Equinix forecasts quarterly, annual revenue below estimates as strong dollar weighs
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Equinix has forecasted its first-quarter and annual revenue below estimates, citing the impact of a strong dollar and concerns over high spending on data center expansion driven by generative AI adoption.
February 12, 2025 | 10:15 pm
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Equinix's revenue forecast for the first quarter and the year is below estimates, impacted by a strong dollar and high spending on data center expansion due to generative AI adoption.
The strong dollar reduces the value of international revenues when converted to USD, negatively impacting Equinix's revenue forecast. Additionally, high spending on data center expansion due to generative AI adoption raises concerns about profitability, likely leading to a short-term negative impact on EQIX stock price.
CONFIDENCE 90
IMPORTANCE 80
RELEVANCE 100