Data Centers in Tokyo

Tokyo – Premier Asia-Pacific Digital Hub

Tokyo is the definitive digital gateway for businesses targeting Japan and the broader APAC region. Its immense density of carriers, cloud providers, and data centers provides the low-latency infrastructure required to serve one of the world's largest and most technologically advanced economies. For enterprises where uptime and performance are critical, Tokyo's mature ecosystem is a primary strategic asset.

Tokyo: At A Glance

Network & Connectivity Ecosystem

Tokyo's network ecosystem is one of the most developed and competitive in the world, offering exceptional performance for any digital service.

Carrier Density & Carrier Neutrality: With over 65 unique network providers available as of September 2025, the market offers extensive choice. Carrier-neutral facilities are common, ensuring competitive pricing and routing flexibility for colocation customers.

Direct Cloud On-Ramps: Over 13 dedicated cloud on-ramps provide direct, low-latency connections to 9 distinct cloud regions. Major providers with a direct presence include Alibaba Cloud, AWS, Google Cloud (GCP), IBM Cloud, Microsoft Azure, and Oracle Cloud.

Internet Exchange Points (IXPs): The market is anchored by major IXPs like JPIX and BBIX. These exchanges facilitate efficient, low-cost traffic exchange between networks, which is critical for reducing latency for Japanese end-users.

Bare Metal: Bare metal server options are widely available for workloads requiring dedicated physical hardware. Providers such as phoenixNAP and Hivelocity offer solutions in the Tokyo market.

Power Analysis

Average Cost Of Power: Industrial power costs are estimated between ¥20.00-¥24.00/kWh as of September 2025. While not the cheapest in the region, the stability of the grid often justifies the expense for mission-critical operations.

Power Grid Reliability: The power grid serving Tokyo's primary data center zones is highly reliable and well-engineered. Facilities typically have redundant connections to multiple utility substations, providing a stable foundation for achieving high uptime.

Market Access, Business & Tax Climate

Proximity To Key Business Districts: Data centers are strategically located to serve Tokyo's major commercial districts, including Marunouchi, Otemachi, and Shinjuku. This proximity provides financial services, media, and multinational corporations with low-latency access to their infrastructure.

Regional Market Reach: From Tokyo, organizations can effectively serve the entire Japanese population of over 125 million. The city's exceptional international connectivity also makes it a primary hub for reaching markets across East Asia, including South Korea and Taiwan.

Tax Advantage For Data Centers: Japan offers a government subsidy program to encourage the decentralization of data centers to regional areas. This incentive helps reduce capital expenditures for operators and promotes the development of more resilient national digital infrastructure.

Natural Disaster Risk

Japan faces a high level of natural hazard risk, rated 8.3 out of 10 as of September 2025. This assessment is based on significant exposure to multiple, potentially severe environmental events.

Key risks for the region include:

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

While modern data centers are engineered to high seismic standards, the combination of these risks requires a thorough disaster recovery and business continuity strategy.