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Federal Register / Vol. 86, No. 104 / Wednesday, June 2, 2021 / Notices 1. IDS Network Ports The Exchanges propose to amend the Fee Schedule to add services that IDS
offers enabling NCL Customers to connect to the IDS Network in the Mahwah Data Center.24 The Exchanges describe the IDS Network as a wide area network available in the Mahwah Data Center and other access centers.25
The Exchanges propose to add a chart to the Fee Schedule setting forth and describing each type of IDS Network Port providing NCL Customers access to IDSs network,26 along with the associated amounts of initial plus monthly fees.27
The Exchanges also propose to add to the Fee Schedule several notes regarding these services, which they state are based on General Notes 4, 5, and 6 of the Exchanges Price List regarding colocation.28 Specifically, the Exchanges propose to add the heading NCL Notes after the tables in the proposed section of the Fee Schedule titled D. Non-Colocation NCL
Services. 29 Proposed Note 1, titled Note 1: IDS Network, would establish that when an NCL Customer purchases access to the IDS Network, the NCL
Customer would receive: a The ability to access the trading and execution systems of the Exchanges Exchange Systems as well as of the Global OTC
System Global OTC; 30 and b connectivity to any of the listed data 24 See
id.
id.
26 A port is connected to a circuit by using a cross connect. See id. at 12720; see also infra note 65 and accompanying text.
27 The proposed types of services and the Exchanges descriptions of them, along with the associated amounts of initial plus monthly fees, are as follows: NCL IDS Network Access10 Gb, a 10
Gb IDS Network port $10,000 initial charge plus $15,250 monthly charge; and NCL IDS Network Access40 Gb, a 40 Gb IDS Network port $10,000
initial charge plus $19,750 monthly charge. See Notice, supra note 3, at 1271617.
28 See id. at 12717.
29 See id.
30 Proposed Note 1 states that when an NCL
Customer purchases access to the IDS Network, it receives the ability to access the trading and execution systems of the NYSE, NYSE American, NYSE Arca, NYSE Chicago, and NYSE National together, the Exchange Systems as well as of Global OTC the Global OTC System, subject, in each case, to authorization by the NYSE, NYSE
American, NYSE Arca, NYSE Chicago, NYSE
National, or Global OTC, as applicable. Proposed Note 1 also states that each Exchange listed above offers access to its Exchange Systems to its members and Global OTC offers access to the Global OTC
System to its subscribers, such that an NCL
Customer does not have to purchase a service that includes access to the IDS Network to obtain access to Exchange Systems or the Global OTC System. See id.

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products Included Data Products 31
that it selects.32
2. NCL Connectivity to Third Party Systems, Data Feeds, Testing and Certification Feeds, and DTCC
The Exchanges also propose to amend the Fee Schedule to provide for the connectivity services that IDS offers for NCL Customers to Third Party Systems, Third Party Data Feeds, third party testing and certification feeds, and DTCC each as defined below.33
a. Connectivity to Third Party Systems The Exchanges propose to specify in the Fee Schedule services that IDS offers NCL Customers to access the trading and execution services of Third Party markets and other content service providers Third Party Systems for a fee.34 According to the Exchanges, NCL
Customers connect to Third Party Systems over the IDS Network.35 The 31 Proposed Note 1 provides that these Included Data Products are as follows: NMS feedsCTS, CQS, and OPRA; NYSE; NYSE American; NYSE
American Options; NYSE Arca; NYSE Arca Options; NYSE Best Quote and Trades BQT; NYSE
Bonds; NYSE Chicago; and NYSE National. See id.
32 Proposed Note 1 also states that when an NCL
Customer purchases access to the IDS Network, it receives connectivity to any of the Included Data Products that it selects, subject to any necessary technical provisioning requirements, authorization, and licensing by the provider of the Included Data Feed. Fees for the Included Data Products are charged by the provider of such Included Data Products. An NCL Customer can change the Included Data Products to which it receives connectivity at any time, subject to authorization from the provider of such Included Data Product.
Proposed note 1 also states that because access to the IDS Network is not the exclusive method to connect to the Included Data Products, an NCL
Customer does not have to purchase a service that includes access to the IDS Network to connect to such Included Data Products. See id.
33 The Exchanges state that they propose to adopt substantially similar services and fees as set forth in the Exchanges Price List regarding colocation.
See id. citing Securities Exchange Act Release No.
80311 March 24, 2017, 82 FR 15749 March 30, 2017 SRNYSE201645.
34 See id.
35 The Exchanges state that in order to obtain access to a Third Party System, an NCL Customer enters into an agreement with the relevant thirdparty content service provider, pursuant to which the third-party content service provider charges the NCL Customer for access to the Third Party System.
When such services are requested, IDS establishes a connection between the NCL Customer and the relevant third party content service provider over the IDS Network. IDS charges the NCL Customer for the connectivity to the Third Party System. An NCL
Customer only receives, and is only charged by IDS
for, connectivity to each Third Party System for which the customer enters into an agreement with the third-party content service provider. According to the Exchanges, neither the Exchanges nor IDS has an affiliation with the providers of the Third Party Systems. Establishing an NCL Customers access to a Third Party System does not give either IDS or the Exchanges any right to use the Third Party Systems. Connectivity to a Third Party System does not provide access or order entry to the Exchanges execution system, and an NCL Customers
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Exchanges state that IDS charges a monthly recurring fee for connectivity to a Third Party System, which the Exchanges propose to add to their Fee Schedule.36 The Exchanges propose to add a chart to the Fee Schedule setting forth a description of each type of connectivity service to Third Party Systems over the IDS Network, along with the associated amount of monthly fees per connection.37
The Exchanges also propose to add Note 2, titled Note 2: Third Party Systems, to the section of the Fee Schedule titled D. Non-Colocation NCL Services, which would provide that when an NCL Customer purchases a connection that includes access to Third Party Systems, it receives access to Third Party Systems it selects subject to any technical provisioning requirements, authorization, and licensing from such Third Party System.38 Proposed Note 2
also provides that fees for the Third Party Systems are charged by the provider of such Third Party System.39
In addition, proposed Note 2 states that the Exchanges are not the exclusive method to connect to Third Party Systems.40
connection to a Third Party System is not through the Exchanges execution system. See id.
36 Specifically, when an NCL Customer requests access to a Third Party System, IDS identifies the applicable third-party market or other content service provider and the bandwidth connection it requires. See id.
37 The Exchanges propose the following monthly fees per connection: 1Mb $200 per connection monthly charge; 3Mb $400 per connection monthly charge; 5Mb $500 per connection monthly charge; 10Mb $800 per connection monthly charge; 25Mb $1,200 per connection monthly charge; 50Mb $1,800 per connection monthly charge; 100Mb $2,500 per connection monthly charge; 200Mb $3,000 per connection monthly charge; and 1Gb, $3,500 per connection monthly charge. See id. at 1271718.
38 See id. at 12718.
39 See id.
40 Proposed Note 2 would further provide that these The Third Party Systems are as follows:
American Trading Group ATG; BM&F Bovespa;
Boston Options Exchange BOX, Canadian Securities Exchange CSE; Cboe BYX Exchange CboeBYX, Cboe BZX Exchange CboeBZX, Cboe EDGA Exchange CboeEDGA, and Cboe EDGX
Exchange CboeEDGX; Cboe Exchange Cboe and Cboe C2 Exchange C2; Chicago Mercantile Exchange CME Group; Credit Suisse; Euronext Optiq Cash and Derivatives Unicast EUA;
Euronext Optiq Cash and Derivatives Production;
Investor Exchange IEX; ITG TriAct Matchnow;
Long Term Stock Exchange LTSE; Members Exchange MEMX; MIAX Options, MIAX PEARL
Options, MIAX PEARL Equities, and MIAX
Emerald; Morgan Stanley; Nasdaq; NASDAQ
Canada CXC, CXD, CX2; NASDAQ ISE; Neo Aequitas; NYFIX Marketplace; Omega; OneChicago;
OTC Markets Group; TD Ameritrade; and TMX
Group. See id.

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