Data Centers in Alexandria
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Alexandria – Africa’s Primary Subsea Interconnection Gateway
Alexandria serves as the indispensable landing zone for international subsea cables bridging Europe, Asia, and East Africa. This market is the primary destination for operators managing global transit and data distribution between hemispheres, offering the lowest latency for traffic crossing the Mediterranean into the African interior.
Alexandria: At A Glance
| Factor | Rating / Data | Notes |
|---|---|---|
| Global Connectivity Grade | B | Massive subsea cable landing station concentration. |
| Direct Cloud On-Ramps | 0 — as of September 2025 | Nearest on-ramps located in Cairo or Marseille. |
| Power Cost | EGP 1.65/kWh — as of September 2025 | Competitive industrial rates for the region. |
| Disaster Risk | Moderate (4.3/10) — as of September 2025 | Significant coastal and river flood risks. |
| Tax Incentives | No — as of September 2025 | No industry-specific breaks currently available. |
| Sales Tax | 14% VAT — as of September 2025 | Standard national rate for Egypt. |
Network & Connectivity Ecosystem
Carrier Density & Carrier Neutrality: Carrier count is over 10 as of September 2025. While Telecom Egypt maintains a significant presence, international carriers operate within major landing stations to facilitate global transit. Neutrality is available in specialized facilities, though the local ecosystem remains focused on high-capacity transit rather than local retail competition.
Direct Cloud On-Ramps: Alexandria hosts 0 direct on-ramps as of September 2025. Access to AWS, Google Cloud (GCP), and Microsoft Azure is managed via private extensions to hubs in Cairo or across the Mediterranean to Marseille.
Internet Exchange Points (IXPs): Local peering is primarily handled through the Egypt Internet Exchange (EG-IX) in Cairo or via private interconnects inside major cable landing stations as of September 2025. This architecture minimizes the need to backhaul traffic to European exchanges for regional distribution.
Bare Metal: Bare metal services for edge deployments and subsea transit management are available through global providers like Hivelocity and Latitude.sh as of September 2025.
Power Analysis
Average Cost Of Power: Industrial electricity is EGP 1.65/kWh as of September 2025. The power mix consists of approximately 85% natural gas, 10% hydro, and 5% renewables. These rates provide a stable operational foundation that is significantly more cost-effective than Mediterranean alternatives in Europe.
Power Grid Reliability: Infrastructure in Alexandria is engineered to support mission-critical maritime and telecommunications systems as of September 2025. High-tier facilities typically benefit from multi-substation support to ensure the continuous uptime of international circuits.
Market Access, Business & Tax Climate
Proximity To Key Business Districts: Data centers are strategically positioned near the Port of Alexandria and the Moharram Beik industrial area. This placement allows telecommunications and logistics firms to terminate subsea cables close to the industrial and maritime core of the city.
Regional Market Reach: Alexandria is the primary distribution gateway for the Nile Delta and represents the most efficient path for data moving between Europe and Northern Africa.
Tax Advantage For Data Centers: Egypt currently offers no industry-specific tax incentives or customs breaks for data center operators as of September 2025. Companies operate under the standard corporate tax framework, which helps maintain a predictable but standard fiscal environment.
Natural Disaster Risk
Alexandria presents a Moderate (4.3/10) risk profile as of September 2025. The city's geography requires specific engineering to manage environmental exposure.
- River Flood (9.9/10): Extremely high risk due to the city's location within the Nile Delta basin.
- Coastal Flood (9.0/10): High risk for this low-lying Mediterranean port city.
- Tsunami (5.9/10): Moderate risk associated with regional seismic activity in the Mediterranean.
- Earthquake (4.6/10): Moderate risk based on regional fault line proximity.
- Drought (2.2/10): Minor risk.
Other natural hazards, such as tropical cyclones, are not material to this location. Modern builds use elevation and drainage engineering to manage these specific environmental threats.
