While much of the network latency drive for financial companies has centered around the Chicago to New York route, Level 3's (NASDAQ: LVLT) new route between London and Frankfurt shows that the European low latency network opportunity is just as ripe.
Level 3's upgrade not only improves latency between London and Frankfurt, but also for its Frankfurt-to-New York and Frankfurt-to-Chicago routes. Offering circuit speeds up to 10 Gbps, customers will be able to choose two classes of service--Premiere and Advanced--that are tailored to their specific needs and are back up by a latency SLA. Premier customers will be able to access the faster ultra-low-latency route.
Already having a strong fiber network presence in Europe, Tim King, European director of transport products for Level 3, said in a Connected Planet article that "it was a natural progression to roll out [the low-latency service] into Europe."
Responding to the financial trading community's need for low latency networking to keep up with new high-speed trading engines, Level 3 along with a host of other incumbent (Verizon) and even competitive providers (Intellifiber, Level 3, Optimum Lightpath, RCN Metro and XO Communications) have all launched some low-latency service targeted at financial firms.
Getting this new connection up and running did not require Level 3 to make a major fiber network investment or to deploy a new piece of networking equipment. Instead, King said the upgrade required them to only change "the architecture of the electronics,"
- see the release here
Level 3 drives down latency for financial centers
Karl Strohmeyer, Senior VP of Wholesale for Level 3 Communications - Wholesale Allstars
Level 3 simplifies Ethernet interconnection through CENX