Data Centers in Deggendorf
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Deggendorf – Resilient Edge Computing in Bavaria
Executive Summary
Deggendorf offers a strategic location for resilient edge and secondary workloads in Southern Germany. For businesses needing to serve the Bavarian market with low latency and high uptime, this location provides a stable operational environment away from the primary Frankfurt hub. This focus on stability and regional access protects critical applications and improves end-user experience.
Deggendorf: At A Glance
| Factor | Rating / Data | Notes |
|---|---|---|
| Global Connectivity Grade | B | Solid regional connectivity, suitable for edge and disaster recovery deployments. |
| Direct Cloud On-Ramps | 0 – as of September 2025 | Direct access is via hubs like Munich or Frankfurt through private network extensions. |
| Power Cost | €0.15/kWh – as of September 2025 | Competitive industrial power rates support cost-effective operations. |
| Disaster Risk | Low (2.6/10) – as of September 2025 | Very low exposure to significant natural disasters, ensuring high operational uptime. |
| Tax Incentives | Yes | Support for renewable energy helps lower the total cost of ownership. |
| Sales Tax | 19% VAT – as of September 2025 | Standard German value-added tax applies to services and equipment. |
Network & Connectivity Ecosystem
Deggendorf serves as a valuable edge location, with connectivity primarily routed through Germany's major interconnection hubs.
Carrier Density & Carrier Neutrality: Data centers in the region provide access to a range of national and local carriers, with estimates suggesting connectivity to over 10 providers as of September 2025. Carrier-neutral facilities offer diverse options for building redundant networks.
Direct Cloud On-Ramps: There are no direct public cloud on-ramps within Deggendorf as of September 2025. Secure, high-performance connections to all major cloud providers, including AWS, Google Cloud, and Microsoft Azure, are established via dedicated circuits to the primary interconnection market in Frankfurt or the regional hub of Munich.
Internet Exchange Points (IXPs): Public peering is not a feature of the Deggendorf market. Most peering occurs privately or is routed through major national exchanges like DE-CIX in Frankfurt to ensure efficient traffic exchange.
Bare Metal: Bare metal server options are available, providing dedicated compute resources for performance-sensitive applications. Providers like IONOS offer solutions suitable for the German market.
Power Analysis
Germany's power infrastructure is both highly reliable and increasingly sustainable, benefiting data center operations in Deggendorf.
Average Cost Of Power: The average industrial power cost is approximately €0.15/kWh as of September 2025. These predictable energy costs are essential for managing the long-term operational expenses of compute-heavy environments.
Power Grid Reliability: The German power grid is exceptionally well-engineered and stable. The national energy mix includes approximately 55% renewables, with strong support from fossil fuels ensuring consistent, multi-source power delivery suitable for mission-critical facilities.
Market Access, Business & Tax Climate
Deggendorf's location in Bavaria provides strategic access to a strong regional economy and key industrial centers.
Proximity To Key Business Districts: The market is well-positioned to serve businesses throughout Lower Bavaria, including manufacturing, automotive, and technology sectors. Its proximity to Munich allows for low-latency connections to one of Germany's primary economic hubs.
Regional Market Reach: From Deggendorf, organizations can effectively serve end-users across Southern Germany, Austria, and the Czech Republic. This makes it an ideal location for disaster recovery sites or for content delivery networks targeting Central Europe.
Tax Advantage For Data Centers: Germany offers tax incentives aimed at promoting renewable energy adoption. Support mechanisms, such as those replacing previous solar subsidies, allow data center operators to reduce their carbon footprint and lower energy-related operational costs.
Natural Disaster Risk
Deggendorf has a very low natural disaster risk profile, with an INFORM Risk score of 2.6 out of 10, classifying it as a low-risk environment as of September 2025. This ensures excellent physical security and uptime for data center infrastructure.
The primary environmental hazards to consider are:
- Coastal Flood: Rated at 8.0/10, this national figure reflects Germany's northern coastline; the risk in inland Deggendorf is negligible.
- River Flood: Rated at 7.8/10, reflecting proximity to the Danube River. Modern flood defenses and proper site selection mitigate this risk.
- Earthquake: Rated at 3.7/10, indicating very low seismic activity.
- Drought: Rated at 1.3/10, presenting a minimal operational threat.
Risks from tsunamis and tropical cyclones are non-existent for this inland location.
