Quincy Data Sets Up Weehawken PoP

Quincy Data Sets Up Weehawken PoP

Inside Market Data | 04 Nov 2013

 

Oakland, Calif.-based low-latency connectivity and market data provider Quincy Data has established a point of presence in Savvis’ NJ2 datacenter in Weehawken, New Jersey to provide firms co-located in the facility with ultra-low-latency futures data via its wireless network from CME Group’s datacenter in Aurora, Illinois.

The Quincy Extreme Data (QED) service, which leverages microwave connectivity from Quincy’s sister company McKay Brothers, can deliver market data from Aurora to Weehawken in 4.14 milliseconds rack-to-rack, according to latency figures from the vendor.

Due to the lower bandwidths associated with microwave delivery, Quincy will deliver only a subset of the most in-demand market data from CME Group exchanges, including equity, treasury, energy, currency and metals futures, says Jim Considine, director of business development and  strategy at Quincy.

“The NJ2 facility hosts the BATS Exchange, so there are definitely firms that have trading engines or their own servers located in Weehawken, and they will likely be interested in getting CME equity futures data to support their trading strategies,” Considine says.

Currently, Quincy supports one-way delivery of CME data into the Savvis facility, but the vendor plans to add BATS data to the service by the second quarter of next year. “Then we can send [BATS data] westbound to Aurora and the 350 East Cermak Road datacenter in Chicago, where IntercontinentalExchange is located,” he adds.

Considine says the vendor is seeing consistent growth for its QED service from firms across the board, but due to issues with microwave delivery—such as outages from bad weather—most firms use microwaves as a complement to fiber rather than a replacement.

The addition of the new PoP in NJ2 is the latest in a string of network enhancements made by Quincy in the past 12 months to support the vendor’s bid to cover the “big four” trading centers in the New Jersey area. In December last year, the vendor established its first PoP in the Aurora facility, after which it added connectivity to Verizon’s datacenter in Carteret that houses Nasdaq OMX’s trading engines, and now Weehawken. “We are currently engaged in ongoing dialogue to add Mahwah and by the end of December, we also plan to distribute CME foreign exchange and futures data to firms located in Savvis’ NJ3 datacenter in Piscataway who trade on Comex,” Considine says.