Data Centers in Mexico

Mexico – Strategic Gateway for Cloud & Connectivity

Executive Summary

Mexico is a primary hub for enterprises targeting the second-largest economy in Latin America. Its rapidly expanding digital infrastructure, featuring numerous data centers and direct cloud on-ramps, provides the low-latency connectivity required to deliver services effectively across the region. This strategic position helps companies improve application performance and secure a competitive advantage.

Mexico: At A Glance

Network & Connectivity Ecosystem

Carrier Density & Carrier Neutrality Mexico has over 30 carriers present in its major data centers as of September 2025. This density supports a competitive environment with multiple options for redundancy and private connectivity in key carrier-neutral facilities.

Direct Cloud On-Ramps With over 5 dedicated on-ramps providing access to 6 cloud regions, Mexico offers excellent direct connectivity to hyperscalers. Direct, low-latency connections are available to major cloud platforms, including Alibaba Cloud, AWS, Google Cloud (GCP), and Oracle Cloud.

Internet Exchange Points (IXPs) The primary public peering point is the MEX-IX, which facilitates efficient local traffic exchange and reduces reliance on international transit. This improves performance and lowers costs for traffic between local networks.

Bare Metal Bare metal server solutions are readily available from providers like Latitude.sh and Hivelocity, offering dedicated compute for performance-sensitive workloads.

Power Analysis

Average Cost Of Power Industrial electricity rates in Mexico typically range from $0.11 to $0.16/kWh as of September 2025. This price range is competitive within Latin America, helping control operational expenditures for high-density deployments.

Power Grid Reliability The power grid in major metropolitan areas like Mexico City and Querétaro is generally reliable, with modern data centers connected to multiple substations. The national energy mix is dominated by fossil fuels (~69%), with renewables (~26%) and nuclear (~5%) also contributing to the supply.

Market Access, Business & Tax Climate

Proximity To Key Business Districts Data centers are concentrated near Mexico City's financial districts and the rapidly growing technology hub in Querétaro. This proximity enables low-latency access for financial services, manufacturing, and e-commerce sectors.

Regional Market Reach From Mexico, organizations can effectively serve a domestic market of over 125 million people. The country's infrastructure also provides a strategic connectivity point for Central and South American operations.

Tax Advantage For Data Centers Mexico offers specific tax advantages, including credit packages from development banks designed to encourage investment in digital infrastructure. These incentives can significantly lower the capital cost of building or expanding data center facilities.

Natural Disaster Risk

Mexico has a Moderate overall disaster risk profile, with a rating of 4.9/10 as of September 2025. The primary natural hazards stem from its geographic location and geology, requiring careful site selection and facility engineering.

Key risks include:

• Earthquake Risk: 8.2/10
• River Flood Risk: 7.9/10
• Tropical Cyclone Risk: 7.1/10
• Coastal Flood Risk: 6.3/10
• Tsunami Risk: 5.5/10