123NET Expands DC1 for High-Performance Telco Workloads
Michigan-based data centre and network services provider 123NET has completed a significant expansion of its Southfield DC1 facility, designed to meet the evolving requirements of telecommunications providers, cloud operators and enterprises with data-intensive workloads. The upgrade delivers enhanced colocation space and infrastructure optimised for high-density GPU deployments and low-latency network operations.
The expansion adds 4MW of power, making DC1 the only Michigan site to combine high-density GPU infrastructure with both liquid and air-cooled options alongside free on-site peering.
The unique configuration allows telcos and network operators to scale GPU-driven AI and machine learning workloads while reducing interconnect and network costs by up to 70%.
High-density compute meets carrier-optimised connectivity
High-density compute meets carrier-optimised connectivity
The Southfield facility now enables telcos and cloud providers to deploy large GPU clusters within a purpose-built environment tailored for latency-sensitive applications.
Central to the capability is the on-premises Detroit Internet Exchange (DET-iX), a carrier-grade switching fabric that provides direct peering and reduces network hops. By minimising reliance on traditional transit providers, DET-iX accelerates data transfers and improves overall network efficiency.
Dan Irvin, Founder and CEO of 123NET, highlights the strategic advantage for network operators: “Having DET-iX inside the data centre gives our clients instant access to a powerful peering ecosystem and a more direct path to end users. It’s the only place in Michigan where massive GPU power meets free peering, significantly cutting network costs compared to traditional colocation.”
The integration positions DC1 as a hub where high-performance compute and carrier-grade connectivity converge, meeting the demands of telecoms seeking low-latency infrastructure for AI inference, real-time analytics and cloud interconnectivity.
DET-iX: A fee-free exchange with global scale
DET-iX, hosted within DC1, ranks among the largest fee-free internet exchanges globally.
It currently serves 85 members, including leading tech firms such as Apple, Microsoft and Google. It supports peak traffic exceeding 2.5 terabits per second (Tbps), with port capacities of up to 400 gigabits per second (Gbps).
For telcos and ISPs, the on-site exchange simplifies network architecture, reduces carrier dependencies and provides predictable, low-latency routing for AI, cloud and edge workloads.
By hosting DET-iX alongside high-density GPU infrastructure, 123NET combines colocation with cost-efficient, high-performance connectivity.
Supporting telco-driven AI and edge deployments
Dan Irvin further highlights the telco relevance of the expansion: “We’re seeing explosive demand for GPU clusters that require both substantial power and ultra-low latency.
"The expansion, paired with our connectivity, creates an ideal environment for real-time AI workloads. We’ve built the density and network performance that serious GPU deployments require.”
The Southfield expansion addresses the growing need for facilities that can support AI-powered applications, high-performance computing and edge deployments.
By adding megawatt-scale power, flexible cooling options and integrated direct peering, DC1 ensures network operators can deliver AI-driven services and cloud interconnectivity efficiently and cost-effectively.
By combining dense GPU power, carrier-grade connectivity, 123NET has reinforced Michigan as a regional hub for telecom and data centre operations.
For network operators, ISPs and cloud providers, DC1 offers a compelling solution where high-performance compute, scalable bandwidth and cost-effective peering intersect.
