Data Centers in Dar Es Salaam

Dar es Salaam – Strategic Hub for East Africa

Executive Summary

Dar es Salaam is the critical digital gateway for Tanzania and neighboring East African nations. For companies targeting the region's growing consumer and business markets, establishing a presence here directly improves application performance and reduces latency. This secures a vital competitive advantage in a rapidly developing digital economy.

Dar es Salaam: At A Glance

Network & Connectivity Ecosystem

Dar es Salaam's connectivity is foundational for East Africa. The market features a growing number of data centers and is the landing point for key subsea cables connecting the region to the world.

Carrier Density & Carrier Neutrality The market includes at least 6 data center facilities, with connectivity concentrated around the primary national provider as of September 2025. Carrier-neutral options are emerging, providing more choice for interconnection.

Direct Cloud On-Ramps There are no direct cloud on-ramps in Dar es Salaam as of September 2025. Access to major cloud providers like AWS, Google Cloud, and Microsoft Azure requires private network connectivity to regional hubs such as Nairobi or Johannesburg.

Internet Exchange Points (IXPs) The Tanzania Internet Exchange (TIX) is the primary IXP in the country. It enables efficient local traffic exchange, reducing reliance on expensive international transit and lowering latency for local users.

Bare Metal Bare metal services are available from global providers, offering dedicated compute for performance-sensitive workloads. Options include providers like Hivelocity and phoenixNAP, who can serve the region.

Power Analysis

Average Cost Of Power The average cost for industrial power is approximately $0.09/kWh, as of September 2025. This competitive rate helps manage operational expenditures, especially for high-density deployments.

Power Grid Reliability The national grid uses a combination of hydroelectric and fossil fuel sources. Data centers in Dar es Salaam are engineered with significant redundancy, including multi-megawatt generator plants and UPS systems, to ensure continuous uptime and meet service level agreements.

Market Access, Business & Tax Climate

Proximity To Key Business Districts Data centers in Dar es Salaam are strategically located to serve the city's central business district and industrial areas. This proximity provides low-latency connectivity to financial, shipping, logistics, and governmental organizations that form the core of Tanzania's economy.

Regional Market Reach From Dar es Salaam, businesses can effectively serve the entire Tanzanian market of over 60 million people. The city's port and infrastructure also make it a digital hub for landlocked neighbors, including Zambia, Malawi, Rwanda, and Burundi.

Tax Advantage For Data Centers Tanzania offers no specific tax incentives for data center development or operation as of September 2025. The standard corporate tax and VAT regulations apply to all businesses operating in this sector.

Natural Disaster Risk

The overall disaster risk for Dar es Salaam is moderate, with an INFORM risk score of 4.9 out of 10, as of September 2025. While the risk profile is manageable, businesses should ensure their infrastructure partners have clear mitigation strategies.

Key natural hazards for the region include:

• Drought
• Earthquake
• River Flood
• Coastal Flood

Data center facilities in the area mitigate these risks through resilient construction, strategic site selection, and comprehensive operational planning.