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Data Centers in Milan

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Milan – Italy's Digital Gateway to Europe

Milan stands as Italy's undisputed economic and digital core, making it the premier market for colocation and interconnection in the country. This market is built for enterprises that require low-latency access to Southern Europe and a robust ecosystem of networks, cloud providers, and digital services. Locating in Milan ensures high-performance connectivity, securing faster application delivery and improving user experience across the region.

Milan: At A Glance

FactorRating / DataNotes
Global Connectivity GradeAExcellent carrier diversity and direct cloud access drive this top-tier rating.
Direct Cloud On-RampsOver 7 — as of September 2025AWS, Google Cloud (GCP), Microsoft Azure, IBM Cloud, and Oracle Cloud are present.
Power Cost€0.18 – €0.25/kWh, as of September 2025Costs are in line with other major Western European markets.
Disaster RiskLow (3/10), as of September 2025Primary risks include manageable seismic activity and potential river flooding.
Tax IncentivesYesSubsidies are available for energy-efficient systems and related infrastructure improvements.
Sales Tax22% VAT, as of September 2025Italy's standard Value Added Tax rate applies to services.

Network & Connectivity Ecosystem

Milan is the center of Italy’s network infrastructure, offering outstanding options for interconnection and cloud access. Its strategic location makes it a critical hub for traffic exchange between Central Europe, the Mediterranean, and North Africa.

Carrier Density & Carrier Neutrality With over 40 unique network providers, as of September 2025, Milan provides a competitive and resilient connectivity marketplace. The presence of numerous carrier-neutral facilities ensures that businesses have a wide choice of partners to meet their specific cost and performance requirements.

Direct Cloud On-Ramps The market features over 7 direct cloud on-ramps, enabling low-latency access to 20 cloud regions, as of September 2025. Private connections are available to all major hyperscalers, including AWS, Google Cloud (GCP), Microsoft Azure, IBM Cloud, and Oracle Cloud, allowing for secure and high-performance hybrid cloud architectures.

Internet Exchange Points (IXPs) The primary exchange point is the Milan Internet eXchange (MIX), which is one of the largest IXPs in Southern Europe. Peering at MIX significantly reduces latency and transit costs for delivering content and services to Italian and regional end-users.

Bare Metal Bare metal server capacity is readily available from multiple providers in Milan. Companies like Hivelocity and phoenixNAP offer dedicated server solutions for workloads that demand the highest levels of performance and security without the overhead of virtualization.

Power Analysis

Milan provides reliable and well-supported power infrastructure suitable for mission-critical data center operations.

Average Cost Of Power Industrial power costs typically range from €0.18 – €0.25/kWh, as of September 2025. This pricing is competitive within Western Europe and is a key factor in the total cost of ownership for any significant deployment.

Power Grid Reliability As Italy's financial and industrial capital, Milan benefits from a sturdy and redundant power grid. Data centers are concentrated in areas with robust utility service and multi-substation support, ensuring high levels of uptime for critical operations. The national grid is primarily powered by fossil fuels (~60%) and a growing share of renewables (~40%).

Market Access, Business & Tax Climate

Milan's business environment is one of the most dynamic in Europe, offering excellent access to both local and regional markets.

Proximity To Key Business Districts Data centers in the Milan area are strategically located to serve Italy's core financial, manufacturing, and fashion industries. Proximity to these districts allows for low-latency connectivity essential for financial trading, supply chain management, and digital media.

Regional Market Reach Milan serves as an ideal digital hub for the entire Italian peninsula, Southern Switzerland, and the Balkan states. Its advanced network infrastructure makes it a strategic point of presence for reaching over 80 million consumers within a 50ms round-trip latency.

Tax Advantage For Data Centers Italy provides subsidies for businesses investing in energy-efficient systems and related infrastructure upgrades. This incentive helps lower the capital cost of deploying modern, sustainable data center equipment, directly benefiting your bottom line.

Natural Disaster Risk

Milan is in a region with a low overall risk profile for natural disasters, ensuring a stable operating environment.

Based on the INFORM Risk Index, the region has an overall risk score of 3 out of 10, classifying it as Low risk, as of September 2025. While the overall threat is minimal, operators should engineer facilities to account for the two most prominent hazards. Key risks for the region include seismic activity (Earthquake risk: 7.7/10) and potential for river flooding (River Flood risk: 6.2/10). Other natural hazards such as drought and epidemics score significantly lower.

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