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Natal – South America’s Strategic Transatlantic Gateway

Natal serves as the premier subsea corridor for data traveling between South American, European, and African markets. Its geographic position makes it a critical choice for enterprises requiring low-latency international transit and access to a power grid with high renewable energy saturation. This location is a fundamental bridge for global connectivity where speed and sustainability meet.

Natal: At A Glance

FactorRating / DataNotes
Global Connectivity GradeBStrategic landing point for transatlantic subsea cables.
Direct Cloud On-Ramps0 – as of January 2026Nearest on-ramp hub located in São Paulo.
Power Cost$0.14–$0.18/kWh, as of January 2026Competitive rates featuring high renewable energy mix.
Disaster RiskHigh (5.2/10), as of January 2026Primarily driven by hydrological and river flood risks.
Tax IncentivesYesIT capital expenditure and hardware exemptions available.
Sales Tax18% VAT, as of January 2026Combined ICMS, PIS-COFINS, and ISS rates.

Network & Connectivity Ecosystem

Carrier Density & Carrier Neutrality: Carrier count: over 10, as of January 2026. The market is supported by a specialized group of regional and national providers managing local fiber distribution and international subsea transit. This ecosystem ensures reliable handoffs for data traveling between continents.

Direct Cloud On-Ramps: Over 0, enabling access to 0 cloud regions, as of January 2026. While local direct on-ramps for AWS, Google Cloud (GCP), or Microsoft Azure are not physically present in the metro, enterprises access these services via private wave extensions or PNI to the primary interconnection hubs in São Paulo.

Internet Exchange Points (IXPs): IX.br Natal serves as the primary exchange as of January 2026. It enables local peering to keep regional traffic within local infrastructure, reducing transit costs and improving performance for local end users.

Bare Metal: High-performance hardware options are available through providers such as Latitude.sh and Hivelocity as of January 2026. These services offer resilient compute resources for workloads requiring dedicated physical hardware without the management requirements of traditional virtualization.

Power Analysis

Average Cost Of Power: $0.14–$0.18/kWh, as of January 2026. These rates provide a sustainable foundation for energy-intensive operations, specifically because the local grid draws approximately 82% of its energy from renewable sources such as wind and hydro. This energy profile supports corporate sustainability goals while maintaining price stability for long-term deployments.

Power Grid Reliability: The local grid is purpose-built to support critical subsea cable landing stations as of January 2026. It features redundant distribution paths and multi-substation support to maintain the high uptime required for international data gateways.

Market Access, Business & Tax Climate

Proximity To Key Business Districts: Data centers in Natal are centrally located to serve the municipal administrative core and the growing technology sector. This proximity is vital for regional financial institutions and local government services requiring low-latency access to digital infrastructure.

Regional Market Reach: Natal acts as the primary digital gateway for the state of Rio Grande do Norte as of January 2026. Its geographic position allows it to serve as a high-speed transit point for data traveling between the Americas and major markets in Africa and Europe.

Tax Advantage For Data Centers: Federal and local incentives significantly reduce the cost of specialized hardware and networking equipment. These exemptions help operators manage initial capital expenditure and improve the return on infrastructure investments for hardware-heavy deployments.

Natural Disaster Risk

The overall risk for Natal is High (5.2/10), as of January 2026. The risk profile is primarily influenced by the coastal and river geography of the region.

  • River Flood: 7.7 (High)
  • Coastal Flood: 5.0 (Moderate)
  • Drought: 4.5 (Moderate)
  • Earthquake: 0.5 (Low)

Hazards such as Tsunami and Tropical Cyclone are considered minor or are not listed as material factors for this location as of January 2026. Local infrastructure is generally situated to account for these specific hydrological risks.

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