Data Centers in Dar Es Salaam

Dar es Salaam – Your Digital Gateway to East Africa

Executive Summary

Dar es Salaam is the primary entry point for businesses deploying digital infrastructure in Tanzania and the broader East African region. The market offers competitive power pricing and a growing connectivity ecosystem, making it a strategic location for content delivery, financial services, and logistics applications. Establishing a presence here reduces latency and improves user experience for a rapidly expanding online population.

Dar es Salaam: At A Glance

Network & Connectivity Ecosystem

Dar es Salaam serves as Tanzania's connectivity hub, landing multiple subsea cables that link East Africa to the rest of the world. While the market is still maturing, it provides the essential foundation for digital service delivery.

Carrier Density & Carrier Neutrality As of September 2025, there are 6 data centers in the market. Carrier choice is available at the major facilities, though the market is concentrated, with at least one major provider offering access.

Direct Cloud On-Ramps There are no direct cloud on-ramps within Dar es Salaam, as of September 2025. Businesses requiring dedicated cloud connections typically establish private network extensions to regional hubs like Nairobi or utilize IP transit to access cloud services.

Internet Exchange Points (IXPs) The local ecosystem is anchored by the Tanzania Internet Exchange (TIX). Peering at TIX keeps local traffic within the country, significantly reducing latency and transit costs for service providers and enterprises.

Bare Metal Bare metal server options are available, typically offered by global providers with a presence in the region. These solutions provide the dedicated performance needed for demanding applications. Providers like Leaseweb and OVHcloud can service the market.

Power Analysis

Average Cost Of Power The industrial power cost in Dar es Salaam is approximately $0.09/kWh, as of September 2025. This competitive rate makes large-scale deployments more financially viable compared to many other African markets.

Power Grid Reliability While the national grid can face challenges, data centers in Dar es Salaam are built to international standards. Facilities provide significant redundancy through N+1 or 2N UPS systems and multiple on-site backup generators with extensive fuel reserves to guarantee uptime.

Market Access, Business & Tax Climate

Proximity To Key Business Districts Data centers are located to serve Dar es Salaam's central business district and the Port of Dar es Salaam. This proximity provides low-latency connectivity for the country's primary financial, logistics, and commercial sectors.

Regional Market Reach An infrastructure deployment in Dar es Salaam effectively serves the entire nation of Tanzania. It also functions as a valuable node for reaching landlocked neighboring countries and as a disaster recovery location for operations based elsewhere in East Africa.

Tax Advantage For Data Centers The tax environment is straightforward with no special incentives targeted exclusively at data centers. This creates a predictable financial landscape for investment without complex eligibility rules or changing subsidy programs.

Natural Disaster Risk

Tanzania has a moderate overall disaster risk profile, with an INFORM Risk score of 4.9 out of 10, as of September 2025. The rating reflects environmental exposures and the existing capacity to cope with disruptive events.

For data center operations, the primary natural hazards to consider are drought, which can impact hydroelectric power generation, followed by earthquake and flooding (both river and coastal). Data center site selection and engineering practices are designed to mitigate these specific risks.