintiff alleges violations of Section 10(b) of the Exchange Act and Securities and Exchange Commission Rule 10b-5, and Section 20(a) of the Exchange Act, on the basis that the defendants allegedly made false and misleading statements about our business, results, internal controls, and accounting practices between May 3, 2019 and March 24, 2024.
The named plaintiff alleges violations of Section 10(b) of the Exchange Act and SEC Rule 10b-5, and Section 20(a) of the Exchange Act, on the basis that the defendants allegedly made false and misleading statements about our business, results, internal controls, and accounting practices between May 3, 2019 and March 24, 2024.
These matters are subject to uncertainties, and we cannot predict the outcome, nor reasonably estimate a range of loss or penalties, if any, relating to these matters.
These matters are subject to uncertainties and we cannot predict the outcome, nor reasonably estimate a range of loss or penalties, if any, relating to these matters prior to resolution.
On May 2, 2024, a putative stockholder class action was filed against the Company and certain of our officers in the United States District Court for the Northern District of California.
On May 2, 2024, a putative stockholder class action was filed against the Company and certain of our officers in the United States District Court for the NDCA.
The lawsuit seeks, among other relief, a determination that the alleged claims may be asserted on a class-wide basis, unspecified damages, attorneys' fees, other expenses and costs. We filed a motion to dismiss the lawsuit on October 10, 2024. The motion was granted in part on January 6, 2025. We intend to continue to defend the lawsuit.
The lawsuit sought, among other relief, a determination that the alleged claims may be asserted on a class-wide basis, unspecified damages, attorneys' fees, other expenses and costs. We filed a motion to dismiss the lawsuit on October 10, 2024. The motion was granted in part on January 6, 2025.
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On November 19, 2025, the Company received correspondence from the SEC indicating that the agency had concluded its investigation and does not intend to recommend an enforcement action. The Company also does not expect any further related action from the NDCA.
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On July 15, 2025, the parties entered a Stipulation of Settlement to resolve the action. The Court granted preliminary approval of the settlement on September 4, 2025, and final approval of the settlement on December 19, 2025. The case was dismissed with prejudice on December 19, 2025, and the settlement was covered entirely by our insurance.
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On February 14, 2025, and February 26, 2025, respectively, certain of the Company’s current and former directors and officers were named as defendants in two shareholder derivative lawsuits (in which the Company is a nominal defendant) filed in the United States District Court for the NDCA.
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The lawsuits alleged, among other things, violations of Section 14(a) of the Exchange Act, breach of fiduciary duty, unjust enrichment, and waste of corporate assets and generally alleged the same purported misconduct as alleged in the putative stockholder class action described above. The lawsuits sought, among other relief, unspecified damages, restitution, attorneys’ fees, and other expenses and costs.
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On April 17, 2025, and April 18, 2025, respectively, the plaintiffs filed notices of voluntary dismissal without prejudice, subject to court approval, to pursue remedies under Delaware law. The cases were dismissed on April 28, 2025 and August 19, 2025, respectively.
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On August 6, 2025, certain of the Company's current and former directors and officers were named as defendants in an additional shareholder derivative lawsuit (in which the Company is a nominal defendant) filed in the United States District Court for the District of Delaware.
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The lawsuit makes generally the same types of allegations and seeks the same types of relief as the derivative lawsuits above and makes additional allegations that certain directors' and officers' alleged knowledge of the purported misconduct constituted insider trading. We filed a motion to dismiss the lawsuit on October 20, 2025, which remains pending with the Court.

Item 5. Market for Registrant's Common Equity

Market for Common Equity — stock, dividends, buybacks

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Biggest changeITEM 5. Market for Registrant's Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities Our common stock is quoted on the NASDAQ Global Select Market under the symbol of "EQIX." Our common stock began trading in August 2000. As of January 31, 2025, we had 97,332,005 shares of our common stock outstanding held by approximately 236 registered holders.
Biggest changeITEM 5. Market for Registrant's Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities Our common stock is quoted on the NASDAQ Global Select Market under the symbol of "EQIX." Our common stock began trading in August 2000. As of January 31, 2026, we had 98,254,928 shares of our common stock outstanding held by approximately 233 registered holders.
The graph assumes the investment of $100.00 on December 31, 2019 in Equinix's common stock and in each index, and assumes the reinvestment of dividends, if any. Equinix cautions that the stock price performance shown in the graph below is not indicative of, nor intended to forecast, the potential future performance of Equinix's common stock.
The graph assumes the investment of $100.00 on December 31, 2020 in Equinix's common stock and in each index, and assumes the reinvestment of dividends, if any. Equinix cautions that the stock price performance shown in the graph below is not indicative of, nor intended to forecast, the potential future performance of Equinix's common stock.
Notwithstanding anything to the contrary set forth in any of Equinix's previous or future filings under the Securities Act of 1933, as amended, or the Securities Exchange Act of 1934, as amended, that might incorporate this Annual Report on Form 10-K or future filings made by Equinix under those statutes, the stock performance graph shall not be deemed filed with the Securities and Exchange Commission and shall not be deemed incorporated by reference into any of those prior filings or into any future filings made by Equinix under those statutes. 50 Table of Contents COMPARISON OF 5 YEAR CUMULATIVE TOTAL RETURN* *$100 invested on 12/31/19 in stock or index, including reinvestment of dividends.
Notwithstanding anything to the contrary set forth in any of Equinix's previous or future filings under the Securities Act of 1933, as amended, or the Securities Exchange Act of 1934, as amended, that might incorporate this Annual Report on Form 10-K or future filings made by Equinix under those statutes, the stock performance graph shall not be deemed filed with the Securities and Exchange Commission and shall not be deemed incorporated by reference into any of those prior filings or into any future filings made by Equinix under those statutes. 46 Table of Contents COMPARISON OF 5 YEAR CUMULATIVE TOTAL RETURN* *$100 invested on 12/31/20 in stock or index, including reinvestment of dividends.
During the years ended December 31, 2024 and 2023, we did not issue or sell any securities on an unregistered basis.
During the years ended December 31, 2025 and 2024, we did not issue or sell any securities on an unregistered basis.
Stock Performance Graph The graph set forth below compares the cumulative total stockholder return on Equinix's common stock between December 31, 2019 and December 31, 2024 with the cumulative total return of: • the S&P 500 Index; • the NASDAQ Composite Index; and • the FTSE NAREIT All REITs Index.
Stock Performance Graph The graph set forth below compares the cumulative total stockholder return on Equinix's common stock between December 31, 2020 and December 31, 2025 with the cumulative total return of: • the S&P 500 Index; • the NASDAQ Composite Index; and • the FTSE NAREIT All REITs Index.

Item 7. Management's Discussion & Analysis

Management's Discussion & Analysis (MD&A) — revenue / margin commentary

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Biggest changeOur FFO and AFFO were as follows (in millions): Years Ended December 31, 2024 2023 2022 Net income $ 814 $ 969 $ 705 Net loss attributable to non-controlling interests 1 — — Net income attributable to common stockholders 815 969 705 Adjustments: Real estate depreciation 1,239 1,143 1,105 (Gain) loss on disposition of real estate property (20) 1 7 Adjustments for FFO from unconsolidated joint ventures 27 17 10 FFO attributable to common stockholders $ 2,061 $ 2,130 $ 1,827 Years Ended December 31, 2024 2023 2022 FFO attributable to common stockholders $ 2,061 $ 2,130 $ 1,827 Adjustments: Installation revenue adjustment (4) 4 18 Straight-line rent expense adjustment (3) 12 16 Contract cost adjustment (27) (47) (53) Amortization of deferred financing costs and debt discounts 20 19 18 Stock-based compensation expense 462 407 404 Stock-based charitable contributions 3 3 49 Non-real estate depreciation expense 562 494 427 Amortization expense 208 208 205 Accretion expense adjustment 2 (1) 3 Recurring capital expenditures (250) (219) (189) Loss on debt extinguishment 16 — — Restructuring charges 31 — — Transaction costs 50 13 22 Impairment charges 233 2 1 Income tax expense adjustment (2) (12) (31) Adjustments for AFFO from unconsolidated joint ventures (6) 6 (3) AFFO attributable to common stockholders $ 3,356 $ 3,019 $ 2,714 Our AFFO results have improved due to the factors discussed earlier in "Results of Operations," as well as due to the nature of our business model which consists of a recurring revenue stream and a cost structure which has a large base that is fixed in nature as discussed earlier in "Overview." Constant Currency Presentation Our revenues and certain operating expenses (cost of revenues, sales and marketing and general and administrative expenses) from our international operations have represented and will continue to represent a significant portion of our total revenues and certain operating expenses.
Biggest changeWe define FFO as net income attributable to common stockholders excluding: • gain or loss from the disposition of real estate assets • depreciation and amortization expense on real estate assets • adjustments for unconsolidated joint ventures' and non-controlling interests' share of these items We define AFFO as FFO adjusted for: • depreciation and amortization expense on non-real estate assets • accretion expense • stock-based compensation expense • stock-based charitable contributions • restructuring and other exit charges, as described above • impairment charges • transaction costs • an adjustment to remove the impacts of straight-lining installation revenue • an adjustment to remove the impacts of straight-lining rent expense • an adjustment to remove the impacts of straight-lining contract costs • amortization of deferred financing costs and debt discounts and premiums • gain or loss from the disposition of non-real estate assets • gain or loss on debt extinguishment • an income tax expense adjustment, which represents the non-cash tax impact due to changes in valuation allowances, uncertain tax positions and deferred taxes • recurring capital expenditures, which represent expenditures to extend the useful life of data centers or other assets that are required to support current revenues • net income or loss from discontinued operations, net of tax 60 Table of Contents • adjustments from FFO to AFFO for unconsolidated joint ventures' and non-controlling interests' share of these items The following tables present reconciliations of FFO and AFFO to net income (in millions): Years Ended December 31, 2025 2024 2023 Net income $ 1,348 $ 814 $ 969 Net (income) loss attributable to non-controlling interests 2 1 — Net income attributable to common stockholders 1,350 815 969 Adjustments: Real estate depreciation 1,282 1,239 1,143 (Gain) loss on disposition of real estate assets — (20) 1 Adjustments for FFO from unconsolidated joint ventures 36 27 17 FFO attributable to common stockholders $ 2,668 $ 2,061 $ 2,130 Years Ended December 31, 2025 2024 2023 FFO attributable to common stockholders $ 2,668 $ 2,061 $ 2,130 Adjustments: Installation revenue adjustment 20 (4) 4 Straight-line rent expense adjustment 5 (3) 12 Contract cost adjustment (52) (27) (47) Amortization of deferred financing costs and debt discounts 23 20 19 Stock-based compensation expense 498 462 407 Stock-based charitable contributions 3 3 3 Non-real estate depreciation expense 568 562 494 (Gain) loss on disposition of non-real estate assets (1) — — Amortization expense 200 208 208 Accretion expense adjustment 16 2 (1) Recurring capital expenditures (284) (250) (219) (Gain) loss on debt extinguishment (1) 16 — Restructuring and other exit charges 33 31 — Transaction costs 18 50 13 Impairment charges 68 233 2 Income tax expense adjustment (24) (2) (12) Adjustments for AFFO from unconsolidated joint ventures 3 (6) 6 AFFO attributable to common stockholders $ 3,761 $ 3,356 $ 3,019 Constant Currency Presentation Our revenues and certain operating expenses (cost of revenues, sales and marketing and general and administrative expenses) from our international operations have represented and will continue to represent a significant portion of our total revenues and certain operating expenses.
Non-GAAP Financial Measures We provide all information required in accordance with GAAP, but we believe that evaluating our ongoing results of operations may be difficult if limited to reviewing only GAAP financial measures. Accordingly, we use non-GAAP financial measures to evaluate our operations. Non-GAAP financial measures are not a substitute for financial information prepared in accordance with GAAP.
Non-GAAP Financial Measures We provide all information required in accordance with GAAP, but we believe that evaluating our ongoing results of operations may be difficult if limited to reviewing only GAAP financial measures. Accordingly, we also use non-GAAP financial measures to evaluate our operations. Non-GAAP financial measures are not a substitute for financial information prepared in accordance with GAAP.
We define adjusted EBITDA as net income excluding income tax expense, interest income, interest expense, other income or expense, gain or loss on debt extinguishment, depreciation, amortization, accretion, stock-based compensation expense, restructuring charges, impairment charges, transaction costs, and gain or loss on asset sales.
We define adjusted EBITDA as net income excluding income tax expense, interest income, interest expense, other income or expense, gain or loss on debt extinguishment, depreciation, amortization, accretion, stock-based compensation expense, restructuring and other exit charges, impairment charges, transaction costs, and gain or loss on asset sales.
We depreciate our property, plant and equipment using the straight-line method over the estimated useful lives of the respective assets (subject to the term of the lease in the case of leased assets or leasehold improvements and integral equipment located in leased properties).
We depreciate our property, plant and equipment using the straight-line method over the estimated useful lives of the assets (subject to the term of the lease in the case of leased assets or leasehold improvements and integral equipment located in leased properties).
Our management's discussion and analysis of financial condition and results of operations is intended to assist readers in understanding our financial information from our management's perspective and is presented as follows: • Overview • Results of Operations • Non-GAAP Financial Measures • Liquidity and Capital Resources • Critical Accounting Policies and Estimates • Recent Accounting Pronouncements Overview We provide a global, vendor-neutral data center, interconnection and edge solutions platform with offerings that aim to enable our customers to reach everywhere, interconnect everyone and integrate everything.
Our management's discussion and analysis of financial condition and results of operations is intended to assist readers in understanding our financial information from our management's perspective and is presented as follows: • Overview • Results of Operations • Non-GAAP Financial Measures • Liquidity and Capital Resources • Critical Accounting Estimates • Recent Accounting Pronouncements Overview We provide a global, vendor-neutral data center, interconnection and edge solutions platform with offerings that enable our customers to reach everywhere, interconnect everyone and integrate everything.
To present this information, our current period revenues and certain operating expenses denominated in currencies other than the U.S. dollar are converted into U.S. dollars at constant exchange rates rather than the actual exchange rates in effect during the respective periods (i.e. average rates in effect for the year ended December 31, 2023 are used as exchange rates for the year ended December 31, 2024 when comparing the year ended December 31, 2024 with the year ended December 31, 2023).
To present this information, our current period revenues and certain operating expenses denominated in currencies other than the U.S. dollar are converted into U.S. dollars at constant exchange rates rather than the actual exchange rates in effect during the respective periods (i.e. average rates in effect for the year ended December 31, 2024 are used as exchange rates for the year ended December 31, 2025 when comparing the year ended December 31, 2025 with the year ended December 31, 2024).
They also look to Platform Equinix ® for the ability to directly and securely interconnect to the networks, clouds and content that enable today's information-driven global digital economy.
They also look to Equinix for the ability to directly and securely interconnect to the networks, clouds and content that enable today's information-driven global digital economy.
For the year ended December 31, 2024, we recorded net other expense of $17 million, largely driven by our share of losses incurred on our equity method investments in our xScale joint ventures. We did not record a significant amount of net other expense during the year ended December 31, 2023. Gain or Loss on Debt Extinguishment.
For the year ended December 31, 2024, we recorded net other expense of $17 million, largely driven by our share of losses incurred on our equity method investments in our xScale joint ventures. Gain or Loss on Debt Extinguishment. We did not record a significant amount of gain or loss on debt extinguishment during the year ended December 31, 2025.
Taxation as a REIT: We elected to be taxed as a REIT for U.S. federal income tax purposes beginning with our 2015 taxable year. As of December 31, 2024, our REIT structure included a majority of our data center operations in the Americas and EMEA regions, as well as the data center operations in Japan, Singapore, and Malaysia.
Taxation as a REIT: We elected to be taxed as a REIT for U.S. federal income tax purposes beginning with our 2015 taxable year. As of December 31, 2025, our REIT structure included a majority of our data center operations in the Americas and EMEA regions, as well as the data center operations in Japan, Singapore, and Malaysia.
If the opportunity to expand is greater than planned we may further increase the level of capital expenditure to support this growth as well as pursue additional business and real estate acquisitions or joint ventures, provided that we have or can access sufficient funding to pursue such expansion opportunities.
If the opportunity to expand is greater than planned we may further increase the level of capital expenditures to support this growth as well as pursue additional business and real estate acquisitions or joint ventures, provided that we have or can access sufficient funding to pursue such expansion opportunities.
U.S. income taxes for the TRS entities located in the U.S. and foreign income taxes for our foreign operations, regardless of whether the foreign operations are operated as QRSs or TRSs, have been accrued, as necessary, for the years ended December 31, 2024 and 2023.
U.S. income taxes for the TRS entities located in the U.S. and foreign income taxes for our foreign operations, regardless of whether the foreign operations are operated as QRSs or TRSs, have been accrued, as necessary, for the years ended December 31, 2025 and 2024.
We also have additional liquidity available to us from our 2024 ATM program, under which we may offer and sell from time to time our common stock in "at the market" transactions on either a spot or forward basis. As of December 31, 2024, we had approximately $1.3 billion available for sale remaining under the 2024 ATM Program.
We also have additional liquidity available to us from our 2024 ATM program, under which we may offer and sell from time to time our common stock in "at the market" transactions on either a spot or forward basis. As of December 31, 2025, we had approximately $1.2 billion available for sale remaining under the 2024 ATM Program.
The preparation of our financial statements requires management to make estimates and assumptions about future events that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period.
The preparation of our financial statements requires management to make estimates and assumptions about future events that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities, and the reported amounts of revenues and expenses during the reporting period.
Each time we enter into a new lease or lease amendments, we analyze each lease or lease amendment for the proper accounting, including assessing if it should be classified as an operating or finance lease. ROU assets are also assessed for impairment at the asset group level along with property, plant and equipment as discussed above.
Each time we enter into a new lease or lease amendment, we analyze each contract for the proper accounting, including assessing if it should be classified as an operating or finance lease. ROU assets are assessed for impairment at the asset group level along with property, plant and equipment as discussed above.
In order to provide a framework for assessing how each of our business segments performed excluding the impact of foreign currency fluctuations, we present period-over-period percentage changes in our revenues and certain operating expenses on a constant currency basis in addition to the historical amounts as reported.
In order to provide a 61 Table of Contents framework for assessing how each of our business segments performed excluding the impact of foreign currency fluctuations, we present period-over-period percentage changes in our revenues and certain operating expenses on a constant currency basis in addition to the historical amounts as reported.
During the year ended December 31, 2024 as compared to the same period in 2023, the U.S. dollar was weaker relative to the British Pound, which resulted in a favorable foreign currency impact on revenue and operating income, and an unfavorable foreign currency impact on operating expenses.
During the year ended December 31, 2025 as compared to the same period in 2024, the U.S. dollar was weaker relative to the British pound and euro, which resulted in a favorable foreign currency impact on revenue and operating income, and an unfavorable foreign currency impact on operating expenses.
Global enterprises, service providers and business ecosystems of industry partners rely on our IBX data centers and expertise around the world for the safe housing of their critical IT equipment and to protect and connect the world's most valued information assets.
Global enterprises, service providers and business ecosystems of industry partners rely on our IBX data centers and expertise around the world for the safe housing of their critical IT equipment and to protect and connect the 48 Table of Contents world's most valued information assets.
This built-in-gain tax is generally applicable to any disposition of such an asset during the five-year period after the date we first owned the asset as a REIT asset to the extent of the built-in-gain based on the fair market value of such asset on the date we first held the asset as a REIT asset.
This built-in-gain tax is generally applicable to any disposition of such an asset during the five-year period after the date we first owned the asset as a REIT asset to the extent of the built-in-gain based 51 Table of Contents on the fair market value of such asset on the date we first held the asset as a REIT asset.
As of both December 31, 2024 and 2023, the total operating lease ROU assets were $1.4 billion and operating lease liabilities were $1.5 billion, respectively. As of both December 31, 2024 and 2023, finance lease ROU assets were $2.2 billion and finance lease liabilities were $2.3 billion, respectively.
As of both December 31, 2025 and 2024, the total operating lease ROU assets were $1.4 billion and operating lease liabilities were $1.5 billion, respectively. As of December 31, 2025 and 2024, finance lease ROU assets were $2.3 billion and $2.2 billion, respectively and finance lease liabilities were $2.4 billion and $2.3 billion, respectively.
These 53 Table of Contents constraints could have a negative impact on our ability to grow revenues, affecting our financial performance, results of operations and cash flows and the growth opportunities presented by the adoption of new technologies, including AI.
These constraints could have a negative impact on our ability to grow revenues, affecting our financial performance, results of operations and cash flows and the growth opportunities presented by the adoption of new technologies, including AI.
In particular, while state income tax regimes often parallel the U.S. federal income tax regime for REITs, many states do not completely follow federal rules, and some may not follow them at all. 55 Table of Contents We continue to monitor our REIT compliance in order to maintain our qualification for U.S. federal income taxation as a REIT.
In particular, while state income tax regimes often parallel the U.S. federal income tax regime for REITs, many states do not completely follow federal rules, and some may not follow them at all. We continue to monitor our REIT compliance in order to maintain our qualification for U.S. federal income taxation as a REIT.
Our data center operations in other jurisdictions are operated as TRSs. We have also included our share of the assets in xScale joint ventures, with the exception of Korea, in our REIT structure. As a REIT, we generally are permitted to deduct from our U.S. federal taxable income the dividends we pay to our stockholders.
Our data center operations in other jurisdictions are operated as TRSs. We have also included our share of the assets in xScale joint ventures (with the exception of the APAC 3 Joint Venture) in our REIT structure. As a REIT, we generally are permitted to deduct from our U.S. federal taxable income the dividends we pay to our stockholders.
Our Asia-Pacific general and administrative expenses did not materially change during the year ended December 31, 2024 compared to the year ended December 31, 2023.
Our Asia-Pacific general and administrative expenses did not materially change during the year ended December 31, 2025 compared to the year ended December 31, 2024.
In addition to our cash balance, we had $3.9 billion of additional liquidity available to us from our $4.0 billion revolving facility and general access to both public and private debt and the equity capital markets.
In addition to our cash balance, we had approximately $4.0 billion of additional liquidity available to us from our $4.0 billion revolving facility and general access to both public and private debt and the equity capital markets.
For additional information, see “Maturities of Lease Liabilities” in Note 9 within the Consolidated Financial Statements. 68 Table of Contents Critical Accounting Estimates Our consolidated financial statements are prepared in accordance with U.S. GAAP.
For additional information, see “Maturities of Lease Liabilities” in Note 9 within the Consolidated Financial Statements. Critical Accounting Estimates Our consolidated financial statements are prepared in accordance with U.S. GAAP.
Material Cash Commitments As of December 31, 2024, our principal commitments were primarily comprised of: • approximately $14.7 billion of principal from our senior notes (gross of debt issuance costs and debt d is counts); • approximately $3.5 billion of interest on mortgage payable, other loans payable, senior notes and term loans, based on their respective interest rates and recognized over the life of these instruments, and the credit facility fee for the revolving credit facility; • $649 million of principal from our term loans, mortgage payable and other loans payable (gross of debt issuance costs and debt discounts); • approximately $5.3 billion of total lease payments, which represents lease payments under finance and operating lease arrangements, including renewal options that are reasonably certain to be exercised; • approximately $2.9 billion of unaccrued capital expenditure contractual commitments, primarily for IBX equipment not yet delivered and labor not yet provided in connection with the work necessary to complete construction and open IBX data center expansion projects prior to making them available to customers for installation, the majority of which is payable within the next 12 months; and • approximately $2.1 billion of other non-capital purchase commitments, such as commitments to purchase power in select locations and other open purchase orders, which contractually bind us for goods, services or arrangements to be delivered or provided during 2025 and beyond, the majority of which is payable within the next two years.
Material Cash Commitments As of December 31, 2025, our principal commitments were primarily comprised of: • approximately $18.4 billion of principal from our senior notes (gross of debt issuance costs and debt d is counts); • approximately $4.2 billion of interest on mortgage payable, other loans payable, senior notes and term loans, based on their respective interest rates and recognized over the life of these instruments, and the credit facility fee for the revolving credit facility; • $703 million of principal from our term loans, mortgage payable and other loans payable (gross of debt issuance costs and debt discounts); • approximately $5.3 billion of total lease payments, which represents lease payments under finance and operating lease arrangements, including renewal options that are reasonably certain to be exercised; • approximately $6.3 billion of unaccrued capital expenditure contractual commitments, primarily for real estate purchases, IBX infrastructure equipment not yet delivered and labor not yet provided in connection with the work necessary to complete construction and open IBX data center expansion projects prior to making them available to customers for installation, the majority of which is payable within the next 12 months; and • approximately $2.1 billion of other non-capital purchase commitments, such as commitments to purchase power in select locations and other open purchase orders, which contractually bind us for goods, services or arrangements to be delivered or provided during 2026 and beyond, the majority of which is payable within the next two years.
Liquidity and Capital Resources Sources and Uses of Cash Customer collections are our primary source of cash. We believe we have a strong customer base, and have continued to experience relatively strong collections. As of December 31, 2024, our principle sources of liquidity were $3.6 billion of cash, cash equivalents and short-term investments.
Liquidity and Capital Resources Sources and Uses of Cash Customer collections are our primary source of cash. We believe we have a strong customer base, and have continued to experience relatively strong collections. As of December 31, 2025, our principle sources of liquidity were $3.2 billion of cash, cash equivalents and short-term investments.
Item 7 of this Form 10-K focuses on discussion of 2024 and 2023 items as well as 2024 results as compared to 2023 results. For the discussion of 2022 items and 2023 results as compared to 2022 results, please refer to Item 7 of our 2023 Form 10-K as filed with the SEC on February 16, 2024.
Item 7 of this Form 10-K focuses on discussion of 2025 and 2024 items as well as 2025 results as compared to 2024 results. For the discussion of 2023 items and 2024 results as compared to 2023 results, please refer to Item 7 of our 2024 Form 10-K as filed with the SEC on February 12, 2025.
The income represented by such dividends is not subject to U.S. federal income taxes at the entity level but is taxed in the U.S., if at all, at the stockholder level. Depending on a stockholder's citizenship and residency, the income could be taxed by other jurisdictions as well.
The taxable income represented by such dividends is not subject to U.S. federal income taxes at the entity level but is taxed in the U.S., if at all, at the stockholder level. Depending on a shareholder's citizenry and residency, the income could be taxed by other jurisdictions as well.
These assumptions and estimates require significant judgment and are inherently uncertain. As of December 31, 2024 and 2023, we had property, plant and equipment of $19.2 billion and $18.6 billion, respectively. During the years ended December 31, 2024, 2023 and 2022, we recorded depreciation expense of $1.8 billion, $1.6 billion, and $1.5 billion, respectively.
These assumptions and estimates require significant judgment and are inherently uncertain. As of December 31, 2025 and 2024, we had property, plant and equipment of $23.6 billion and $19.2 billion, respectively. During the years ended December 31, 2025, 2024 and 2023, we recorded depreciation expense of $1.9 billion, $1.8 billion, and $1.6 billion, respectively.
See “Non-GAAP Financial Measures” below for further discussion. 56 Table of Contents Years ended December 31, 2024 and 2023 Revenues.
See “Non-GAAP Financial Measures” below for further discussion. 52 Table of Contents Years ended December 31, 2025 and 2024 Revenues.
The Equinix global platform, and the quality of our offerings, have enabled us to establish a critical mass of customers. As more customers choose Platform Equinix for bandwidth cost and performance reasons, it benefits their suppliers and business partners to colocate in the same data centers and connect directly with each other.
The Equinix global platform, and the quality of our offerings, have enabled us to establish a critical mass of customers. As more customers choose Equinix for high connectivity and performance reliability at the metro edge, it benefits their suppliers and business partners to colocate in the same data centers and connect directly with each other.
Non-GAAP financial measures should not be considered in isolation, but should be considered together with the most directly comparable GAAP financial measures and the reconciliation of the non-GAAP financial measures to the most directly comparable GAAP financial measures.
Non-GAAP financial measures should not be considered in isolation, but should be considered together with the most directly comparable GAAP financial measures.
We offer the following solutions: • premium data center colocation; • interconnection and data exchange solutions; • edge solutions for deploying networking, security and hardware; and • remote expert support and professional services. Our data centers around the world allow our customers to bring together and interconnect the infrastructure they need to fast-track their digital advantage.
We offer the following solutions: • premium data center colocation; • physical and virtual interconnection and data exchange solutions; • edge solutions for deploying networking, security and hardware; and • remote expert support and professional services. Our data centers around the world allow our customers to bring together and interconnect the infrastructure they need to seamlessly operate their business.
During the year ended December 31, 2024, Asia-Pacific adjusted EBITDA increased by $173 million or 21% (22% on a constant currency basis), primarily due to higher revenues as a result of non-recurring services provided to our joint ventures, IBX data center expansion activity and organic growth, and lower utilities costs, as described above.
Asia-Pacific Adjusted EBITDA. During the year ended December 31, 2025, Asia-Pacific adjusted EBITDA increased by $69 million or 7% (6% on a constant currency basis), primarily due to higher revenues as a result of IBX data center expansion activity and organic growth, offset by lower revenues as a result of non-recurring services provided to our joint ventures, as described above.
During the year ended December 31, 2024, Americas revenues increased by $245 million or 7% (7% on a constant currency basis).
During the year ended December 31, 2025, Americas revenues increased by $249 million or 6% (7% on a constant currency basis).
Growth in EMEA revenues was primarily due to: • approximately $36 million of incremental revenues generated from IBX data centers which opened within the twelve months ended December 31, 2024; and • an increase in orders from both our existing customers and new customers during the period.
Growth in EMEA revenues was primarily due to: • approximately $57 million of incremental revenues generated from IBX data center expansion projects which were completed within the twelve months ended December 31, 2025; and • an increase in orders from both our existing customers and new customers during the period.
During the year ended December 31, 2024 as compared to the same period in 2023, the 66 Table of Contents U.S. dollar was stronger relative to the Japanese yen, which resulted in an unfavorable foreign currency impact on revenue and operating income, and a favorable foreign currency impact on operating expenses.
During the year ended December 31, 2025 as compared to the same period in 2024, the U.S. dollar was stronger relative to the Brazilian real and Canadian dollar, which resulted in an unfavorable foreign currency impact on revenue and operating income, and a favorable foreign currency impact on operating expenses.
During the year ended December 31, 2024, Americas adjusted EBITDA increased by $95 million or 6% (7% on a constant currency basis), primarily due to higher revenues as a result of non-recurring services provided to our joint ventures, IBX data center expansion activity and organic growth, as described above. 63 Table of Contents EMEA Adjusted EBITDA.
During the year ended December 31, 2025, Americas adjusted EBITDA increased by $181 million or 11% (11% on a constant currency basis), primarily due to higher revenues as a result of IBX data center expansion activity and organic growth, partially offset by lower revenues as a result of non-recurring services provided to our joint ventures, as described above.
EMEA Revenues . During the year ended December 31, 2024, EMEA revenues increased by $129 million or 5% (3% on a constant currency basis).
During the year ended December 31, 2025, EMEA revenues increased by $163 million or 5% (4% on a constant currency basis).
We consider these offerings recurring because our customers are generally billed on a fixed and recurring basis each month for the duration of their contract, which is generally one to five years in length, and thereafter automatically renews in one-year increments. Our recurring revenues have comprised more than 90% of our total revenues during the past three years.
We consider these offerings recurring because our customers are generally billed 50 Table of Contents on a fixed and recurring basis each month for the duration of their contract, which is generally one to five years in length, and thereafter automatically renews in one-year increments.
Our 52 Table of Contents recent IBX data center openings and acquisitions, as well as xScale TM data center investments, have expanded our total global footprint to 268 IBXs, including 20 xScale data centers and the MC1 data center that are held in unconsolidated joint ventures, across 74 markets around the world.
Our recent IBX data center openings and acquisitions, as well as xScale TM data center investments, have expanded our total global footprint to 280 data centers, including 23 xScale data centers and the MC1 and SN1 data centers that are held in unconsolidated joint ventures, across 77 markets around the world.
Although we generally do not control the amount of power our customers draw from installed circuits, we have negotiated power consumption limitations with certain high power-demand customers.
As a result, customers are consuming an increasing amount of power per cabinet. Although we generally do not control the amount of power our customers draw from installed circuits, we have negotiated power consumption limitations with certain high power-demand customers.
Management believes that application of the following accounting policies involves a significant level of estimation uncertainty and have had or are reasonably likely to have a material impact on our consolidated financial statements: • Accounting for income taxes; • Accounting for business combinations; • Accounting for impairment of goodwill and other intangible assets; • Accounting for property, plant and equipment; and • Accounting for leases. 69 Table of Contents Description Judgments and Uncertainties Effect if Actual Results Differ from Assumptions Accounting for Income Taxes.
Management believes that application of the following accounting policies involves a significant level of estimation uncertainty that have had or are reasonably likely to have a material impact on our consolidated financial statements: • Accounting for property, plant and equipment and finite-lived intangible assets; and • Accounting for leases. 64 Table of Contents Description Estimation Uncertainties Effect if Actual Results Differ from Assumptions Accounting for Property, Plant and Equipment and Finite-Lived Intangible Assets We have a substantial amount of property, plant and equipment recorded on our consolidated balance sheets.
Our sales and marketing expenses for the years ended December 31, 2024 and 2023 by geographic regions were as follows ($ in millions): Years ended December 31, $ Change % Change 2024 % 2023 % Actual Actual Constant Currency Americas $ 575 65% $ 552 64% $ 23 4% 4% EMEA 199 22% 195 23% 4 2% 2% Asia-Pacific 117 13% 108 13% 9 8% 9% Total $ 891 100% $ 855 100% $ 36 4% 4% 59 Table of Contents Sales and Marketing Expenses ($ in millions; percentages indicate expenses as a percentage of revenues) Americas Sales and Marketing Expenses .
Our sales and marketing expenses for the years ended December 31, 2025 and 2024 by geographic regions were as follows ($ in millions): Years ended December 31, $ Change % Change 2025 % 2024 % Actual Actual Constant Currency Americas $ 582 64% $ 575 65% $ 7 1% 2% EMEA 208 23% 199 22% 9 5% 2% Asia-Pacific 113 13% 117 13% (4) (3)% (3)% Total $ 903 100% $ 891 100% $ 12 1% 1% Sales and Marketing Expenses ($ in millions; percentages indicate expenses as a percentage of revenues) 55 Table of Contents Americas Sales and Marketing Expenses .
The majority of our property, plant and equipment represent the costs incurred to build out or acquire our IBX data centers. Our IBX data centers are long-lived assets.
The majority of our property, plant and equipment balance represents the costs incurred to build out or acquire our IBX data centers.
For the years ended December 31, 2024 and 2023, we recorded $161 million and $155 million of income tax expenses, respectively. Our effective tax rates were 16.5% and 13.8%, respectively, for the years ended December 31, 2024 and 2023.
For the years ended December 31, 2025 and 2024, we recorded $160 million and $161 million of income tax expenses, respectively. Our effective tax rates were 10.6% and 16.5%, respectively, for the years ended December 31, 2025 and 2024. Net Income.
However, there are certain costs that are considered more variable in nature, including utilities and supplies that are directly related to growth in our existing and new customer base. In addition, the cost of electricity is generally higher in the summer months, as compared to other times of the year.
However, there are certain costs that are considered more variable in nature, including utilities and supplies that are directly related to growth in our existing and new customer base. In addition, the cost of electricity is subject to seasonal fluctuations.
Other Contractual Obligations We have additional future equity contributions and loan commitments to our joint ventures. For additional information, see the "Equity Method Investments" in Note 5 within the Consolidated Financial Statements. Additionally, we entered into lease agreements with various landlords primarily for data center spaces and ground leases which have not yet commenced as of December 31, 2024.
For additional information, see the "Equity Method Investments" in Note 5 within the Consolidated Financial Statements. 63 Table of Contents Additionally, we entered into lease agreements with various landlords primarily for data center spaces and ground leases which have not yet commenced as of December 31, 2025.
EMEA Sales and Marketing Expens es. Our EMEA sales and marketing expenses did not materially change during the year ended December 31, 2024 compared to the year ended December 31, 2023. Asia-Pacific Sales and Marketing Expenses. During the year ended December 31, 2024, Asia-Pacific sales and marketing increased by $9 million or 8% (9% on a constant currency basis).
During the year ended December 31, 2025, EMEA sales and marketing increased by $9 million or 5% (2% on a constant currency basis) driven by insignificant increases across various categories. Asia-Pacific Sales and Marketing Expenses. Our Asia-Pacific sales and marketing expenses did not materially change during the year ended December 31, 2025 compared to the year ended December 31, 2024.
During the year ended December 31, 2024, Americas cost of revenues increased by $185 million or 11% (12% on a constant currency basis).
During the year ended December 31, 2025, Americas cost of revenues increased by $62 million or 3% (4% on a constant currency basis).
During the year ended December 31, 2024, Asia-Pacific income from operations increased by $54 million or 12% (15% on a constant currency basis), primarily due to higher revenues as a result of non-recurring services provided to our joint ventures, IBX data center expansion activity and organic growth, as well as lower utilities costs.
During the year ended December 31, 2025, EMEA adjusted EBITDA increased by $183 million or 13% (12% on a constant currency basis), primarily due to higher revenues as a result of IBX data center expansion activity and organic growth and lower utilities costs, partially offset by lower revenues as a result of non-recurring services provided to our joint ventures, as described above.
Like our recent expansions and acquisitions, the right combination of these factors may be attractive to us. Depending on the circumstances, these transactions may require additional capital expenditures funded by upfront cash payments or through long-term financing arrangements in order to bring these properties up to our standards.
Depending on the circumstances, these transactions may require additional capital expenditures funded by upfront cash payments or through long-term financing arrangements in order to bring these properties up to our standards. Property expansion may be in the form of purchases of real property, long-term leasing arrangements or acquisitions.
Additionally, given that our corporate headquarters is located in the U.S., we expect the Americas general and administrative expenses as a percentage of revenues to be higher than those of other regions. Restructuring Charges. During the year ended December 31, 2024, we recorded restructuring charges of $31 million primarily related to severance and other employee costs.
Additionally, given that our corporate headquarters is located in the U.S., we expect the Americas general and administrative expenses as a percentage of revenues to be higher than that of other regions. Restructuring and Other Exit Charges.
See Note 17 within the Consolidated Financial Statements. Gain or Loss on Asset Sales. During the year ended December 31, 2024, we recorded a gain of $18 million, related to the sale of the Silicon Valley 12 ("SV12") data center.
During the year ended December 31, 2025, we did not record a significant amount of gain or loss on asset sales. During the year ended December 31, 2024, we recorded a gain of $18 million related to the sale of the Silicon Valley 12x ("SV12x") data center. See Note 5 within the Consolidated Financial Statements. Income from Operations.
As such, other than certain state income taxes and foreign income and withholding taxes, no provision for income taxes has been included for our REIT and QRSs in the accompanying consolidated financial statements for the years ended December 31, 2024 and 2023. We have made TRS elections for some of our subsidiaries in and outside the U.S.
As such, other than certain state income taxes and foreign 57 Table of Contents income and withholding taxes, no provision for income taxes has been included for our REIT and QRSs in the accompanying consolidated financial statements for the years ended December 31, 2025 and 2024.
We believe that the inclusion of these non-GAAP financial measures provides consistency and comparability with past reports and provides a better understanding of the overall performance of the business and ability to perform in subsequent periods. We believe that if we did not provide such non-GAAP financial information, investors would not have all the necessary data to analyze us effectively.
We believe that presenting these non-GAAP financial measures provides consistency and comparability with past reports and that if we did not provide such non-GAAP financial information, investors would not have all the necessary data to analyze our business effectively.
Cash Flow Years Ended December 31, 2024 2023 Change (in millions) Net cash provided by operating activities $ 3,249 $ 3,217 $ 32 Net cash used in investing activities (3,937) (3,224) (713) Net cash provided by financing activities 1,723 211 1,512 Operating Activities Our cash provided by our operations is generated by colocation, interconnection, managed infrastructure and other revenues.
Cash Flow Years Ended December 31, 2025 2024 Change (in millions) Net cash provided by operating activities $ 3,911 $ 3,249 $ 662 Net cash used in investing activities (6,484) (3,937) (2,547) Net cash provided by financing activities 1,272 1,723 (451) Operating Activities Our cash provided by our operations is generated by colocation, interconnection, managed infrastructure and other revenues.
During the year ended December 31, 2024, EMEA general and administrative expenses increased by $14 million or 4% (4% on a constant currency basis). The increase in our EMEA general and administrative expenses was primarily due to higher compensation costs, including sales compensation, salaries and stock-based compensation driven by headcount growth. Asia-Pacific General and Administrative Expenses.
During the year ended December 31, 2025, Americas general and administrative expenses increased by $52 million or 4% (5% on a constant currency basis). The increase in our Americas general and administrative expenses was primarily due to $43 million of higher compensation costs, including stock-based compensation.
Growth in Asia-Pacific revenues was primarily due to: • $111 million of incremental revenues from non-recurring services provided to our joint ventures; • approximately $23 million of incremental revenues generated from IBX data centers which opened within the twelve months ended December 31, 2024; and • an increase in orders from both our existing customers and new customers during the period.
Growth in Asia-Pacific revenues was primarily due to: • approximately $27 million of incremental revenues generated from IBX data center expansion projects which were completed within the twelve months ended December 31, 2025; and • an increase in orders from both our existing customers and new customers during the period.
We expect our Americas sales and marketing expenses as a percentage of revenues to be higher than those of our other regions since certain global sales and marketing functions are located within the U.S. General and Administrative Expenses.
We anticipate that we will continue to invest in sales and marketing initiatives across our three regions in line with the growth of our business. We expect our Americas sales and marketing expenses as a percentage of revenues to be higher than those of our other regions since certain global sales and marketing functions are located within the U.S.
During the year ended December 31, 2024, we recorded $16 million of net loss on debt extinguishment primarily due to the modification of a financing obligation on a property in the Americas region. We did not record a significant amount of loss on debt extinguishment during the year ended December 31, 2023. Income Taxes.
During the year ended December 31, 2024, we recorded $16 million of net loss on debt extinguishment primarily due to the modification of a financing obligation on a property in the Americas region. Income Taxes. We operate as a REIT for U.S. federal income tax purposes.
Our general and administrative expenses for the years ended December 31, 2024 and 2023 by geographic regions were as follows ($ in millions): Years Ended December 31, $ Change % Change 2024 % 2023 % Actual Actual Constant Currency Americas $ 1,204 68% $ 1,106 67% $ 98 9% 9% EMEA 335 19% 321 19% 14 4% 4% Asia-Pacific 227 13% 227 14% — —% —% Total $ 1,766 100% $ 1,654 100% $ 112 7% 7% 60 Table of Contents General and Administrative Expenses ($ in millions; percentages indicate expenses as a percentage of revenues) Americas General and Administrative Expense s.
Our general and administrative expenses for the years ended December 31, 2025 and 2024 by geographic regions were as follows ($ in millions): Years Ended December 31, $ Change % Change 2025 % 2024 % Actual Actual Constant Currency Americas $ 1,256 68% $ 1,204 68% $ 52 4% 5% EMEA 351 19% 335 19% 16 5% 3% Asia-Pacific 233 13% 227 13% 6 3% 3% Total $ 1,840 100% $ 1,766 100% $ 74 4% 4% General and Administrative Expenses ($ in millions; percentages indicate expenses as a percentage of revenues) Americas General and Administrative Expense s.
Financing Activities Net cash provided by financing activities increased by $1.5 billion for the year ended December 31, 2024 as compared to December 31, 2023, primarily driven by: • $1.9 billion increase in proceeds from senior notes; and • $939 million increase in proceeds from the 2022 and 2024 ATM Programs.
Financing Activities Net cash provided by financing activities decreased by $451 million for the year ended December 31, 2025 as compared to December 31, 2024, primarily driven by: • $1.6 billion decrease in proceeds from the 2022 and 2024 ATM Programs; • $213 million increase in dividend distributions; and • $200 million increase in the repayment of senior notes.
We intend to distribute or have distributed the entire taxable income generated by the operations of our REIT and QRSs for the tax years ended December 31, 2024 and 2023, respectively.
As a REIT, we are generally not subject to U.S. federal income taxes on our taxable income distributed to stockholders. We intend to distribute or have distributed the entire taxable income generated by the operations of our REIT and QRSs for the tax years ended December 31, 2025 and 2024, respectively.
Our cost of revenues for the years ended December 31, 2024 and 2023 by geographic regions were as follows ($ in millions): Years Ended December 31, $ Change % Change 2024 % 2023 % Actual Actual Constant Currency Americas $ 1,802 41% $ 1,617 38% $ 185 11% 12% EMEA 1,674 37% 1,653 39% 21 1% 1% Asia-Pacific 991 22% 958 23% 33 3% 5% Total $ 4,467 100% $ 4,228 100% $ 239 6% 6% Cost of Revenues ($ in millions; percentages indicate expenses as a percentage of revenues) 58 Table of Contents Americas Cost of Revenues.
Our cost of revenues for the years ended December 31, 2025 and 2024 by geographic regions were as follows ($ in millions): Years Ended December 31, $ Change % Change 2025 % 2024 % Actual Actual Constant Currency Americas $ 1,864 41% $ 1,802 41% $ 62 3% 4% EMEA 1,650 37% 1,674 37% (24) (1)% (3)% Asia-Pacific 994 22% 991 22% 3 —% 1% Total $ 4,508 100% $ 4,467 100% $ 41 1% 1% Cost of Revenues ($ in millions; percentages indicate expenses as a percentage of revenues) 54 Table of Contents Americas Cost of Revenues.
Growth in Americas revenues was primarily due to: • $50 million of incremental revenues from non-recurring services provided to our joint ventures; 57 Table of Contents • approximately $47 million of incremental revenues generated from IBX data centers which opened within the twelve months ended December 31, 2024; and • an increase in orders from both our existing customers and new customers during the period.
Growth in Americas revenues was primarily due to: • approximately $99 million of incremental revenues generated from IBX data center expansion projects which were completed within the twelve months ended December 31, 2025; and 53 Table of Contents • an increase in orders from both our existing customers and new customers during the period.
In general, a TRS may provide services that would otherwise be considered impermissible for REITs to provide and may hold assets that may not be REIT compliant.
We have made TRS elections for some of our subsidiaries in and outside the U.S. In general, a TRS may provide services that would otherwise be considered impermissible for REITs to provide and may hold assets that may not be REIT compliant.
On an ongoing basis, management evaluates the accounting policies, assumptions, estimates and judgments to ensure that our consolidated financial statements are presented fairly and in accordance with GAAP.
On an ongoing basis, management evaluates the accounting policies, assumptions, estimates and judgments to ensure that our consolidated financial statements are presented fairly and in accordance with GAAP. Management bases its assumptions, estimates and judgments on historical experience, current trends and various other factors that we believe to be reasonable under the circumstances.
See Note 10 within the Consolidated Financial Statements. • In November and December, we sold 755,298 shares on a spot basis under the 2024 ATM Program for approximately $697 million, net of commissions and other offering expenses. See Note 11 within the Consolidated Financial Statements.
See Note 10 within the Consolidated Financial Statements. ◦ In February and March, we sold 107,493 shares on a spot basis under the 2024 ATM Program for approximately $99 million, net of commissions and other offering expenses. See Note 11 within the Consolidated Financial Statements. Annualized Gross Bookings: In 2025, we publicly disclosed our Annualized Gross Bookings metric.
The increase in our Asia-Pacific cost of revenues was primarily due to: • $32 million of costs to provide non-recurring services; and • $19 million of higher depreciation expense driven by IBX data center expansions and acceleration of depreciation expense for certain assets with shortened useful lives.
The increase in our Americas cost of revenues was primarily due to: • approximately $29 million of higher depreciation expense driven by IBX data center expansions and acceleration of depreciation expense for certain assets with shortened useful lives; and • $23 million of higher utilities costs, driven by both increases in power costs and higher utility usage.
For the years ended December 31, 2024, 2023 and 2022, we recorded finance lease costs of $294 million, $280 million and $273 million, respectively, and recorded rent expense of approximately $229 million, $243 million and $214 million, respectively. We recorded $38 million impairment charges on operating lease ROU assets during the year ended December 31, 2024.
For the years ended December 31, 2025, 2024 and 2023, we recorded finance lease costs of $310 million, $294 million and $280 million, respectively, and recorded rent expense of approximately $238 million, $229 million and $243 million, respectively.
Our adjusted EBITDA for the years ended December 31, 2024 and 2023 by geographic regions was as follows ($ in millions): Years Ended December 31, $ Change % Change 2024 % 2023 % Actual Actual Constant Currency Americas $ 1,709 41 % $ 1,614 44 % $ 95 6 % 7 % EMEA 1,378 34 % 1,251 34 % 127 10 % 9 % Asia-Pacific 1,010 25 % 837 22 % 173 21 % 22 % Total $ 4,097 100% $ 3,702 100% $ 395 11 % 11 % Americas Adjusted EBITDA.
Our adjusted EBITDA for the years ended December 31, 2025 and 2024 by geographic regions was as follows ($ in millions): Years Ended December 31, $ Change % Change 2025 % 2024 % Actual Actual Constant Currency Americas $ 1,890 42 % $ 1,709 41 % $ 181 11 % 11 % EMEA 1,561 34 % 1,378 34 % 183 13 % 12 % Asia-Pacific 1,079 24 % 1,010 25 % 69 7 % 6 % Total $ 4,530 100% $ 4,097 100% $ 433 11 % 10 % Americas Adjusted EBITDA.
These increase was partially offset by lower utilities costs, driven by decreases in power costs and lower utility usage in Hong Kong, Japan and Singapore. We expect cost of revenues to increase across all three regions in line with the growth of our business, including from the impact of acquisitions. Sales and Marketing Expenses .
We expect cost of revenues to increase across all three regions in line with the growth of our business, including from the impact of acquisitions. Sales and Marketing Expenses .
In addition, during the past three years, more than 90% of our monthly recurring revenue bookings came from existing customers, contributing to our revenue growth. Our largest customer accounted for approximately 3% of our recurring revenues for the years ended December 31, 2024, 2023 and 2022.
Our recurring revenues have comprised more than 90% of our total revenues during the past three years. In addition, during the past three years, more than 90% of our monthly recurring revenue bookings came from existing customers, contributing to our revenue growth.
However, revenues from installations are deferred and recognized ratably over the period of the contract term. Additionally, revenue from contract settlements, when a customer wishes to terminate their contract early, is generally treated as a contract modification and recognized ratably over the remaining term of the contract, if any.
Additionally, revenue from contract settlements, when a customer wishes to terminate their contract early, is generally treated as a contract modification and recognized ratably over the remaining term of the contract, if any. We expect non-recurring revenues to represent less than 10% of total revenues for the foreseeable future. Operating Expenses: Cost of Revenues.
Investors should note that the non-GAAP financial measures used by us may not be the same non-GAAP financial measures, and may not be calculated in the same manner, as those of other companies. Investors should therefore exercise caution when comparing non-GAAP financial measures used by us to similarly titled non-GAAP financial measures of other companies.
As such, we provide a reconciliation of the non-GAAP financial measures to the most directly comparable GAAP financial measures. 58 Table of Contents Investors should note that the non-GAAP financial measures used by us may not be the same non-GAAP financial measures, and may not be calculated in the same manner, as those of other companies.
We perform demand studies on an ongoing basis to determine if future expansion is warranted in a market. In addition, power and cooling requirements for most customers are growing on a per unit basis. As a result, customers are consuming an increasing amount of power per cabinet.
To the extent we have limited capacity available in a given market, it may limit our ability for growth in that market. We perform demand studies on an ongoing basis to determine if future expansion is warranted in a market. In addition, power and cooling requirements for most customers are growing on a per unit basis.
We evaluated the estimated useful lives of our property, plant and equipment, and made certain revisions to these estimates during the year ended December 31, 2024. We did not revise these estimates during the years ended December 31, 2023 and 2022.
We evaluated the estimated useful lives of our property, plant and equipment, and made certain revisions to these estimates during the years ended December 31, 2025 and 2024. Further changes in our estimated useful lives of our property, plant and equipment could have a significant impact on our results of operations.
For this and other reasons, as necessary, we may convert some of our data center operations in other countries into the REIT structure in future periods. On each of March 20, 2024, June 19, 2024, September 18, 2024 and December 11, 2024, we paid a quarterly cash dividend of $4.26 per share.
For this and other reasons, as necessary, we may convert some of our data center operations in other countries into the REIT structure in future periods.

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Item 7A. Quantitative and Qualitative Disclosures About Market Risk

Market Risk — interest-rate, FX, commodity exposure

15 edited+2 added−10 removed9 unchanged
Biggest changeThis has impacted our consolidated financial position and results of operations during this period, including the amount of revenues that we reported. Continued strengthening or weakening of the U.S. Dollar will continue to impact us in future periods. With the existing cash flow hedges in place, a hypothetical additional 10% strengthening of the U.S.
Biggest changeThe U.S. dollar generally weakened relative to certain of the currencies of the foreign countries in which we operate during the year ended December 31, 2025. This has impacted our consolidated financial position and results of operations during this period, including the amount of revenues that we reported.
When interest rate locks are settled, any accumulated gain or loss included as a component of other comprehensive income (loss) will be amortized to interest expense over the term of the forecasted hedged transaction which is equivalent to the term of the interest rate locks.
When interest rate locks are settled, any accumulated gain or loss included as a component of accumulated other comprehensive income (loss) will be amortized to interest expense over the term of the forecasted hedged transaction which is equivalent to the term of the interest rate locks.
An immediate increase or decrease in current interest rates from their position as of December 31, 2024 would not have a material impact on our interest expense due to the fixed coupon rate on the majority of our debt obligations.
An immediate increase or decrease in current interest rates from their position as of December 31, 2025 would not have a significant impact on our interest expense due to the fixed coupon rate on the majority of our debt obligations.
We have entered into various power contracts to purchase power at fixed prices in certain locations in Australia, Brazil, Bulgaria, Canada, Chile, Finland, France, Germany, India, Ireland, Italy, Japan, the Netherlands, Peru, Poland, Portugal, Singapore, Spain, Sweden, Switzerland, the United Kingdom and the U.S.
We closely monitor the cost of electricity at all of our locations. We have entered into various power contracts to purchase power at fixed prices in certain locations in Australia, Brazil, Canada, Chile, Finland, France, Germany, India, Ireland, Italy, Japan, the Netherlands, Peru, Poland, Portugal, Singapore, Spain, Sweden, Switzerland, the United Kingdom and the U.S.
Our hedging programs reduce, but do not entirely eliminate, the impact of currency exchange rate movements and their impact on the consolidated statements of operations. We have entered into various foreign currency debt obligations.
Our hedging programs reduce, but do not entirely eliminate, the impact of currency exchange rate movements and their impact on the consolidated statements of operations. We have entered into various foreign currency debt obligations as described in Note 10 within the consolidated financial statements.
Dollar during the year ended December 31, 2024 would have resulted in a reduction of our revenues and a reduction of our operating expenses including depreciation and amortization expense by approximately $282 million and $261 million, respectively. With the existing cash flow hedges in place, a hypothetical additional 10% weakening of the U.S.
With the existing cash flow hedges in place, a hypothetical 10% strengthening of the U.S. dollar during the year ended December 31, 2025 would have resulted in a reduction of our revenues and a reduction of our operating expenses including depreciation and amortization expense by approximately $285 million and $277 million, respectively.
Foreign Currency Risk To help manage the exposure to foreign currency exchange rate fluctuations, we have implemented a number of hedging programs, in particular (i) a cash flow hedging program to hedge the forecasted revenues and expenses in our EMEA region as well as our debt denominated in foreign currencies, (ii) a balance sheet hedging program to hedge the re-measurement of monetary assets and liabilities denominated in foreign currencies, and (iii) a net investment hedging program to hedge the long-term investments in our foreign subsidiaries.
(2) The carrying value is net of unamortized upfront fee. 67 Table of Contents Foreign Currency Risk To help manage the exposure to foreign currency exchange rate fluctuations, we have implemented a number of hedging programs, in particular (i) a cash flow hedging program to hedge the forecasted revenues and expenses in our EMEA region as well as our debt denominated in foreign currencies, (ii) a balance sheet hedging program to hedge the remeasurement of monetary assets and liabilities denominated in foreign currencies, and (iii) a net investment hedging program to hedge the long-term investments in our foreign subsidiaries.
We anticipate that we will recover the entire cost basis of these securities and have determined that no other-than-temporary impairments associated with credit losses were required to be recognized during the year ended December 31, 2024. As of December 31, 2024, our investment portfolio of cash equivalents consisted of money market funds and time deposits.
We anticipate that we will recover the entire cost basis of these securities and have determined that no other-than-temporary impairments associated with credit losses were required to be recognized during the year ended December 31, 2025.
The following table represents the carrying value and estimated fair value of these financial instruments as of December 31 (in millions): 73 Table of Contents 2024 2023 Carrying Value (1) Fair Value Carrying Value (1) Fair Value Mortgage and loans payable $ 649 $ 654 $ 672 $ 684 Senior notes 14,685 13,342 13,168 11,740 Loan receivable 261 280 — — (1) The carrying value is gross of debt issuance cost and debt discount.
The following table represents the carrying value and estimated fair value of these financial instruments as of December 31 (in millions): 2025 2024 Carrying Value Fair Value Carrying Value Fair Value Mortgage and loans payable (1) $ 703 $ 706 $ 649 $ 654 Senior notes (1) 18,359 17,297 14,685 13,342 Loan receivable (2) 328 351 258 280 (1) The carrying value is gross of debt issuance cost and debt discount.
As of December 31, 2024, we have designated $1.0 billion of the total principal amount of foreign currency debt obligations as net investment hedges against our net investments in foreign subsidiaries. Changes in the fair value of hedging instruments designated as net investment hedges are recorded as a component of accumulated other comprehensive income (loss) in the consolidated balance sheets.
These derivative instruments are also designated as net investment hedges against our net investments in foreign subsidiaries. Changes in the fair value of hedging instruments designated as net investment hedges are recorded as a component of accumulated other comprehensive income (loss) in the consolidated balance sheets.
The commodities most likely to have an impact on our results of operations in the event of price changes are electricity, supplies and equipment used in our IBX data centers. We closely monitor the cost of electricity at all of our locations.
Commodity Price Risk Certain operating costs incurred by us are subject to price fluctuations caused by the volatility of underlying commodity prices. The commodities most likely to have an impact on our results of operations in the event of price changes are electricity, supplies and equipment used in our IBX data centers.
The amount in our investment portfolio that could be susceptible to market risk totaled $2.5 billion. Interest Rate Risk We are exposed to interest rate risk related to our outstanding debt.
As of December 31, 2025, our investment portfolio of cash equivalents and short-term investments consisted of money market funds, time deposits and U.S. government securities. The amount in our investment portfolio that could be susceptible to market risk totaled $2.9 billion. Interest Rate Risk We are exposed to interest rate risk related to our outstanding debt.
We have designated $2.0 billion of the total notional amount of cross-currency swaps as net investment hedges against our investment in foreign subsidiaries and $1.0 billion as cash flow hedges against a portion of our foreign currency denominated debt and our U.S. dollar-denominated fixed-rate debt issued by our foreign subsidiaries.
Our foreign currency debt obligations that would otherwise remeasure through earnings are designated as net investment hedges against our net investments in foreign subsidiaries or are hedged by cross-currency interest rate swaps designated as cash flow hedges. Additionally, we enter cross-currency interest rate swaps to effectively convert some of our U.S. dollar-denominated debt into foreign currencies.
Dollar during the year ended December 31, 2024 would have resulted in an increase of our revenues and an increase of our operating expenses including depreciation and amortization expenses by approximately $344 million and $331 million, respectively. 74 Table of Contents Commodity Price Risk Certain operating costs incurred by us are subject to price fluctuations caused by the volatility of underlying commodity prices.
With the existing cash flow hedges in place, a hypothetical 10% weakening of the U.S. dollar during the year ended December 31, 2025 would have resulted in an increase of our revenues and an increase of our operating expenses including depreciation and amortization expense by approximately $355 million and $337 million, respectively.
We do not use financial instruments for trading or speculative purposes. Investment Portfolio Risk We maintain an investment portfolio of various holdings, types, and maturities that is prioritized on meeting REIT asset requirements.
We monitor our foreign currency and interest rate risk exposures by evaluating the potential for future losses in earnings due to changes in foreign currency exchange rates and interest rates, as further described below. Investment Portfolio Risk We maintain an investment portfolio of various holdings, types, and maturities that is prioritized on meeting REIT asset requirements.
Removed
We employ foreign currency forward and option contracts, cross-currency interest rate swaps and interest rate locks for the purpose of hedging certain specifically identified exposures. The use of these financial instruments is intended to mitigate some of the risks associated with fluctuations in currency exchange and interest rates, but does not eliminate such risks.
Added
As a result, we do not have a significant exposure to future losses in earnings resulting from our foreign currency debt obligations or cross-currency interest rate swaps. Further information about our use of foreign currency derivative instruments is described in Note 7 within the consolidated financial statements.
Removed
However, the interest expense associated with our senior credit facility and term loans that bear interest at variable rates could be affected.
Added
Continued strengthening or weakening of the U.S. dollar will continue to impact us in future periods.
Removed
For every 100-basis point increase or decrease in interest rates, our annual interest expense could increase by approximately $6 million or decrease by approximately $6 million based on the total balance of our term loan borrowings as of December 31, 2024.
Removed
As of December 31, 2024, the total principal amount of foreign currency debt obligations was $4.5 billion, including $3.0 billion denominated in Euro and $626 million denominated in British Pound, $491 million denominated in Japanese Yen, $441 million denominated in Swiss Franc and $21 million denominated in Canadian Dollar.
Removed
Fluctuations in the exchange rates between these foreign currencies and the U.S. Dollar will impact the amount of U.S. Dollars that we will require to settle the foreign currency debt obligations at maturity. If the U.S.
Removed
Dollar would have been weaker or stronger by 10% in comparison to these foreign currencies as of December 31, 2024, we estimate our obligation to cash settle the principal of these foreign currency debt obligations in U.S. Dollars would have increased or decreased by approximately $371 million and $304 million, respectively.
Removed
We are also party to cross-currency interest rate swaps. As of December 31, 2024, the total notional amount of cross-currency interest rate swap contracts was $4.4 billion.
Removed
The remaining $1.4 billion of cross-currency interest rate swaps were not designated as hedging instruments. As of December 31, 2023, the total notional amount of cross-currency interest rate swap contracts was $4.5 billion.
Removed
We have designated $3.1 billion of the total notional amount of cross-currency swaps as net investment hedges against our investment in foreign subsidiaries and $280 million as cash flow hedges against a portion of our foreign currency denominated debt. The remaining $1.1 billion of cross-currency interest rate swaps were not designated as hedging instruments. If the U.S.
Removed
Dollar weakened or strengthened by 10% in comparison to foreign currencies, we estimate our obligation to cash settle these hedges would have increased or decreased by approximately $261 million and $216 million, respectively. The U.S. Dollar strengthened relative to certain of the currencies of the foreign countries in which we operate during the year ended December 31, 2024.