Data Centers in Georgia
3 locations found
Need Help?
Tell us about your needs and our team of experts will help you find and choose the perfect Data Center and solution at the best price.
Georgia – Strategic Digital Hub for the Caucasus
Georgia is a developing data center market positioned as a strategic gateway between Europe and Asia. The country is best suited for organizations requiring a digital presence to serve the Caucasus region, Turkey, and Central Asia, offering a low-latency hub for content delivery, financial services, and logistics. Its improving infrastructure and favorable business climate provide a solid foundation for regional expansion.
Georgia: At A Glance
| Factor | Rating / Data | Notes |
|---|---|---|
| Global Connectivity Grade | B | A developing market with improving fiber routes connecting to Europe and Asia. |
| Direct Cloud On-Ramps | 0 — as of September 2025 | Nearest major cloud hubs are in Istanbul and Frankfurt; private connectivity is available. |
| Power Cost | $0.07 - $0.11/kWh | Based on industrial rates as of September 2025; heavily reliant on hydropower. |
| Disaster Risk | Moderate (3.4/10) | Primary risks are seismic activity and flooding, requiring site-specific due diligence. |
| Tax Incentives | Yes | Favorable tax policies exist, particularly within Free Industrial Zones (FIZs). |
| Sales Tax | 18% VAT | Standard rate applied to goods and services, as of September 2025. |
Network & Connectivity Ecosystem
Georgia's connectivity landscape is growing, centered in the capital, Tbilisi. It serves as a crucial transit point for data traffic moving between the Caspian and Black Seas.
Carrier Density & Carrier Neutrality: The market includes the national incumbent and several regional providers, with at least 1 primary data center facility offering colocation services as of September 2025. While carrier diversity is still developing, key fiber routes connect Georgia with Turkey, Armenia, and Azerbaijan.
Direct Cloud On-Ramps: There are no direct, in-country public cloud on-ramps from major providers as of September 2025. Businesses connect to cloud services via network extensions to major European hubs like Frankfurt or closer regional nodes in Istanbul. Private line and wavelength services can be procured to establish reliable connections.
Internet Exchange Points (IXPs): The primary exchange is the Georgian Internet Exchange (GIX), located in Tbilisi. It facilitates local traffic peering, which helps reduce latency for domestic users and lowers transit costs for participating networks.
Bare Metal: Bare metal server options are available, primarily through regional and international providers. Services from providers like Leaseweb and OVHcloud can serve the Georgian market from nearby European data centers.
Power Analysis
Georgia's power infrastructure benefits significantly from its natural resources, which directly impacts cost and sustainability.
Average Cost Of Power: Industrial power rates typically range from $0.07 to $0.11 per kWh, as of September 2025. This competitive pricing is largely due to the country's heavy reliance on hydropower, which can reduce operational expenditures for high-density deployments.
Power Grid Reliability: The national power grid is stable, especially in the capital region where data centers are located. The country's energy infrastructure is primarily powered by hydroelectric plants, offering a renewable and generally consistent energy source.
Market Access, Business & Tax Climate
Georgia offers a business-friendly environment and a strategic location for accessing multiple high-growth markets.
Proximity To Key Business Districts: Data centers are located in and around Tbilisi, the nation's undisputed economic and political center. This ensures low-latency connectivity for the financial, government, and commercial sectors headquartered in the capital.
Regional Market Reach: Georgia provides a unique digital bridge serving a population of millions across the Caucasus (Armenia, Azerbaijan) and neighboring markets in Turkey and Central Asia. This makes it an effective location for content distribution and application delivery.
Tax Advantage For Data Centers: The country is known for its simplified and low-rate tax system. Locating operations within one of Georgia's Free Industrial Zones can provide significant tax relief, including exemptions from corporate profit tax and VAT, which lowers the total cost of ownership.
Natural Disaster Risk
Georgia has a moderate overall risk profile for natural disasters, with an INFORM Risk score of 3.4 out of 10, as of September 2025. Operators must engineer facilities to withstand specific regional threats.
The most significant natural hazards include:
- Earthquake: Score of 7.2/10
- River Flood: Score of 6.1/10
- Coastal Flood: Score of 6.0/10
- Drought: Score of 5.6/10
The country's location in a seismically active region makes earthquakes the primary concern. Site selection and construction standards are critical to mitigating risks associated with seismic events and potential flooding in low-lying areas.
