The Tokyo Commodity Exchange, Inc., (TOCOM), Japan's largest commodity futures exchange and one of the most prominent in Asia, announced today that it worked toward an agreement with KVH Co. Ltd., Asia's leading information delivery platform, to provide a low latency telecommunication path between CME Group's data center in Aurora, Illinois and the KVH Tokyo Data Center 1.
The new service is slated to launch on September 15, 2014.
KVH is a current telecommunications provider within the CME Group Aurora data center who offers connectivity to a multitude of destinations to the CME Group co-location customer base. The TOCOM proximity data center is hosted and managed by KVH Co., Ltd in Tokyo. KVH will run a Global Ether-WAN line with latency as low as 122ms between the CME Group data center and TOCOM/KVH data center. Network bandwidth is available in 5 tiers (10, 20, 30, 40 and 50Mbps). Lines will be provided in pairs for redundancy.
Tadashi Ezaki, President & CEO of TOCOM, commented: "I am pleased we can offer this service due to CME Group's open access model, which allowed us to collaborate with its many service providers to make the TOCOM market easily accessible for customers. The new service will expand opportunities for market participants who trade on CME Globex and want to begin trading or become more active on TOCOM. We met with numerous Chicago-based traders and brokerages and discussed the benefits of having this service earlier this year. The response we received was extremely positive and supportive. I am confident that our new network service will improve the usability of our market and help facilitate more trades across the Pacific."