Data Centers in Cavite
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Cavite – Strategic Gateway to Metro Manila
Executive Summary
Cavite is a rapidly emerging data center market for businesses that require a strategic presence near Metro Manila without the congestion of the capital's core. It provides a crucial location for disaster recovery and primary production workloads, balancing proximity to the Philippines' economic hub with operational resilience. This ensures low-latency access to the nation's large and growing digital consumer base.
Cavite: At A Glance
| Factor | Rating / Data | Notes |
|---|---|---|
| Global Connectivity Grade | B | Strong national connectivity, but lacks direct international subsea cable landings. |
| Direct Cloud On-Ramps | 0 – as of September 2025 | Access to major clouds is available via private network extensions to Manila. |
| Power Cost | US$0.11/kWh – as of Dec 2024 | Power costs are competitive for the region, supporting scalable deployments. |
| Disaster Risk | High (5.4/10) – as of September 2025 | Significant exposure to natural hazards requires modern, resilient facility design. |
| Tax Incentives | No | No specific data center tax incentives are currently offered in this location. |
| Sales Tax | 12% VAT – as of September 2025 | A standard Value Added Tax applies to colocation and connectivity services. |
Network & Connectivity Ecosystem
Cavite leverages its proximity to Metro Manila to provide robust connectivity options for digital infrastructure. While a secondary market, it is well-integrated into the national network fabric.
Carrier Density & Carrier Neutrality: The market features 3 data centers with access to 2 providers, as of September 2025. Carrier-neutral facilities offer connections to a wider ecosystem of national and regional carriers available in nearby Manila, ensuring sufficient redundancy and choice for enterprise needs.
Direct Cloud On-Ramps: There are no direct public cloud on-ramps located within Cavite as of September 2025. Businesses connect to hyperscale clouds like AWS, Google Cloud, and Microsoft Azure through dedicated private network connections, typically terminating in Manila.
Internet Exchange Points (IXPs): Direct peering is primarily handled through exchanges located in Metro Manila. Access to these IXPs from Cavite is straightforward via private fiber, enabling efficient traffic exchange and reducing latency for local users.
Bare Metal: Bare metal server options are available, providing dedicated compute resources for performance-sensitive applications. Providers like Hivelocity offer solutions that can serve the broader Philippine market.
Power Analysis
Average Cost Of Power: Industrial electricity is priced at approximately US$0.11 per kWh, as of December 2024. This moderate price point makes it a viable location for scalable deployments compared to more expensive hubs in the Asia-Pacific region.
Power Grid Reliability: While the national grid can face challenges, data centers in Cavite are built to modern standards. Facilities feature redundant power feeds, N+1 or 2N UPS systems, and on-site generator backup with extensive fuel reserves to ensure high levels of uptime.
Market Access, Business & Tax Climate
Proximity To Key Business Districts: Cavite's primary advantage is its location adjacent to Metro Manila. This allows data centers to provide low-latency services to the capital's central business districts and the numerous industrial and economic zones in the CALABARZON region.
Regional Market Reach: A deployment in Cavite effectively serves the entire island of Luzon, which is home to over half of the Philippines' population. It is an ideal hub for content delivery, e-commerce, and financial services targeting the country's domestic market.
Tax Advantage For Data Centers: There are no specific tax incentives for data center development or operation in the Philippines currently. The primary financial advantage comes from the country's strategic location and access to a large, digitally active population.
Natural Disaster Risk
Cavite has a high natural disaster risk profile, with an INFORM Risk score of 5.4 out of 10, as of September 2025. Data center selection requires careful evaluation of facility engineering and operator disaster recovery planning.
The most significant natural hazards include:
- Earthquake: 9.7/10
- Tsunami: 9.4/10
- Tropical Cyclone: 9.2/10
- Coastal Flood: 8.9/10
- River Flood: 6.7/10
