Data Centers in Antananarivo
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Antananarivo – Digital Gateway to the Indian Ocean
Executive Summary
Antananarivo is the primary interconnection hub for Madagascar, serving as a critical entry point for organizations targeting a population of 30 million. It offers a strategic foothold for Indian Ocean subsea traffic, providing essential low-latency local presence to improve service reliability across the region. Establishing infrastructure here ensures a competitive advantage in securing traffic for a rapidly growing digital economy.
Antananarivo: At A Glance
| Factor | Rating / Data | Notes |
|---|---|---|
| Global Connectivity Grade | B | Recent subsea landings improved regional performance significantly. |
| Direct Cloud On-Ramps | 0 – as of September 2025 | Nearest major hub is Johannesburg via carrier services. |
| Power Cost | $0.07/kWh – as of December 2024 | Competitive pricing with a growing renewable energy mix. |
| Disaster Risk | High (5.4/10) – as of September 2025 | Seasonal weather patterns require sturdy infrastructure strategies. |
| Tax Incentives | Yes | Significant credits available for digital connectivity projects. |
| Sales Tax | 20% VAT – as of September 2025 | Standard national rate for telecommunications services. |
Network & Connectivity Ecosystem
Carrier Density & Carrier Neutrality: Carrier count: 1–5 as of September 2025. The market is expanding with several regional telecommunications providers offering competitive wholesale capacity and transit services to meet growing demand.
Direct Cloud On-Ramps: 0 as of September 2025, enabling access to 0 cloud regions. No direct ramps for AWS, Google Cloud (GCP), or Microsoft Azure exist locally. Connectivity typically routes through Johannesburg via private transport or partner network extensions.
Internet Exchange Points (IXPs): The Madagascar Global Internet Exchange (MGIX) serves as the primary hub, ensuring domestic traffic stays local to minimize latency and transit costs.
Bare Metal: Dedicated hardware is available through regional providers and global entities like OVHcloud, supporting localized processing requirements as of September 2025.
Power Analysis
Average Cost Of Power: Industrial electricity is $0.07/kWh as of December 2024. This pricing provides a cost-effective operational foundation compared to other island economies in the region.
Power Grid Reliability: Major commercial districts like Andraharo benefit from multi-substation support and ongoing infrastructure upgrades. Facilities often utilize redundant onsite generation to maintain uptime during national grid fluctuations.
Market Access, Business & Tax Climate
Proximity To Key Business Districts: Data center facilities are centrally located near Andraharo, the primary financial district. This proximity provides low-latency access to the nation leading banks and telecommunications firms.
Regional Market Reach: Antananarivo acts as the economic engine for Madagascar and a primary platform for reaching the Indian Ocean Commission nations, including Mauritius and Reunion.
Tax Advantage For Data Centers: Significant investment credits are available for digital infrastructure to improve national connectivity. These incentives help manage capital expenditure for power and network expansion projects.
Natural Disaster Risk
Antananarivo has an overall High risk rating of 5.4/10 as of September 2025. The risk profile is driven by seasonal weather patterns and regional geological factors.
- Tropical Cyclone (6.7): Strong seasonal storms are the most frequent threat to logistics and physical infrastructure.
- River Flood (6.1): Heavy rainfall often causes flooding in lower elevations of the capital district.
- Tsunami (6.4): This regional threat may indirectly impact subsea landing stations but poses limited direct risk to inland facilities.
- Coastal Flood (6.3): A regional risk that can affect the broader supply chain and connectivity points.
- Drought (4.4): Periodic water scarcity can affect hydroelectric capacity and industrial cooling resources.
