Exchange wire atsny-eqix-ad-ix-rtb_20141104

Confidential – © 2014 Equinix Inc. www.equinix.com

Ad-IX: The Platform for

the RTB Platforms

November 4, 2014

Robert Blackburn | VP Sales, N. America West Region

Confidential – © 2014 Equinix Inc. www.equinix.com 1

The RTB Challenge

The exchanges’ bid windows have been shrinking…

For Impatient Web Users, an Eye Blink Is Just Too Long to Wait-- New York Times, Feb 2012

These days, even 400 milliseconds —

literally the blink of an eye — is too

long … That barely perceptible delay

causes people to search less.

…

People will visit a Web site less often if

it is slower than a close competitor by

more than 250 milliseconds.

…

Four out of five online users will click

away if a video stalls while loading. “Every millisecond matters.”

-- Arvind Jain, Google speed maestro


The RTB Challenge

... as largest exchanges set the market trends

Google is reducing the number of trading

locations to just four: US West Coast, US East

Coast, Europe and Asia

…

Google will be reducing the bid response deadline

[from] a 120ms response deadline [which] gave

bidders 40ms of network time and 80ms of think

time. The new bid response deadline is now set

to 100ms.

Google: Ad Exchange RTB Protocol changes

are permanent starting April 2 [2012]-- Web Pro News, Mar 2012


The RTB Challenge

• Less “think time”, when needed more than ever

– Growing profile data, 3rd party data sources,

more campaign parameters, more algorithms

• Less “think time” lower bid ratio

• Lower bid ratio increased chance of throttling

• Less think time

fewer bid responses

more throttling


RTB: public internet or interconnection?

• Internet Service Providers (ISP’s) have invested heavily in their networks

the past 20-30 years, more access types & speeds

• BUT the public internet is not designed for RTB

– Ubiquitous routing … reach anywhere from anywhere

– Resiliency within and

between metro areas

– Optimized for multiple factors

Traffic exchange and

contract commitments

Capacity availability for

underlying transport

Fewest “network hops” to

destination varies by ISP


Exchange Ecosystems enabled by Interconnection

Finance Ecosystem vs Ad RTB Ecosystem

“The U.S. stock market now trades inside black boxes, in

heavily guarded buildings in New Jersey and Chicago.”

― Michael Lewis, Flash Boys

https://www.goodreads.com/author/show/776.Michael_Lewis

https://www.goodreads.com/work/quotes/38053447


Brightroll Success Story

Brightroll Exchange: the World’s Fastest Video RTB Solution

• 80% reduction in RTB network latency

• 99% reduction in worst-case latency

• 48% increase in successful ad bid rateso More bids higher yields

o More completed bids effective campaign execution


Interconnect to RTB Exchanges & Bidders

globally

Los Angeles

Hong Kong

Silicon Valley

DCAmsterdam

New York

Singapore

100 Ad-IX customers around the world … over 20% operate in 3 regions


• Global Leader in Interconnection, Data Centers & Colocation

-- Synergy Research Group, June 2013

• Widest network neutral footprint

– 101 Data centers in 32 strategic global markets

across 15 countries

• Largest balance sheet, investment

capacity in our industry

– ~$2.4B annualized revenue, ~$7B invested 1998-2012

• Dynamic Ecosystem of Customers

– 900+ network service providers

– 800+ financial services companies

– 1,150+ Cloud & IT service providers

– 475+ content and digital media companies

About Equinix


What should you do now?

You need to have a talk

with your Operations

team …

… even if they are

very busy!

Exchange wire atsny-eqix-ad-ix-rtb_20141104

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