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Data Centers in Prague

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Prague – Digital Crossroads of Central Europe

Prague is the primary interconnection point for enterprises scaling operations across Central Europe. This market offers a balance of high-tier infrastructure and stable connectivity to drive rapid regional expansion and secure transaction processing.

Prague: At A Glance

FactorRating / DataNotes
Global Connectivity GradeAHigh density of local and international carriers.
Direct Cloud On-RampsOver 1 – as of September 2025Direct access to AWS is available.
Power Cost€0.20/kWh – as of December 2023Mix includes nuclear, fossil fuels, and renewables.
Disaster RiskLow (1.9/10) – as of September 2025Overall risk class is very low.
Tax IncentivesNo – as of September 2025Standard commercial regulations apply without specific incentives.
Sales Tax21% VAT – as of September 2025Standard rate for services and hardware.

Network & Connectivity Ecosystem

Carrier Density & Carrier Neutrality: Prague maintains a healthy ecosystem with over 15 providers as of September 2025. Many facilities operate with carrier-neutral policies, hosting ~50–70 carriers including major tier-1 international networks and local fiber operators.

Direct Cloud On-Ramps: Over 1, enabling access to 1 cloud regions as of September 2025. Local facilities provide direct on-ramps to AWS, minimizing latency for hybrid cloud deployments.

Internet Exchange Points (IXPs): NIX.CZ is the primary internet exchange, providing efficient local peering that keeps traffic within the country and reduces transit costs.

Bare Metal: High-performance bare metal services are widely available through providers like phoenixNAP and Hivelocity to support compute-heavy workloads.

Power Analysis

Average Cost Of Power: Industrial electricity is priced at €0.20/kWh as of December 2023. This rate reflects a stable energy market, though it remains a significant line item for high-density colocation users.

Power Grid Reliability: The grid in major Prague data center corridors is well-engineered with redundant supply lines. Most tier-3 facilities utilize multi-substation support to ensure consistent uptime during maintenance cycles.

Market Access, Business & Tax Climate

Proximity To Key Business Districts: Data centers are strategically positioned near the Pankrác and Karlín business districts. This proximity allows financial services and tech startups to maintain sub-millisecond latency to their core infrastructure.

Regional Market Reach: Prague acts as a natural gateway, effectively serving over 10 million people in the Czech Republic and providing a low-latency bridge to Germany, Poland, and Austria.

Tax Advantage For Data Centers: The local tax climate is predictable with a stable regulatory framework for digital assets. While specific data center tax breaks are absent, the overall ease of doing business remains a primary draw for international investors.

Natural Disaster Risk

Low (1.9/10) – as of September 2025. The overall hazard profile is minimal, ensuring high physical security for long-term deployments.

Highest natural hazards:

  • River Flood (5.7/10)
  • Epidemic (1.7/10)
  • Drought (1.3/10)
  • Earthquake (0.5/10)

As an inland metro, coastal flooding and tsunami risks are zero. Flood risks are managed through modern facility placement in elevated districts outside the Vltava floodplains. Other hazards are minor or not listed. All figures are as of September 2025.

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