CME Group and Google Cloud have announced a partnership to construct a new network and cloud-based facility in the Chicago suburbs, allowing the exchange operator to move its futures and options trading to the cloud. The companies will build cloud and colocation facilities near CME’s existing data center in Aurora, Illinois, with construction beginning later in 2024 and transitioning in phases. The new platform will provide CME Group clients with increased flexibility, operational efficiency, and access to cloud services, enabling them to experiment and implement new strategies without impacting their production environments. CME Group Chairman and CEO Terry Duffy praised the partnership with Google Cloud, calling it a revolutionary step forward in the industry. The decision to keep the data center in Chicago was influenced by market makers and high-speed trading firms’ preference for infrastructure proximity, which ensures quicker information transfers and a competitive advantage over distant counterparts. Moving the infrastructure elsewhere was deemed time and cost-prohibitive, further supporting the decision to keep it local. This project underscores the evolution of futures trading from traditional open trading floors to algorithm-driven, high-speed platforms, highlighting the transformation in the industry.
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https://www.bisnow.com/chicago/news/commercial-real-estate/google-cme-group-to-build-illinois-facility-to-support-trading-on-google-cloud-124873
