Data Centers in Armenia

Armenia – Strategic Gateway to the Caucasus Corridor

Armenia serves as a reliable, neutral landing point for enterprises managing data across the Caucasus and Western Asia. The market specifically attracts firms requiring jurisdictional independence and high physical security for mission-critical software engineering and regional data assets.

Armenia: At A Glance

Network & Connectivity Ecosystem

Armenia has moved beyond its landlocked geography to become a strategic interconnection site for the Eurasian corridor. As of January 2026, the local ecosystem provides high-capacity fiber routes connecting European markets to the Middle East.

Carrier Density & Carrier Neutrality: Carrier count: over 5. Facilities in Yerevan provide neutral access to national backbones, including major providers like Team Telecom and Ucom, as of January 2026.

Direct Cloud On-Ramps: 0, enabling access to 0 cloud regions. As of January 2026, no local on-ramps for AWS or Google Cloud (GCP) exist in the country. Connectivity is maintained through high-capacity private waves to regional hubs in Turkey or Georgia.

Internet Exchange Points (IXPs): The ARMIX (Armenian Internet Exchange) serves as the primary hub in Yerevan. It keeps local traffic within national borders to ensure low latency and lower transit costs as of January 2026.

Bare Metal: Dedicated server and bare metal options are available through specialized providers like OVHcloud or Leaseweb as of January 2026.

Power Analysis

Power stability is a primary focus of the Armenian infrastructure strategy. The grid uses a diverse generation portfolio to maintain uptime for high-density compute requirements.

Average Cost Of Power: Industrial electricity is approximately $0.09/kWh, as of January 2026. This pricing significantly reduces operational overhead compared to Western European markets.

Power Grid Reliability: The grid is well-engineered, with nearly 40% of power generated by the Metsamor nuclear plant. This provides a steady baseload, while redundant gas and hydro facilities provide multi-source reliability for data center corridors as of January 2026.

Market Access, Business & Tax Climate

Armenia identifies as the Silicon Mountains, attracting investment through a pro-tech regulatory environment and neutral geopolitical standing.

Proximity To Key Business Districts: Data centers are located primarily in and around Yerevan. This places infrastructure near the largest financial institutions and a community of over 1,000 technology companies as of January 2026.

Regional Market Reach: From this location, operators serve the Caucasus and the broader Eurasian Economic Union. The geography is specific for companies needing a neutral site to manage data across diverse jurisdictions.

Tax Advantage For Data Centers: Operators secure significant relief through exemptions on import duties and VAT for essential hardware. This reduces the capital needed to launch and scale infrastructure projects as of January 2026.

Natural Disaster Risk

Armenia is a mountainous region requiring professional engineering oversight. The overall risk is categorized as Low (3.1/10) as of January 2026.

Risk Rubric: Low (3.1/10)

Earthquake (7.3): High seismic risk is the primary concern, requiring data centers to meet strict structural integrity and vibration-dampening standards as of January 2026.

Drought (5.4): High risk levels are present, which may affect secondary hydroelectric generation during peak summer months as of January 2026.

River Flood (5.3): Moderate risk exists in specific river basins. Most primary data center sites are located on higher ground to manage this as of January 2026.

Epidemic (4.1): Moderate risk factor based on regional health infrastructure data as of January 2026.

Other natural hazards, such as Tsunami and Coastal Flood, are not applicable to this landlocked market.