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McKay Brothers, Relativity Networks to Expand Hollow Core Fiber for Markets

Summarized from All Financial Services & Investing

The two firms will develop hollow core fiber networks targeting New Jersey financial venues, offering speeds from 10 to 400 Gbps.

McKay Brothers, Relativity Networks to Expand Hollow Core Fiber for Markets

McKay Brothers and Relativity Networks announced a partnership Monday aimed at building out hollow core fiber infrastructure for financial markets and high-performance computing, with an initial focus on key trading venues in New Jersey.

The collaboration will provide dedicated fiber indefeasible rights of use, or IRUs, along with connectivity services ranging from 10 gigabits per second to 400 Gbps. Hollow core fiber technology transmits data through air rather than glass, reducing latency — a critical performance edge in algorithmic and high-frequency trading environments.

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New Jersey serves as the geographic heart of U.S. equity market infrastructure, hosting co-location facilities for major exchanges and trading platforms. By targeting that corridor first, the partners are positioning their network to serve firms where the demand for ultra-low-latency connectivity is most acute.

The announcement was made jointly from Chicago, Illinois and Orlando, Florida, reflecting the firms' existing operational footprints across financial and technology hubs. Terms of the agreement were not disclosed, though the partnership structure suggests a long-term infrastructure build rather than a short-term commercial arrangement.

As latency competition intensifies across electronic trading, hollow core fiber has drawn growing interest from market participants seeking marginal speed improvements that can translate into measurable execution advantages. Continue reading at All Financial Services & Investing.

Frequently Asked Questions

Q.What is hollow core fiber and why does it matter for trading?

Hollow core fiber transmits light through air rather than glass, which reduces signal latency. In financial markets, even marginal latency reductions can provide meaningful advantages for high-frequency and algorithmic trading firms.

Q.Where will the McKay Brothers and Relativity Networks partnership initially focus?

The partnership will initially focus on key financial market venues in New Jersey, which hosts major exchange co-location facilities central to U.S. equity trading.

Q.What connectivity speeds will the new hollow core network offer?

The network will offer dedicated connectivity services ranging from 10 Gbps to 400 Gbps, along with dedicated fiber IRUs for financial market participants.

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