Data Centers in Wollongong
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Wollongong – High-Resilience Diversity for the South Coast
Strategic Reliability for Global Enterprises
Wollongong is the primary disaster recovery choice for organizations requiring physical diversity from Sydney while maintaining ultra-low latency. It serves as a strategic relief valve for the Sydney metropolitan area, offering resilient infrastructure for high-stakes enterprise data and critical workloads. This market is built for firms that cannot afford downtime and need a sturdy secondary site within reach of Australia’s largest business hub.
Wollongong: At A Glance
| Factor | Rating / Data | Notes |
|---|---|---|
| Global Connectivity Grade | B | Reliable paths via fiber to Sydney. |
| Direct Cloud On-Ramps | 0 – as of September 2025 | Sydney is the nearest on-ramp hub. |
| Power Cost | AUD 0.14–0.19/kWh – as of September 2025 | Wholesale rates reflect industrial mix. |
| Disaster Risk | Low (2.5/10) – as of September 2025 | Hazards require specific site selection. |
| Tax Incentives | No – as of September 2025 | Focus is on regional development. |
| Sales Tax | GST 10% – as of September 2025 | Standard federal tax for all services. |
Network & Connectivity Ecosystem
Carrier Density & Carrier Neutrality: The market is supported by over 3 carriers as of September 2025. Major providers ensure neutral access and specialized regional backhaul for local users, maintaining competitive connectivity options for diverse routing.
Direct Cloud On-Ramps: There are 0 direct cloud on-ramps in this location as of September 2025, providing access to 0 local cloud regions. Connectivity to AWS, Google Cloud (GCP), and Microsoft Azure is managed through private fiber extensions to Sydney, the nearest major digital hub.
Internet Exchange Points (IXPs): Most public peering is handled via the national hub in Sydney, though local private peering is common for regional traffic exchange. This structure keeps local latency low while using the liquidity of Sydney IXPs for broader reach.
Bare Metal: High-performance bare metal services are available through providers like Latitude.sh as of September 2025. This allows for rapid scaling of compute resources without the long lead times associated with physical hardware procurement.
Power Analysis
Average Cost Of Power: Industrial electricity ranges from AUD 0.14 to 0.19/kWh as of September 2025. The generation mix includes 45% coal and 36% renewables, reflecting a transition for cleaner energy that helps stabilize long-term operating costs. These rates remain competitive for regional workloads compared to Sydney premium pricing.
Power Grid Reliability: The local grid is well-engineered and benefits from redundant supply lines built for the region's heavy industrial history. This legacy infrastructure provides a sturdy foundation for modern data center uptime requirements and continuous service delivery.
Market Access, Business & Tax Climate
Proximity To Key Business Districts: Data centers here are located near the University of Wollongong Innovation Campus and the Illawarra business corridor. This proximity is vital for research-intensive industries and tech startups that require local compute resources for low-latency applications.
Regional Market Reach: Wollongong serves as the primary digital gateway for the Illawarra and South Coast regions. It acts as a critical backup site for the Sydney market, which is located less than 90 kilometers away.
Tax Advantage For Data Centers: Businesses benefit from a stable regulatory framework that supports long-term investment. Financial planning focuses on the competitive cost of land and power compared to the higher rates found in the Sydney metropolitan area.
Natural Disaster Risk
Wollongong maintains a Low risk profile with a score of 2.5/10 as of September 2025. While the aggregate risk is low, specific coastal and regional hazards must be considered in facility selection to ensure continuous uptime.
- Coastal Flood: 6.2 (Moderate risk due to sea-level proximity)
- Drought: 6.2 (Regional climate factor)
- Tsunami: 5.7 (Indirect regional coastal risk)
- River Flood: 5.4 (Impacts specific low-lying corridors)
- Tropical Cyclone: 4.1 (Occasional regional weather events)
Other hazards, such as earthquakes and conflict-related risks, are negligible for this market. Local facilities are engineered to manage these specific coastal challenges effectively.