Data Centers in Amwaj Islands
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Amwaj Islands – Strategic Digital Hub for the Gulf
Amwaj Islands offers a stable and modern infrastructure base for companies targeting Bahrain and the broader Gulf Cooperation Council (GCC) market. Its strategic location, coupled with a very low natural disaster risk profile, makes it a compelling choice for enterprises prioritizing uptime and regional access over direct hyperscale cloud connectivity. This market is ideal for disaster recovery sites and service delivery platforms into the Arabian Peninsula.
Amwaj Islands: At A Glance
| Factor | Rating / Data | Notes |
|---|---|---|
| Global Connectivity Grade | B | Represents solid regional connectivity, suitable for most enterprise needs. |
| Direct Cloud On-Ramps | 0 – as of September 2025 | Access requires connecting to hubs like Dubai via private network extensions. |
| Power Cost | ~BHD 0.01-0.03/kWh | The grid is almost entirely fossil-fuel based, ensuring stable but not green power. |
| Disaster Risk | Very Low (1.8/10) | One of the lowest risk profiles in the region for natural hazards. |
| Tax Incentives | No | Bahrain focuses on broader trade agreements rather than specific data center incentives. |
| Sales Tax | 10% VAT | Standard Value Added Tax rate applied to services, as of September 2025. |
Network & Connectivity Ecosystem
Digital infrastructure in Amwaj Islands is defined by its strategic position within Bahrain, offering reliable access to the Middle East.
Carrier Density & Carrier Neutrality The market is served by a focused group of national and regional carriers, as of September 2025. While not a hyper-dense market, carrier-neutral facilities provide sufficient options for redundant connectivity.
Direct Cloud On-Ramps There are no direct hyperscale cloud on-ramps located in Amwaj Islands, as of September 2025. Businesses connect to major cloud providers like AWS, Google Cloud (GCP), and Microsoft Azure through dedicated network links to nearby major hubs such as Dubai.
Internet Exchange Points (IXPs) Public peering is limited. Most traffic exchange occurs through private peering arrangements within data centers or is routed through national telecom providers to regional IXPs.
Bare Metal Bare metal server options are available, providing a strong alternative for workloads that require dedicated physical hardware for performance or security. Providers like Hivelocity can serve the region through custom deployments.
Power Analysis
Bahrain's power infrastructure is well-established and reliable, though heavily dependent on traditional energy sources.
Average Cost Of Power Industrial power costs are estimated between BHD 0.01 and BHD 0.03/kWh, as of September 2025. This competitive pricing helps manage operational expenditures for power-intensive deployments. The national power mix consists of approximately 99.75% fossil fuels and 0.25% renewables.
Power Grid Reliability The electrical grid supporting Amwaj Islands and the surrounding commercial areas is modern and stable. Data centers in the region are supported by redundant power feeds from multiple substations, ensuring high levels of uptime for critical operations.
Market Access, Business & Tax Climate
Amwaj Islands provides a favorable business environment with excellent access to key regional markets.
Proximity To Key Business Districts The location offers low-latency connectivity to Bahrain's Financial Harbour and the capital city of Manama. This makes it ideal for financial services, media, and enterprise workloads that need to be close to the country's economic center.
Regional Market Reach From Amwaj Islands, businesses can effectively serve the entire Eastern Province of Saudi Arabia, Qatar, and other GCC nations. Its location makes it a strategic digital gateway to some of the wealthiest markets in the Middle East.
Tax Advantage For Data Centers While Bahrain does not offer specific tax incentives for data centers, its overall favorable tax regime and free trade agreements create a stable financial environment. The absence of corporate income tax for most sectors simplifies financial planning for foreign investment.
Natural Disaster Risk
Amwaj Islands has a very low risk profile for natural disasters, with an overall INFORM Risk score of 1.8 out of 10, as of September 2025. This stability is a significant advantage for mission-critical infrastructure requiring maximum uptime.
Key risk factors are minimal and include:
- Coastal Flood: The highest single natural hazard score, though still low.
- Epidemic: A factor in any populated area, but national coping capacity is rated reasonably well.
- Earthquake: Risk is negligible.
- Tropical Cyclone & Tsunami: Risk is effectively zero.
