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Oklahoma – Strategic Low Cost Central US Infrastructure

Oklahoma is a prime choice for enterprises needing a stable, middle-continent anchor to reduce operational overhead. This market serves as an ideal location for disaster recovery and regional service delivery, providing a secure environment for physical assets and profit margins.

Oklahoma: At A Glance

FactorRating / DataNotes
Global Connectivity GradeBReliable regional performance for central US routing.
Direct Cloud On-Ramps0 – as of December 2025Connect via private transport to the Dallas hub.
Power CostUS$0.06/kWh – as of May 2025Competitive industrial rates with diverse energy sources.
Disaster RiskModerate (43.30) – as of December 2025Solid stability with manageable seasonal weather risks.
Tax IncentivesYesState exemptions apply to qualifying hardware and software.
Sales Tax4.50% – as of December 2025Base state rate before local municipal additions.

Network & Connectivity Ecosystem

The infrastructure in Oklahoma is built for durability and consistent throughput across the central United States. While it functions as a secondary tier market, its position between major coastal hubs makes it a vital link for national long-haul fiber routes.

Carrier Density & Carrier Neutrality: Carrier count: over 10 – as of December 2025. Most facilities maintain a carrier-neutral stance, providing access to a mix of regional telcos and national Tier 1 providers.

Direct Cloud On-Ramps: There are 0 direct cloud on-ramps within the state as of December 2025. Access to AWS, Google Cloud (GCP), and Microsoft Azure is typically achieved through private network interconnects or dedicated waves to the Dallas market.

Internet Exchange Points (IXPs): Peering is primarily handled through regional exchanges in Oklahoma City and Tulsa. Many operators utilize private peering or backhaul to the Dallas Infomart to reach larger global traffic pools.

Bare Metal: Dedicated server options are available through providers such as phoenixNAP and Hivelocity, supporting rapid deployment for compute-heavy workloads.

Power Analysis

Energy availability is a primary driver for the data center industry in this region, characterized by aggressive pricing and a maturing grid.

Average Cost Of Power: Industrial electricity is priced at US$0.06/kWh as of May 2025. This rate is significantly lower than the national average, directly reducing the total cost of ownership for high-density deployments. The generation mix consists of approximately 60% fossil fuels, 20% nuclear, and 20% renewables as of September 2025.

Power Grid Reliability: The local grid is supported by well-engineered infrastructure designed to handle heavy industrial loads. Redundant transmission lines and multi-substation support are standard for the primary data center corridors in Tulsa and Oklahoma City.

Market Access, Business & Tax Climate

Oklahoma provides a business-friendly environment with a clear focus on attracting technology infrastructure through legislative support.

Proximity To Key Business Districts: Data centers are centrally located near the energy, aerospace, and defense hubs of Oklahoma City and Tulsa. This proximity allows for low-latency data processing for the critical sectors driving the regional economy.

Regional Market Reach: From a central Oklahoma facility, providers can effectively serve the entire Great Plains and South Central United States with minimal latency variance.

Tax Advantage For Data Centers: The state offers specific exemptions for qualifying data centers, including sales tax relief on computer and data-processing equipment. These incentives significantly lower the initial capital expenditure for new infrastructure projects.

Natural Disaster Risk

Oklahoma maintains a Moderate risk profile with a FEMA NRI Score of 43.30 as of December 2025. While the region is known for seasonal weather intensity, the risk to hardened infrastructure remains manageable through proper facility engineering.

Primary Risks: The highest-scoring natural hazards for the area include Tornadoes, Hail, Severe Wind, and Drought.

Secondary Risks: Heat Waves and Winter Weather are additional factors that facilities manage through purpose-built cooling and backup power systems.

Inland Safety: Due to its central geography, the state has no material risk from coastal flooding or tsunamis. Risk management focuses on wind-rated structures and redundant utility feeds.

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