Data Centers in Panama City
8 locations found
- IP
InteRED Panama Panamá
Vía Ricardo J. Alfaro Bethania 507 PAN, Bethania
- UP
UFINET PANAMA S.A. Edificio Victoria Plaza
Avenida Ricardo Arango Bella Vista PAN, Bella Vista
- MM
Metro MPLS Panama City
Calle 57 Este Bella Vista PAN, Bella Vista
- TO
Trans Ocean Network Corozal
Avenida Omar Torrijos Ancon 705030 PAN, Ancon
- TC
Telxius Cable Movistar
Avenida de la Rotonda Parque Lefevre PAN, Parque Lefevre
- K
KIO PA|1
Parque Internacional de Negocios Veracruz PAN, Veracruz
- N
Navégalo PA1
Avenida Mulvehill Veracruz PAN, Veracruz
- T
Tigo Samuel Lewis
53 Avenue Samuel Lewis Ernesto Cordoba Campos 0801 PAN, Ernesto Cordoba Campos
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Panama City – The Digital Bridge of the Americas
Executive Summary
Panama City is the premier subsea crossroads for data moving between North and South America. It serves as a vital gateway for enterprises requiring low-latency transit to Central American markets and secure regional traffic management. Leveraging its position as a global maritime and financial hub, the city provides unmatched geographic advantages for international data routing.
Panama City: At A Glance
| Factor | Rating / Data | Notes |
|---|---|---|
| Global Connectivity Grade | B | Strategic hub for subsea cable landing stations. |
| Direct Cloud On-Ramps | 0 – as of September 2025 | Miami is the nearest primary cloud hub. |
| Power Cost | $0.16/kWh, as of September 2025 | Hydro-dominated mix with significant natural gas. |
| Disaster Risk | Moderate (4.1/10), as of September 2025 | Seismic activity is the primary environmental factor. |
| Tax Incentives | No – as of September 2025 | General incentives favor tourism and foreign investment. |
| Sales Tax | 7% ITBMS, as of September 2025 | Among the lowest VAT rates in Latin America. |
Network & Connectivity Ecosystem
Panama City functions as a mature transit point rather than a destination for hyperscale cloud regions. The ecosystem provides a stable link between Pacific and Atlantic subsea routes.
Carrier Density & Carrier Neutrality: Carrier count: over 15. The market features ~15–20 carriers as of September 2025. Most major facilities operate with neutral access, allowing for competitive cross-connect pricing and diverse fiber paths across the isthmus.
Direct Cloud On-Ramps: Over 0, enabling access to 0 cloud regions. There are no direct physical on-ramps for AWS, Google Cloud (GCP), or Microsoft Azure in the city as of September 2025. Local enterprises reach these services via high-speed private links to Miami.
Internet Exchange Points (IXPs): The Panama Internet Exchange (IXP.pa) facilitates local traffic exchange. This ensures that domestic data remains within the country to minimize latency for local users as of September 2025.
Bare Metal: Localized bare metal services are available through global specialists such as Hivelocity. This provides flexible compute options without the overhead of hardware management as of September 2025.
Power Analysis
The power landscape in Panama City is shaped by natural resources and critical infrastructure investments surrounding the Canal.
Average Cost Of Power: Industrial electricity is approximately $0.16/kWh as of September 2025. This rate is competitive for the region and reflects a power mix dominated by hydro-generation with supplemental support from natural gas. This pricing supports predictable operating expenses for colocation tenants.
Power Grid Reliability: The grid is well-engineered and benefits from heavy investment in the Panama Canal corridor. Data centers here typically utilize redundant feeds and multi-substation support to maintain high availability during seasonal weather shifts as of September 2025.
Market Access, Business & Tax Climate
Panama City offers a stable environment for companies managing Latin American digital operations.
Proximity To Key Business Districts: Data centers are centrally located near the banking district and the Panama Canal. This proximity is vital for the finance, logistics, and maritime industries that require low-latency access to processing power as of September 2025.
Regional Market Reach: The city serves as a gateway for the 50 million people in Central America. It also functions as a pivot point for traffic heading to the Andean nations of South America as of September 2025.
Tax Advantage For Data Centers: Panama maintains a consistent 7% sales tax, which is significantly lower than many neighboring markets. This stable tax environment allows for efficient capital expenditure and predictable long-term operational costs.
Natural Disaster Risk
The infrastructure in Panama City faces a Moderate (4.1/10) risk profile as of September 2025. While the city is outside the primary hurricane belt, seismic and coastal factors require purpose-built resilient facility designs.
- Tsunami: High (8.5/10), as of September 2025. Coastal facilities must account for regional maritime surges.
- Earthquake: High (7.8/10), as of September 2025. Seismic building standards are critical for structural integrity.
- Epidemic: Moderate (6.2/10), as of September 2025. This risk is tracked for potential impact on workforce availability.
- Coastal Flood: Moderate (5.9/10), as of September 2025. Low-lying areas near the Pacific coast are vulnerable to indirect surges.
Other natural hazards, such as tropical cyclones and river floods, are considered minor or not material to the primary data center corridors as of September 2025.
