Data Centers in Costa Atlántica
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Costa Atlántica – Argentina's Coastal Digital Hub
The Costa Atlántica region serves as a secondary digital market within Argentina, offering colocation and connectivity options for content delivery, local enterprise, and disaster recovery. For businesses targeting the significant coastal population and tourism sector, local infrastructure provides lower latency access compared to routing traffic from primary hubs in Buenos Aires. This ensures better application performance and user experience for a key economic zone.
Costa Atlántica: At A Glance
| Factor | Rating / Data | Notes |
|---|---|---|
| Global Connectivity Grade | B | Solid national connectivity, though international routes centralize through larger hubs. |
| Direct Cloud On-Ramps | 0 – as of September 2025 | Access via private network extension to providers in Buenos Aires is common. |
| Power Cost | $0.07/kWh – as of September 2025 | Competitive pricing for industrial power supports cost-effective data center operations. |
| Disaster Risk | Low (3/10) – as of September 2025 | Primary risks include flooding and drought; major seismic or cyclone events are rare. |
| Tax Incentives | Yes | Argentina has a supportive regulatory framework for the digital economy. |
| Sales Tax | 21% VAT – as of September 2025 | Standard national value-added tax applies to services. |
Network & Connectivity Ecosystem
Carrier Density & Carrier Neutrality: The region is served by over 2 national and regional carriers, as of September 2025. Facilities typically offer access to the primary telecommunication providers in Argentina, ensuring resilient connectivity options.
Direct Cloud On-Ramps: There are no direct public cloud on-ramps within Costa Atlántica, as of September 2025. Secure, private connections to major cloud providers like AWS, Google Cloud, and Microsoft Azure are established through network extensions to the primary interconnection hub in Buenos Aires.
Internet Exchange Points (IXPs): Public peering is limited locally. Most traffic is exchanged through private peering arrangements or routed via the major national exchange point, CABASE, located in Buenos Aires.
Bare Metal: Bare metal server options are available, primarily through providers that have a presence in Argentina's main data center markets. Options from providers like Latitude.sh can serve the region from nearby hubs.
Power Analysis
Average Cost Of Power: Industrial electricity in the region averages $0.07/kWh, as of September 2025. This competitive rate makes it an economically viable location for compute-intensive workloads compared to more expensive South American markets.
Power Grid Reliability: The power grid supporting the main commercial areas is generally reliable for business use. Data centers in the area are engineered with full UPS and generator backup to mitigate any potential utility disruptions.
Market Access, Business & Tax Climate
Proximity To Key Business Districts: Data centers in this market are positioned to serve the major coastal cities, including Mar del Plata, which have significant tourism, commercial, and logistical activity. This proximity reduces latency for local businesses and end-users.
Regional Market Reach: The Costa Atlántica serves as a key digital access point for the entire Atlantic coast of the Buenos Aires province, a region with millions of residents and seasonal visitors.
Tax Advantage For Data Centers: Argentina provides a supportive framework for its digital economy, which can benefit technology investments. While specific data center fiscal incentives are not detailed, the general environment encourages digital infrastructure development.
Natural Disaster Risk
The Costa Atlántica region has a low overall disaster risk profile, with an INFORM Risk score of 3 out of 10, as of September 2025. While the overall threat is minimal, operators should engineer facilities to mitigate specific, localized environmental risks.
Key natural hazards for the region include:
- River Flood: Score of 7.7
- Drought: Score of 5.6
- Earthquake: Score of 5.5
- Coastal Flood: Score of 3.7
Risks from tsunamis and tropical cyclones are negligible.
