Self[dash]Regulatory Organizations; Notice of Filing and Immediate Effectiveness of Proposed Rule Change by NYSE Amex LLC Amending Rule 0 To Provide That Certain References in Exchange Rules Should Be Understood To Also Include FINRA, as Applicable, 38860 [C1-2010-15649]
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38860
Federal Register / Vol. 75, No. 128 / Tuesday, July 6, 2010 / Notices
available publicly. All submissions
should refer to File Number SR–
NASDAQ–2010–069 and should be
submitted on or before July 27, 2010.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.12
Florence E. Harmon,
Deputy Secretary.
[FR Doc. 2010–16290 Filed 7–2–10; 8:45 am]
BILLING CODE 8010–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–62354; File No. SR–
NYSEAmex–2010–57]
Self-Regulatory Organizations; Notice
of Filing and Immediate Effectiveness
of Proposed Rule Change by NYSE
Amex LLC Amending Rule 0 To
Provide That Certain References in
Exchange Rules Should Be
Understood To Also Include FINRA, as
Applicable
June 22, 2010.
Correction
In notice document 2010–15649
beginning on page 36730 in the issue of
Monday, June 28, 2010, make the
following correction:
On page 36730, in the third column,
the department docket number is
printed correctly to read as set forth
above.
[FR Doc. C1–2010–15649 Filed 7–2–10; 8:45 am]
BILLING CODE 1505–01–D
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–62397; File No. SR–
NASDAQ–2010–019]
Self-Regulatory Organizations; The
NASDAQ Stock Market LLC; Order
Approving a Proposed Rule Change To
Codify Prices for Co-Location Services
wwoods2 on DSK1DXX6B1PROD with NOTICES_PART 1
June 28, 2010.
I. Introduction
On January 29, 2010, The NASDAQ
Stock Market LLC (‘‘NASDAQ’’ or
‘‘Exchange’’) filed with the Securities
and Exchange Commission
(‘‘Commission’’) pursuant to Section
19(b)(1) of the Securities Exchange Act
of 1934 (‘‘Act’’),1 and Rule 19b–4
thereunder,2 a proposed rule change
relating to co-location services and
related fees. The proposed rule change
12 17
CFR 200.30–3(a)(12).
U.S.C. 78s(b)(1).
2 17 CFR 240.19b–4.
1 15
VerDate Mar<15>2010
18:06 Jul 02, 2010
Jkt 220001
was published for comment in the
Federal Register on February 10, 2010.3
The Commission received no comment
letters on the proposal. This order
approves the proposed rule change.
II. Description
As described in the Notice, NASDAQ
is proposing to codify fees for its
existing co-location services. Colocation services are a suite of hardware,
power, telecommunication, and other
ancillary products and services that
allows market participants and vendors
to place their trading and
communications equipment in close
physical proximity to the quoting and
execution facilities of the Exchange and
other NASDAQ OMX Group, Inc.
markets. The Exchange provides colocation services and imposes fees
through its wholly-owned subsidiary
Nasdaq Technology Services LLC and
pursuant to agreements with the owner/
operator of its data center where both
the Exchange’s quoting and trading
facilities and co-located customer
equipment are housed.4 Users of colocation services include private
extranet providers, data vendors, as well
as NASDAQ Exchange members and
non-members. The use of co-location
services is entirely voluntary.
As detailed in its fee schedule,
NASDAQ imposes a uniform set of fees
for various co-location services,
including: Fees for cabinet space usage,
or options for future space usage;
installation and related power provision
for hosted equipment; connectivity
among multiple cabinets being used by
the same customer as well as customer
connectivity to the Exchange and
telecommunications providers; 5 and
related maintenance and consulting
services. Fees related to cabinet and
power usage are incremental, with
additional charges being imposed based
on higher levels of cabinet and/or power
usage, the use of non-standard cabinet
sizes or special cabinet cooling
equipment, or the re-selling of cabinet
space.
NASDAQ is implementing a Cabinet
Proximity Option program where, for a
monthly fee, customers can obtain an
option for future use on available
currently-unused cabinet floor space in
proximity to their existing equipment.
3 See Securities Exchange Act Release No. 61488
(February 3, 2010), 75 FR 6748 (‘‘Notice’’).
4 NASDAQ has provided co-location services at
various data centers since approximately 2004.
Currently, the Exchange provides its co-location
services through data centers located in the New
York City and Mid-Atlantic areas.
5 NASDAQ states that these fees are for
telecommunications connectivity only. Market data
fees are charged independently by NASDAQ and
other exchanges.
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Under the program, customers can
reserve up to maximum of 20 cabinets
that the Exchange will endeavor to
provide as close as reasonably possible
to the customer’s existing cabinet space,
taking into consideration power
availability within segments of the
datacenter and the overall efficiency of
use of datacenter resources as
determined by the Exchange. Should
reserved datacenter space be needed for
use, the reserving customer will have
three business days to formally contract
with the Exchange for full payment for
the reserved cabinet space in contention
or it will be reassigned. In making
determinations to require exercise or
relinquishment of reserved space as
among numerous customers, the
Exchange will take into consideration
several factors, including: Proximity
between available reserved cabinet
space and the existing space of a
customer seeking additional space for
actual cabinet usage; a customer’s ratio
of cabinets in use to those reserved; the
length of time that a particular
reservation(s) has been in place; and any
other factor that the Exchange deems
relevant to ensure overall efficiency in
use of the datacenter space.
In the Notice, the Exchange made
certain representations regarding its colocation services. First, the Exchange
represents that co-location customers
are not provided any separate or
superior means of direct access to
NASDAQ quoting and trading facilities,
nor does the Exchange offer any
separate or superior means of access to
the Exchange quoting and trading
facilities as among co-location
customers themselves within the
datacenter. Second, NASDAQ
represents that it does not make
available to co-located customers any
market data or data feed product or
service for data going into, or out of, the
Exchange systems that is not likewise
available to all the Exchange members.6
Finally, the Exchange represents that all
orders sent to the Exchange market enter
the marketplace through the same
central system quote and order gateway
regardless of whether the sender is colocated in the Exchange data center or
not. In short, according to the Exchange,
it has created no special market
technology or programming that is
available only to co-located customers
and has organized its systems to
6 The Exchange made a 10Gb fiber connection
available to co-located customers early in the first
quarter of 2010. On June 21, 2010, the Exchange
filed a proposed rule change that would, among
other things, establish pricing for 10Gb fiber
connections for customers who are not co-located
in NASDAQ’s datacenter. See SR–NASDAQ–2010–
077.
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06JYN1
Agencies
[Federal Register Volume 75, Number 128 (Tuesday, July 6, 2010)]
[Notices]
[Page 38860]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: C1-2010-15649]
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SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-62354; File No. SR-NYSEAmex-2010-57]
Self[dash]Regulatory Organizations; Notice of Filing and
Immediate Effectiveness of Proposed Rule Change by NYSE Amex LLC
Amending Rule 0 To Provide That Certain References in Exchange Rules
Should Be Understood To Also Include FINRA, as Applicable
June 22, 2010.
Correction
In notice document 2010-15649 beginning on page 36730 in the issue
of Monday, June 28, 2010, make the following correction:
On page 36730, in the third column, the department docket number is
printed correctly to read as set forth above.
[FR Doc. C1-2010-15649 Filed 7-2-10; 8:45 am]
BILLING CODE 1505-01-D