Data Centers in Amwaj Islands
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Amwaj Islands – Low-Latency Edge Performance for the Gulf
Executive Summary
Amwaj Islands provides a purpose-built environment for organizations requiring resilient regional connectivity and edge performance within the Gulf Cooperation Council. This market serves as a strategic gateway to the Bahraini digital economy, offering a geologically stable and tax-efficient location for mission-critical infrastructure.
Amwaj Islands: At A Glance
| Factor | Rating / Data | Notes |
|---|---|---|
| Global Connectivity Grade | B | Reliable regional performance with international subsea links. |
| Direct Cloud On-Ramps | 0 – as of September 2025 | Nearest on-ramp hub is located in Dubai. |
| Power Cost | $0.07–$0.09/kWh – as of September 2025 | Competitive industrial rates for predictable operational expenditures. |
| Disaster Risk | Low (1.8/10) – as of September 2025 | Very low risk profile for critical infrastructure. |
| Tax Incentives | No – as of September 2025 | No specific data center incentives currently active. |
| Sales Tax | 10% VAT – as of September 2025 | Standard rate applied to commercial services. |
Network & Connectivity Ecosystem
As a specialized gateway for regional traffic, the infrastructure in Amwaj Islands is modern and relies on efficient backhaul to national hubs for global peering.
Carrier Density & Carrier Neutrality: The market features a carrier count of over 5 providers as of September 2025. While smaller than the capital, the local ecosystem is served by agile providers like Nuetel, offering varied fiber paths for redundancy.
Direct Cloud On-Ramps: There are 0 direct cloud on-ramps in Amwaj Islands as of September 2025. Organizations requiring direct access to AWS, Google Cloud (GCP), or Microsoft Azure typically utilize private extensions or wave services reaching into the Dubai hub.
Internet Exchange Points (IXPs): Most traffic peers via BNET or Manama-IX in the capital. This ensures that local latency remains minimal while providing a bridge to broader Middle Eastern networks.
Bare Metal: High-performance compute is available through global providers such as Latitude.sh and Leaseweb, who offer edge-ready configurations for specialized workloads as of September 2025.
Power Analysis
Power in Bahrain is largely centralized and reliable, supporting the requirements of modern data halls without the instability seen in some neighboring regions.
Average Cost Of Power: Industrial electricity costs are approximately $0.07–$0.09/kWh as of September 2025. This pricing structure helps keep operational expenditures predictable for intensive compute tasks. The energy mix is dominated by fossil fuels at roughly 99.75%, with renewables making up a small fraction of the grid.
Power Grid Reliability: The grid is well-engineered and features redundant configurations typical of high-end commercial developments. Data centers here benefit from multi-substation support to ensure consistent uptime for mission-critical applications.
Market Access, Business & Tax Climate
The business environment in Amwaj Islands is geared for high-net-worth services and international commerce.
Proximity To Key Business Districts: Data centers are located within minutes of Bahrain International Airport and the central business districts of Manama. This proximity allows for rapid physical access and minimal latency for financial services.
Regional Market Reach: From this location, providers can effectively serve the entire Bahraini population and provide a low-latency bridge to the Eastern Province of Saudi Arabia.
Tax Advantage For Data Centers: Bahrain offers a favorable corporate tax environment with no standard corporate income tax for most industries. This lack of a direct tax burden on profits significantly improves the total cost of ownership for long-term infrastructure deployments.
Natural Disaster Risk
The environmental risk for Amwaj Islands is categorized as Low (1.8/10) as of September 2025. The location is geologically stable and managed by modern civil engineering.
Risk Summary:
- Coastal Flood: 5.3 (Moderate). As a reclaimed island group, this is the primary concern, though managed by modern sea defenses.
- Epidemic: 4.1. This figure is in line with regional health security standards.
- Earthquake: 0.1. Extremely low seismic activity.
- Tropical Cyclone: 0. Outside the typical path for major storms.
Other natural hazards are minor or not listed for this specific geography. All metrics are as of September 2025.
