The U.S. is seeing a shift towards data center and carrier-neutral Internet Exchanges (IXs) to support the growing demands of AI and cloud-based applications.
A recent report from DE-CIX, prepared by Dstream Group, highlights a 600% increase in neutral IXs over the past decade, driven by advancements in cloud and AI technologies. These IXs allow companies access to a larger variety of operators, offering low-latency, high-resilience interconnection solutions.
Neutral IXs, now used by 80% of the market, offer businesses a broader, more flexible infrastructure than traditional IXs controlled by single data centers or carriers. This model promotes competition and collaboration, helping operators meet the rising need for rapid, reliable connectivity required by AI and IoT applications.
Notably, cities like New York have leveraged neutral IXs to build robust digital ecosystems, fostering interconnection between diverse networks.
The report also notes that as major data center hubs like Northern Virginia and Los Angeles face space and power constraints, secondary markets such as Dallas, Phoenix, and Columbus are emerging as key players, supported by tax incentives and improved connectivity. Neutral IXs, in these regions, provide the flexibility and scalability required to drive future growth and resilience across the U.S.