Data Centers in Guatemala

Guatemala – Central America's Emerging Hub

Executive Summary

Guatemala is a strategic entry point for businesses targeting the Central American market. While direct cloud access is still developing, its growing infrastructure provides a solid foothold for content delivery, disaster recovery, and serving the region's largest national economy. This market is ideal for companies needing to reduce latency to users in Guatemala, El Salvador, and Honduras.

Guatemala: At A Glance

Network & Connectivity Ecosystem

Guatemala's connectivity ecosystem is growing, centered around the capital, Guatemala City. It serves as a developing hub for traffic exchange in northern Central America.

Carrier Density & Carrier Neutrality The market includes 6 data centers operated by 2 primary providers as of September 2025. While the ecosystem is concentrated, carrier-neutral facilities are available, providing access to key local and regional networks.

Direct Cloud On-Ramps There are no direct cloud on-ramps from providers like AWS, Google Cloud, or Microsoft Azure within Guatemala as of September 2025. Accessing these clouds with low latency requires a private network extension to interconnection hubs in cities like Miami or Mexico City.

Internet Exchange Points (IXPs) The primary exchange point is IXP-GT in Guatemala City. Peering at this IXP is critical for any organization serving local customers, as it keeps domestic traffic within the country, significantly improving performance and reducing transit costs.

Bare Metal Bare metal server options are available, primarily through local colocation providers. Global providers like Latitude.sh can service the region from nearby strategic locations, offering another path for deploying physical infrastructure.

Power Analysis

Average Cost Of Power The industrial electricity rate is approximately US$0.09/kWh as of December 2024. This competitive rate, combined with a grid powered by over 70% renewables, creates an efficient and sustainable operating environment. These favorable power costs directly reduce the total cost of ownership for colocation and large-scale deployments.

Power Grid Reliability Grid stability in Guatemala City is adequate for commercial operations. Data centers are supported by redundant power feeds from separate substations, along with enterprise-grade UPS systems and on-site generators to guarantee uptime.

Market Access, Business & Tax Climate

Proximity To Key Business Districts Data centers are located in or near Guatemala City, the country's economic and governmental center. This proximity provides low-latency connectivity to the financial, telecommunications, and enterprise sectors concentrated in the capital.

Regional Market Reach As the largest economy in Central America, Guatemala is a logical anchor point for digital services reaching a population of over 18 million. Its location also offers a strategic advantage for serving neighboring countries, including El Salvador, Honduras, and the southern states of Mexico.

Tax Advantage For Data Centers Guatemala does not offer specific tax incentives for data center operators or tenants. The primary financial advantage stems from competitive operational costs, particularly for power, rather than from special tax breaks. This straightforward approach simplifies financial modeling for market entry.

Natural Disaster Risk

Guatemala has a High natural disaster risk profile, with an overall INFORM score of 5.3 out of 10 as of September 2025. Data center selection and disaster recovery planning must account for these environmental factors.

The most significant risks include:

• Earthquake Risk (9.5/10): The country's location on the boundary of three tectonic plates results in extremely high seismic risk. Facilities must be engineered to modern seismic codes.
• Tsunami Risk (6.8/10): A serious threat for coastal infrastructure, which can impact subsea cable landing points and national connectivity.
• River Flood Risk (4.2/10): Seasonal rainfall can lead to moderate flooding, requiring careful site selection away from floodplains.
• Tropical Cyclone Risk (3.7/10): The country is susceptible to hurricanes from both the Atlantic and Pacific, posing wind and flood risks.