Data Centers in Dundalk
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Dundalk – Strategic Access to Ireland & Europe
Dundalk offers a compelling alternative to the congested Dublin market for specific workloads. It provides a strategic location for disaster recovery or secondary sites that require proximity to major Irish economic hubs without being directly in the primary zone. This market is ideal for businesses focused on serving the island of Ireland and seeking stable, low-risk operational environments.
Dundalk: At A Glance
| Factor | Rating / Data | Notes |
|---|---|---|
| Global Connectivity Grade | B | Reliable connectivity, though less dense than primary European hubs. |
| Direct Cloud On-Ramps | 0 – as of September 2025 | Connect via the primary Dublin hub through private network extensions. |
| Power Cost | €0.18 – €0.23/kWh (est.) | Industrial power pricing is competitive for edge and secondary deployments. |
| Disaster Risk | Low (2.1/10) – as of September 2025 | Very low exposure to significant natural disasters, ensuring high uptime. |
| Tax Incentives | Yes | Includes a sales tax exemption on data center equipment purchases. |
| Sales Tax | 23% VAT – as of September 2025 | The standard Value Added Tax rate for Ireland applies. |
Network & Connectivity Ecosystem
Carrier Density & Carrier Neutrality: As of September 2025, the Dundalk market provides access to a focused group of national and regional carriers. While not as dense as Dublin, carrier-neutral facilities ensure competitive connectivity options for most business needs.
Direct Cloud On-Ramps: There are no direct public cloud on-ramps within Dundalk as of September 2025. Businesses connect to all major cloud providers, including AWS, Google Cloud, and Microsoft Azure, via high-speed fiber routes to the primary interconnection hub in Dublin.
Internet Exchange Points (IXPs): Peering is primarily handled through INEX (Ireland's Internet Neutral Exchange) in Dublin. Traffic from Dundalk is backhauled to these peering points, providing efficient routing to national and international destinations.
Bare Metal: Bare metal server options are available, often provisioned from providers located in Dublin to serve the entire Irish market. Providers like Hivelocity can deliver dedicated infrastructure to support workloads requiring physical servers.
Power Analysis
Average Cost Of Power: Industrial electricity rates are estimated between €0.18 and €0.23/kWh as of September 2025. This pricing supports cost-effective operations for deployments not requiring the scale of a primary hyperscale market. Ireland's grid is increasingly powered by renewables, with approximately 40% coming from sources like wind.
Power Grid Reliability: The national power grid is well-engineered and stable. Data centers in the region are supported by resilient power infrastructure designed to maintain uptime for critical digital services.
Market Access, Business & Tax Climate
Proximity To Key Business Districts: Dundalk is strategically positioned on the M1 economic corridor between Dublin and Belfast, providing excellent access to the two largest economic centers on the island of Ireland. This makes it a strong location for logistics, manufacturing, and technology firms.
Regional Market Reach: From Dundalk, organizations can effectively serve the entire population of Ireland and Northern Ireland with low latency. Its location is ideal for a disaster recovery site or a secondary point of presence supporting a primary Dublin deployment.
Tax Advantage For Data Centers: Ireland offers specific tax benefits for data center operators. A key advantage is an exemption from the standard 6% sales tax on the purchase of qualifying data center equipment, which significantly lowers capital expenditure.
Natural Disaster Risk
Overall, Dundalk and the surrounding region have a very low risk of natural disasters, with an INFORM Risk score of 2.1 out of 10 as of September 2025. This stable environment is a key advantage for ensuring business continuity and infrastructure uptime.
The primary natural hazards to consider, though still rated low, include:
- Coastal Flood: The highest individual risk factor for the region.
- River Flood: A moderate consideration for specific low-lying areas.
- Tsunami: A very low probability but noted due to the coastal location.
- Drought: A minor risk factor.
