Data Centers in Honduras
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Honduras – Strategic Gateway for Central American Connectivity
Honduras serves as a vital regional link for operators targeting the Central American market without the overhead of massive hubs. It provides an efficient environment for edge services and localized redundancy where regional latency is the priority. Establishing a footprint here secures a direct path to the growing digital economies of the CA–4 region.
Honduras: At A Glance
| Factor | Rating / Data | Notes |
|---|---|---|
| Global Connectivity Grade | B | Reliable regional links with key landing points. |
| Direct Cloud On-Ramps | 0 – as of January 2026 | Nearest hub is Miami; private extensions available. |
| Power Cost | $0.21–$0.25/kWh – as of January 2026 | Mix is ~60–70% renewable, mostly hydro and wind. |
| Disaster Risk | High (5.8/10) – as of January 2026 | Primary factors include seismic activity and flooding. |
| Tax Incentives | No – as of January 2026 | No sector-specific financial incentives for operators. |
| Sales Tax | 15% Sales Tax – as of January 2026 | Standard rate for digital infrastructure services. |
Network & Connectivity Ecosystem
Honduras functions as a developing digital crossroads for regional traffic exchange. The market is maturing as fiber infrastructure expands for major economic corridors.
Carrier Density & Carrier Neutrality: Carrier count: 5–10 carriers. While the market is concentrated, several regional providers offer diverse paths as of January 2026. Most deployments center around Tegucigalpa, ensuring steady access to national backbones and regional transit.
Direct Cloud On-Ramps: 0, enabling access to 0 cloud regions, as of January 2026. There are no direct native on-ramps for AWS, Google Cloud (GCP), or Microsoft Azure within the borders. Traffic typically routes to Miami via submarine cables. Private extension via waves or PNI is the standard for high-performance requirements.
Internet Exchange Points (IXPs): The Honduras Internet Exchange (IXP–HN) facilitates local peering in Tegucigalpa. This setup reduces latency and costs by keeping local traffic within the country as of January 2026.
Bare Metal: Physical infrastructure is available through regional providers and global entities like Latitude.sh. These options offer reliable hardware for local processing and edge computing needs as of January 2026.
Power Analysis
Power in Honduras is characterized by a significant shift to renewable energy, though cost and stability remain primary considerations for site selection.
Average Cost Of Power: Industrial rates range between $0.21–$0.25/kWh, as of January 2026. This pricing is influenced by a generation mix that is roughly 60–70% renewable, dominated by hydro, wind, and solar. While higher than some North American markets, it is competitive for the region.
Power Grid Reliability: The grid in major corridors is supported by multi-substation configurations and redundant circuits. High-tier data centers rely on onsite generation to manage utility fluctuations, ensuring consistent uptime for critical workloads as of January 2026.
Market Access, Business & Tax Climate
Strategic placement in Honduras allows for efficient management of regional business operations.
Proximity To Key Business Districts: Data centers are centrally located near Tegucigalpa, the capital and financial hub. This proximity is vital for the banking, government, and telecommunications sectors that require low-latency access to primary databases as of January 2026.
Regional Market Reach: A presence here provides an effective gateway to the wider Central American population. It serves as a transit point for traffic moving through the CA–4 region, which includes Guatemala, El Salvador, and Nicaragua as of January 2026.
Tax Advantage For Data Centers: There are no specialized tax breaks or financial incentives for data center operators or clients as of January 2026. The 15% sales tax remains the primary fiscal consideration for service procurement, impacting the total cost of ownership for localized deployments.
Natural Disaster Risk
The environmental profile for Honduras is classified as High (5.8/10) as of January 2026. Risk management strategies must prioritize structural integrity and site elevation.
- Earthquake (8.1): This is the primary natural hazard, requiring facilities built to strict seismic standards as of January 2026.
- Tsunami (6.4): This is an indirect risk for the Tegucigalpa metro area due to its inland location but affects coastal landing stations as of January 2026.
- River Flood (5.4): Heavy seasonal rains make flood-plain avoidance a critical factor in site selection as of January 2026.
- Drought (5.0): Potential impact on hydroelectric power generation during dry cycles as of January 2026.
- Tropical Cyclone (4.6): Regional storms can disrupt external infrastructure and logistics as of January 2026.
Other hazards such as coastal flooding are considered regional and do not materially affect inland data center operations in the capital.
