Data Centers in Punta Cana

Punta Cana – Caribbean Gateway for Subsea Traffic

Executive Summary

Punta Cana serves as a critical subsea landing point and digital bridge connecting the Dominican Republic to international transit routes. It is a strategic choice for enterprises requiring low-latency access to tourism hubs and secure data movement between North and South America. Utilizing its coastal position, it offers a reliable alternative for subsea-dependent workloads that demand speed and security.

Punta Cana: At A Glance

Network & Connectivity Ecosystem

Punta Cana functions as a vital link in the regional infrastructure map, primarily serving as a gateway for international fiber.

Carrier Density & Carrier Neutrality: Carrier count: over 5, as of September 2025. While the local footprint is focused on a few key providers, the presence of major subsea landing stations ensures diverse international pathing for regional traffic.

Direct Cloud On-Ramps: 0, enabling access to 0 cloud regions, as of September 2025. There are currently no direct on-ramps for AWS, Google Cloud (GCP), or Microsoft Azure within the city. Most traffic routes via private waves or PNI to the South Florida hub.

Internet Exchange Points (IXPs): Peering is typically handled via national exchanges in Santo Domingo or through regional hubs in the United States to maintain performance, as of September 2025.

Bare Metal: Services are available through regional providers and global players like Latitude.sh or Hivelocity, who manage the Caribbean market via nearby infrastructure as of September 2025.

Power Analysis

The energy landscape in Punta Cana is defined by its island geography and reliance on imported resources.

Average Cost Of Power: Industrial electricity is approximately $0.19/kWh, as of September 2025. The grid is supported by a mix of roughly 85% fossil fuels and 15% renewables. This cost structure requires efficient cooling strategies to maintain competitive margins for heavy compute.

Power Grid Reliability: Major data center facilities in the region utilize well-engineered, redundant power feeds. Operators frequently deploy on-site generation to manage occasional grid instability during peak seasonal demand as of September 2025.

Market Access, Business & Tax Climate

Punta Cana is more than a tourism destination; it is an emerging digital bridge for the Dominican Republic.

Proximity To Key Business Districts: Data centers here are centrally located for the high-end hospitality and luxury real estate sectors. This proximity ensures low-latency digital services for the region’s most profitable industries as of September 2025.

Regional Market Reach: This location effectively serves the entire Dominican Republic and acts as a transit point for data moving between North and South America.

Tax Advantage For Data Centers: The government provides general indirect-tax measures including credits for e-invoicing and specific exemptions for data center equipment. These benefits reduce the financial burden on companies establishing long-term infrastructure as of September 2025.

Natural Disaster Risk

The region faces significant environmental factors that demand rigorous facility hardening. The overall risk is rated as Moderate (4.3/10) as of September 2025.

• Tropical Cyclone: 10.0 (High). This is the primary concern for the region, necessitating reinforced structures.
• Earthquake: 9.2 (High). Seismic standards are strictly applied to modern infrastructure.
• Epidemic: 7.4 (Moderate). Public health factors are monitored at a level consistent with regional averages.
• Tsunami: 5.1 (Moderate). Coastal positioning creates a material risk that must be addressed via site elevation.
• Coastal Flood: 4.8 (Moderate). This is a direct risk due to the proximity to the shoreline.

Other factors such as River Flood and Drought are considered minor for data center operations in this specific area as of September 2025.