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Data Centers in Buenos Aires

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Buenos Aires – South America's Connectivity Hub

Executive Summary

Buenos Aires is the undeniable digital hub for Argentina and a key gateway to the Southern Cone. For any business serious about serving this large South American market, deploying here is essential for reducing latency and ensuring reliable application performance. The concentration of carriers and direct cloud access provides the foundation for scalable growth in the region.

Buenos Aires: At A Glance

FactorRating / DataNotes
Global Connectivity GradeAStrong domestic fiber and direct access to major subsea cable systems.
Direct Cloud On-RampsOver 1 – as of September 2025Direct access available to AWS and Oracle Cloud regions.
Power Cost$0.07/kWh, as of September 2025Competitive pricing for the region, supporting cost-effective operations.
Disaster RiskLow (3.0/10), as of September 2025Low overall risk profile with moderate flood and seismic considerations.
Tax IncentivesYesSupportive digital economy framework, though direct data center incentives are not specified.
Sales Tax21% VAT, as of September 2025Standard national Value Added Tax applies to services.

Network & Connectivity Ecosystem

Carrier Density & Carrier Neutrality Buenos Aires is the primary interconnection hub for Argentina, with access to over 8 major service providers and 20 data centers as of September 2025. The market offers a healthy mix of carrier-neutral facilities, enabling resilient, multi-carrier network strategies.

Direct Cloud On-Ramps Over 1 on-ramp provides direct, low-latency access to 2 cloud regions as of September 2025. Available providers include AWS and Oracle Cloud, allowing for secure and high-performance hybrid cloud architectures.

Internet Exchange Points (IXPs) The primary internet exchange is the CABASE IXP, which is central to domestic peering and reducing traffic latency across Argentina. Its presence in major data centers ensures efficient traffic exchange between networks.

Bare Metal Bare metal services are readily available from multiple providers. Options for dedicated server hosting include providers like Latitude.sh, catering to high-performance computing needs that require direct hardware access.

Power Analysis

Average Cost Of Power The average industrial power cost in Buenos Aires is approximately $0.07/kWh as of September 2025. This competitive rate helps manage the total cost of ownership for high-density deployments and large-scale infrastructure.

Power Grid Reliability The power grid supporting the main data center zones in Buenos Aires is generally reliable. Facilities offer multi-substation support and redundant power feeds from a grid composed of fossil fuels (~65%), renewables (~30%), and nuclear (~5%) to ensure high levels of uptime.

Market Access, Business & Tax Climate

Proximity To Key Business Districts Data centers in the area provide low-latency connectivity to the city's central business district, financial institutions, and corporate headquarters. This proximity is crucial for transaction-heavy applications and real-time financial services.

Regional Market Reach From Buenos Aires, businesses can effectively serve the entire Argentine population of over 45 million. The city also acts as a strategic hub to reach neighboring markets like Uruguay, Paraguay, and parts of Chile and Bolivia.

Tax Advantage For Data Centers Argentina's tax climate includes a supportive framework for the digital economy, though specific, large-scale fiscal incentives for data center construction are not a primary feature. The main advantage stems from operating within the country's largest and most dynamic economic zone.

Natural Disaster Risk

Argentina has a Low overall natural disaster risk profile, with a composite score of 3.0 out of 10 as of September 2025. The primary environmental risks for infrastructure in the Buenos Aires region are river and coastal flooding, followed by moderate risks from drought and seismic activity. Data centers in the area are engineered to mitigate these specific, well-understood regional hazards.

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