Data Centers in Tokyo

Tokyo – Asia's Premier Interconnection Hub

Tokyo is the definitive digital gateway for businesses that require high-performance infrastructure to reach East Asia. The market’s immense density of carriers, cloud providers, and financial exchanges makes it the primary choice for delivering low-latency applications to one of the world's largest economies. Its sophisticated infrastructure ensures exceptional uptime and performance for mission-critical operations.

Tokyo: At A Glance

Network & Connectivity Ecosystem

Tokyo's connectivity is among the best in the world, built on a foundation of dense fiber, numerous submarine cable landing points, and a competitive carrier market.

Carrier Density & Carrier Neutrality: With over 65 unique network providers available as of September 2025, the market offers excellent choice and competitive pricing. Carrier-neutral facilities provide direct access to this rich ecosystem, preventing vendor lock-in and enabling resilient, multi-carrier network architectures.

Direct Cloud On-Ramps: The market features over 13 dedicated cloud on-ramps serving 9 distinct cloud regions as of September 2025. All major hyperscalers have a direct presence, including Alibaba Cloud, AWS, Azure, Google Cloud (GCP), IBM Cloud, and Oracle Cloud, allowing for secure, low-latency hybrid cloud deployments.

Internet Exchange Points (IXPs): Tokyo is home to some of the largest and most active IXPs in Asia, including JPIX and BBIX. These exchanges facilitate efficient traffic peering, reducing latency and transit costs for content delivery and enterprise networks.

Bare Metal: Bare metal servers are readily available from a variety of providers. Companies like Hivelocity and phoenixNAP offer dedicated compute resources for workloads that require maximum performance and control.

Power Analysis

Japan's power infrastructure is known for its high degree of reliability, a critical factor for data center uptime.

Average Cost Of Power: Industrial power costs typically range from ¥22.00–¥27.00/kWh as of September 2025. While higher than in some other global markets, this price reflects the investment in an exceptionally stable and resilient national power grid.

Power Grid Reliability: The grid serving the Tokyo metropolitan area is well-engineered and highly reliable. Data centers are concentrated in zones with redundant power feeds and multi-substation support, ensuring continuous operation even during grid maintenance or disruptions.

Market Access, Business & Tax Climate

Locating in Tokyo provides direct access to a massive domestic market and a strategic foothold for regional expansion.

Proximity To Key Business Districts: Data centers are located with strategic access to Tokyo's core financial districts, including Otemachi and Marunouchi. This proximity enables ultra-low latency for financial trading platforms, cloud services, and enterprise applications.

Regional Market Reach: As Japan's economic center, Tokyo provides the ideal hub for serving the nation's 125 million residents. Its international connectivity also makes it a primary peering point for reaching markets in South Korea, Taiwan, and mainland China with minimal delay.

Tax Advantage For Data Centers: The Japanese government provides a subsidy program to encourage the decentralization of digital infrastructure. This initiative supports data center construction and investment in areas outside of central Tokyo, which can lead to more competitive long-term operating costs.

Natural Disaster Risk

Tokyo has a moderate natural hazard risk profile, managed through some of the world's most advanced civil engineering and disaster preparedness protocols. The overall INFORM Natural Hazard & Exposure score is 5.8 out of 10 as of September 2025.

Data centers in this region are specifically designed to withstand significant seismic events and severe weather. Key risks include:

• Tsunami (10/10)
• Earthquake (9.7/10)
• Coastal Flood (9.4/10)
• Tropical Cyclone (9.2/10)
• River Flood (7.8/10)

Operators mitigate these risks with seismically isolated foundations, elevated critical infrastructure, and advanced weather monitoring systems to ensure operational continuity.