Data Centers in Nogales

Nogales, Mexico – Gateway for Cross-Border Digital Services

Executive Summary

Nogales serves as a strategic digital infrastructure point for businesses dependent on US-Mexico trade and manufacturing. Its location is ideal for companies in logistics, industrial production, and cross-border services that require low-latency connectivity to both northern Mexico and the southern United States. Deploying infrastructure here optimizes performance for a critical economic corridor, securing supply chain operations and enabling efficient data exchange.

Nogales, Mexico: At A Glance

Network & Connectivity Ecosystem

Carrier Density & Carrier Neutrality The Nogales market provides access to a solid mix of US and Mexican telecommunications providers, facilitating resilient cross-border connectivity. The presence of multiple fiber routes ensures competitive options for transit and transport, essential for any business operating across the border.

Direct Cloud On-Ramps There are no direct public cloud on-ramps within Nogales as of September 2025. The closest major cloud access hubs are located in Phoenix, Arizona. Businesses can establish secure, high-performance connections to all major cloud providers via private network extensions like PNI or wavelength services from local data centers.

Internet Exchange Points (IXPs) Public peering is limited in Nogales. Most network interconnection occurs privately between carriers or is routed through major national IXPs in cities like Mexico City or across the border in the United States.

Bare Metal Bare metal server options are available, typically provisioned through providers with a presence in the broader region. Services can be sourced from data centers in nearby metropolitan hubs like Phoenix to serve the Nogales area. Providers like phoenixNAP offer solutions from nearby locations.

Power Analysis

Average Cost Of Power Industrial electricity rates in the region range from approximately MXN$2.10 to $2.80/kWh as of September 2025. This competitive pricing is advantageous for compute-heavy operations. The national grid relies on a mix of fossil fuels (~69%), renewables (~26%), and nuclear power (~5%).

Power Grid Reliability The power grid supporting Nogales's industrial zones is generally reliable, designed to meet the demands of manufacturing and logistics operations. Data center facilities in the area are engineered with standard redundancies, including N+1 or 2N UPS systems and on-site generator backup, to guarantee uptime.

Market Access, Business & Tax Climate

Proximity To Key Business Districts Data centers in Nogales are strategically positioned to serve the city's significant maquiladora (manufacturing) and logistics industries. This proximity provides low-latency connectivity essential for modern industrial automation, supply chain management, and customs brokerage services operating across the US-Mexico border.

Regional Market Reach Nogales is a key digital gateway to the state of Sonora in Mexico and Southern Arizona in the United States. It provides an effective service point for a bi-national population and a corridor of high-value economic activity.

Tax Advantage For Data Centers Mexico offers specific financial incentives to encourage technology infrastructure development. Programs such as development bank credit packages can significantly lower the initial capital investment required for building or expanding a data center.

Natural Disaster Risk

Nogales has a moderate natural disaster risk profile, with an overall INFORM Risk score of 4.9 out of 10 as of September 2025. The primary environmental threats are seismic activity, flooding, and storms.

Key risks to consider include:

• Earthquake: The region has high exposure to seismic events.
• River Flood: Proximity to waterways creates a notable risk of riverine flooding.
• Tropical Cyclone: Although inland, the area can be affected by severe weather systems originating from the coast.