Data Centers in Almaty
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Almaty – Strategic Hub for Central Asia
Almaty is the primary financial and commercial hub for Kazakhstan, offering a strategic entry point for businesses targeting Central Asia. Its combination of low-cost power and a developing connectivity ecosystem provides a foundational platform for digital services aiming to reach this emerging region, ensuring reliable application performance and market access.
Almaty: At A Glance
| Factor | Rating / Data | Notes |
|---|---|---|
| Global Connectivity Grade | B | Reliable national connectivity with developing international routes. |
| Direct Cloud On-Ramps | 0 – as of September 2025 | Nearest hubs are in Europe (e.g., Frankfurt) or China. Private connections are available. |
| Power Cost | $0.04/kWh – as of December 2024 | Extremely competitive pricing driven by a coal-dominant energy mix. |
| Disaster Risk | Low (2.7/10) – as of September 2025 | Primary risks are specific to seismic activity and flooding; overall risk is low. |
| Tax Incentives | No | No specific tax incentives for data center development are currently in place. |
| Sales Tax | 12% VAT – as of September 2025 | Standard Value Added Tax applies to equipment and services. |
Network & Connectivity Ecosystem
Carrier Density & Carrier Neutrality: The market supports a growing number of national and regional carriers. At least three data centers in Almaty offer colocation services, providing foundational options for carrier-neutral interconnection as of September 2025.
Direct Cloud On-Ramps: There are no direct, in-market cloud on-ramps from major providers as of September 2025. Businesses connect to cloud regions via network extensions to major European hubs like Frankfurt or to hubs in China. Private network interconnects (PNI) or wavelength services are the standard methods for establishing secure, low-latency cloud access.
Internet Exchange Points (IXPs): The primary exchange is the Kazakhstan Traffic Exchange (KAZ-IX), which facilitates most of the country's domestic peering. Locating in a facility with access to KAZ-IX significantly improves local traffic routing and reduces latency for Kazakhstani end-users.
Bare Metal: Bare metal server options are available in Almaty, providing dedicated compute resources for performance-sensitive workloads. Providers such as Hivelocity offer deployment capabilities in the region.
Power Analysis
Average Cost Of Power: Almaty offers exceptionally low power costs, with industrial rates averaging $0.04/kWh as of December 2024. This pricing provides a significant operational expense advantage for high-density compute deployments. The grid is approximately 70% coal-powered, with natural gas and hydro contributing most of the remainder.
Power Grid Reliability: The power grid supporting Almaty's commercial districts is generally reliable for industrial operations. Data centers in the area are built with standard redundancies, including UPS and generator backup, to mitigate any potential utility disruptions.
Market Access, Business & Tax Climate
Proximity To Key Business Districts: Data centers in Almaty are situated to serve the city's main financial and commercial districts. This proximity provides low-latency connectivity for banking, oil and gas, and retail sectors concentrated in the city.
Regional Market Reach: Almaty is Kazakhstan's economic center and acts as a digital gateway to neighboring Central Asian countries, including Uzbekistan, Kyrgyzstan, and Tajikistan. Deploying infrastructure here allows businesses to effectively serve a large, underserved regional population.
Tax Advantage For Data Centers: The primary financial advantage is operational, driven by low power costs rather than specific tax breaks. While there are no direct incentives for data center investment, the standard 12% VAT is straightforward and predictable for financial planning.
Natural Disaster Risk
Almaty has a low overall disaster risk profile, with an INFORM Risk score of 2.7 out of 10 as of September 2025. While the overall threat is minimal, operators must engineer facilities to withstand specific regional hazards.
The most significant natural risks are:
- River Flood: 7.6/10
- Drought: 6.1/10
- Earthquake: 5.6/10
Risks from tsunami, tropical cyclones, and coastal floods are zero, as Almaty is a landlocked city located far from any major coastlines.
