Data Centers in Santiago

Santiago – Latin America's Resilient Digital Hub

Executive Summary

Santiago is the primary data center and connectivity hub for Chile and a key strategic point for accessing the Southern Cone of South America. This market is built for enterprises requiring low-latency connections to major cloud providers and a stable, modern infrastructure base to serve the Andean region. Choosing Santiago reduces network hops and improves application performance for millions of end-users.

Santiago: At A Glance

Network & Connectivity Ecosystem

Santiago's connectivity is first-rate for the region, anchored by significant subsea cable landings and a competitive carrier market. The ecosystem is mature enough to support high-performance, resilient enterprise workloads.

Carrier Density & Carrier Neutrality With over 24 network providers, as of September 2025, Santiago offers a healthy mix of global and regional carriers. The presence of numerous carrier-neutral facilities ensures competitive pricing and diverse routing options, preventing vendor lock-in.

Direct Cloud On-Ramps The market has more than 4 dedicated cloud on-ramps providing direct access to 4 cloud regions, as of September 2025. This enables secure, high-throughput, and low-latency hybrid cloud architectures. Available providers include:

• AWS
• Google Cloud (GCP)
• Microsoft Azure
• Oracle Cloud

Internet Exchange Points (IXPs) The primary local exchange is PIT Chile, which is critical for keeping domestic traffic within the country, reducing latency for local users. Most significant peering occurs directly within the key data center facilities.

Bare Metal Bare metal server options are readily available from multiple providers. This allows businesses to deploy dedicated hardware for performance-intensive applications. Providers like Latitude.sh offer regional expertise for these deployments.

Power Analysis

Chile's power infrastructure is one of the most advanced in South America, with a strong emphasis on renewable energy.

Average Cost Of Power Expect industrial power costs to range from $0.12 to $0.16/kWh, as of September 2025. While not the cheapest in the world, the price reflects a stable and increasingly green power grid, which can be a key factor in corporate sustainability goals. The national grid is approximately 70% renewable.

Power Grid Reliability The power grid serving the Santiago metropolitan area is well-engineered and reliable. Major data center corridors benefit from redundant power feeds and substation diversity, meeting the uptime requirements of enterprise-grade operations.

Market Access, Business & Tax Climate

Santiago is the undisputed economic engine of Chile, providing a centralized location to access the national market and surrounding countries.

Proximity To Key Business Districts Data centers are strategically located to serve Santiago's financial center, often called "Sanhattan," and the city's numerous corporate and industrial parks. This proximity ensures minimal delay for financial services, retail, and logistics operations.

Regional Market Reach A deployment in Santiago serves as an excellent digital hub for the entire country of Chile. It also provides a stable and well-connected base for reaching markets in Argentina, Peru, and Bolivia with better performance than backhauling traffic from Brazil or the United States.

Tax Advantage For Data Centers Currently, Chile does not offer specific tax incentives for the development or operation of data centers. Businesses should plan based on the standard corporate tax structure and the 19% Value Added Tax.

Natural Disaster Risk

Santiago has a moderate overall disaster risk profile, with a score of 3.2 out of 10, as of September 2025. The risk profile is dominated by a single, well-understood hazard.

Data center selection requires careful attention to facility engineering and seismic resilience. The most significant natural hazards include:

• Earthquake: (9.6/10) The region has very high seismic risk. Modern data centers are purpose-built to withstand significant seismic events, a critical diligence item for any deployment.
• Tsunami: (8.6/10) This is a major national risk for coastal areas, but it is not a direct threat to facilities in the inland Santiago metro. The primary impact would be on subsea cable landing stations.
• River Flood: (5.5/10) Localized flooding can occur, but modern data centers are sited in low-risk zones.
• Coastal Flood: (2.7/10) Like tsunamis, this risk is limited to coastal regions and does not directly impact Santiago.