Data Centers in Argentina

Argentina – Strategic Digital Hub for the Southern Cone

Argentina serves as the primary digital anchor for South America’s Southern Cone. It offers the low latency and resilient infrastructure required for enterprises targeting millions of local consumers or looking for a reliable jumping-off point into Uruguay and Chile. Establishing a presence here is the most effective way to secure digital assets and drive revenue across the region.

Argentina: At A Glance

Network & Connectivity Ecosystem

Argentina maintains a sturdy telecommunications foundation, anchored by landing stations in Las Toninas and a dense fiber grid in the Buenos Aires metro area.

Carrier Density & Carrier Neutrality: Carrier count: over 10 – as of January 2026. While the market was historically dominated by incumbents, current trends favor neutral facilities that allow for competitive cross connects and diverse routing.

Direct Cloud On-Ramps: Over 1, enabling access to 2 cloud regions – as of January 2026. This includes dedicated access for AWS and Oracle Cloud, significantly reducing the need for long haul traffic to North American hubs.

Internet Exchange Points (IXPs): CABASE operates a highly effective national network of IXPs. This ensures that local traffic stays local to minimize latency and transit costs as of January 2026.

Bare Metal: High performance compute is readily available via providers such as Latitude.sh, providing automated server deployment for latency sensitive applications as of January 2026.

Power Analysis

The Argentine energy sector is a sophisticated mix of traditional and sustainable sources, providing a stable foundation for industrial data center operations.

Average Cost Of Power: Industrial electricity: $0.07/kWh – as of January 2026. This rate is competitive within the South American context, helping operators manage overhead while maintaining high density cooling. The grid is powered by approximately 65% fossil fuels and 30% renewables as of January 2026.

Power Grid Reliability: Major data center corridors in Buenos Aires and Pilar utilize well-engineered utility feeds with multi-substation support. While national grid challenges occasionally occur, the specific zones used for high tier facilities are historically resilient as of January 2026.

Market Access, Business & Tax Climate

Managing a digital footprint in Argentina requires an understanding of the local economic landscape, which is heavily concentrated around the capital.

Proximity To Key Business Districts: Most infrastructure is clustered near Buenos Aires (CABA) and northern suburbs like Pilar. This puts hardware within milliseconds of the nation’s financial services, media, and government headquarters as of January 2026.

Regional Market Reach: A presence here serves as a low latency springboard for the entire Southern Cone. It is the most effective way to reach users in Uruguay and southern Brazil without the performance penalties of routing through Sao Paulo.

Tax Advantage For Data Centers: Argentina provides a supportive regulatory framework for digital companies as of January 2026. The biggest financial benefit comes from laws aimed at promoting the knowledge economy, which lowers the total cost of ownership for long term deployments.

Natural Disaster Risk

Argentina is a geographically safe choice for data center placement, characterized by a Low (3.0/10) risk profile as of January 2026. While the risk of catastrophic events is small, facilities must account for regional environmental factors.

River Flood (7.7): This is the primary concern for facilities located near the Rio de la Plata. Purpose-built centers use elevated flooring and sophisticated drainage to mitigate this as of January 2026.

Drought (5.6): While not a direct threat to hardware, prolonged dry periods can impact the broader energy mix and water cooling requirements as of January 2026.

Earthquake (5.5): Seismic risk is largely restricted to the western Andean regions. Facilities in the eastern hubs are generally well-protected as of January 2026.

Epidemic (4.4): Standard public health considerations as noted in regional assessments as of January 2026.

Other hazards such as coastal flooding and tropical cyclones are considered minor or not material for the primary data center clusters.