Data Centers in Prague

Prague – Central Europe's Resilient Digital Hub

Prague is a strategic digital gateway for Central and Eastern Europe, offering a stable, low-risk environment for deploying critical infrastructure. Its combination of excellent connectivity, reliable power, and a central location allows businesses to serve both established and emerging regional markets with low latency and high uptime. This market is ideal for companies prioritizing operational stability and efficient access to the heart of the continent.

Prague: At A Glance

Network & Connectivity Ecosystem

Carrier Density & Carrier Neutrality: Prague's ecosystem includes over 15 network providers, as of September 2025. The market features multiple carrier-neutral facilities, ensuring competitive and resilient connectivity options for interconnection and transit.

Direct Cloud On-Ramps: The city provides direct, low-latency access to at least one major cloud region, as of September 2025. AWS maintains a local on-ramp, enabling high-performance hybrid cloud architectures. Other cloud providers are accessible via private network connections through nearby hubs like Frankfurt or Vienna.

Internet Exchange Points (IXPs): The primary exchange is NIX.CZ, which is central to the Czech internet and facilitates efficient traffic exchange between providers. This robust peering environment lowers transit costs and improves latency for traffic within Central and Eastern Europe.

Bare Metal: Bare metal server options are readily available from multiple providers in Prague. Companies like phoenixNAP offer dedicated server solutions for workloads requiring maximum performance and security without a virtualization layer.

Power Analysis

Average Cost Of Power: Industrial power is priced at approximately €0.20/kWh, as of December 2023. This cost structure is predictable and allows for effective operational expense management for high-density deployments.

Power Grid Reliability: The power grid serving Prague's main data center zones is well-engineered and stable. The national energy mix is diverse, with significant contributions from nuclear (~34%) and fossil fuels (~48%), providing a reliable baseload power supply suitable for mission-critical operations.

Market Access, Business & Tax Climate

Proximity To Key Business Districts: Data centers in Prague are situated to serve the city's commercial and technology districts effectively. This proximity provides low-latency connections essential for financial services, software development, and corporate IT operations headquartered in the capital.

Regional Market Reach: From Prague, organizations can effectively serve a vast region spanning Germany, Poland, Austria, and Slovakia. Its central location makes it an ideal hub for delivering services and applications across the CEE region with minimal delay.

Tax Advantage For Data Centers: While the Czech Republic does not provide targeted tax incentives for data center development, the overall corporate tax environment is straightforward. The primary benefit is a clear and established fiscal framework, which simplifies financial planning for foreign investment.

Natural Disaster Risk

The Czech Republic has a very low natural disaster risk profile, with an INFORM Risk score of 1.9 out of 10, as of September 2025. This high level of safety is a key advantage for ensuring business continuity and protecting critical infrastructure investments.

The most notable environmental risks are managed and localized:

• River Flood: The primary natural hazard, particularly concerning the Vltava River, though modern flood defenses mitigate risk in key commercial areas.
• Drought: A consideration for the broader agricultural and water management sectors, but with minimal direct impact on data center operations.
• Epidemic: A low-level background risk common to all populated regions.
• Earthquake: Seismic risk is minimal, with the country located in a low-activity zone.