Data Centers in Kizad
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Kizad – Gateway to MENA Digital Commerce
Kizad is an ideal market for enterprises in logistics, trade, and high-performance computing that require a strategic foothold in the Middle East. Its combination of exceptionally low power costs, a stable risk profile, and direct access to major shipping ports allows businesses to scale mission-critical infrastructure efficiently while serving a vast and growing digital economy.
Kizad: At A Glance
| Factor | Rating / Data | Notes |
|---|---|---|
| Global Connectivity Grade | B | Strong regional connectivity with improving direct links to global hubs. |
| Direct Cloud On-Ramps | 0 – as of September 2025 | Direct access is available via private links to hubs in nearby Dubai. |
| Power Cost | ≈ USD $0.03/kWh – as of September 2025 | Exceptionally low pricing supports high-density and HPC deployments. |
| Disaster Risk | Very Low (2.1/10) – as of September 2025 | Extremely low exposure to significant natural or geopolitical hazards. |
| Tax Incentives | No | Favorable corporate tax rates apply, but no specific data center incentives. |
| Sales Tax | 5% VAT – as of September 2025 | The standard federal Value Added Tax for the UAE. |
Network & Connectivity Ecosystem
The United Arab Emirates is one of the most connected countries in the Middle East, and Kizad benefits from this mature infrastructure.
Carrier Density & Carrier Neutrality As a major industrial and logistics zone, Kizad offers access to all major national carriers and a growing number of regional providers, as of September 2025. Colocation facilities typically provide carrier-neutral interconnection, offering choice and competitive pricing.
Direct Cloud On-Ramps Direct cloud on-ramps are not available within Kizad itself. However, dedicated, low-latency private network extensions connect to all major cloud providers in nearby Dubai, enabling secure, high-performance hybrid cloud architectures.
Internet Exchange Points (IXPs) Most network peering is handled through UAE-IX in Dubai, the region's primary hub for traffic exchange. This centralizes interconnection, improving performance for traffic within the Middle East.
Bare Metal Bare metal server capacity is readily available from providers serving the region. Global suppliers like Hivelocity and phoenixNAP can provision dedicated servers to support compute-intensive workloads.
Power Analysis
Average Cost Of Power Power costs in Kizad are exceptionally low, averaging approximately $0.03/kWh, as of September 2025. This pricing structure provides a significant operational cost advantage for high-performance computing and dense colocation deployments. The grid mix is primarily natural gas, with an increasing share from nuclear and solar sources.
Power Grid Reliability The electrical grid supporting Kizad is modern and highly reliable. Data centers are typically supplied by redundant power feeds from separate substations to ensure maximum operational uptime.
Market Access, Business & Tax Climate
Proximity To Key Business Districts Kizad is strategically located between Abu Dhabi and Dubai, providing direct access to the UAE's primary logistics, manufacturing, and trade ecosystems. Its integration with Khalifa Port makes it a prime location for companies with global supply chains.
Regional Market Reach From Kizad, organizations can effectively serve the entire Gulf Cooperation Council (GCC) and the broader Middle East, North Africa (MENA), and South Asia regions. This geographic advantage provides low-latency access to hundreds of millions of end-users.
Tax Advantage For Data Centers While specific tax incentives for data centers are not offered, businesses operate within the UAE's highly competitive corporate tax environment. This favorable tax structure simplifies financial planning and maximizes the return on digital infrastructure investments.
Natural Disaster Risk
The United Arab Emirates has a very low overall risk profile, rated at 2.1 out of 10, as of September 2025. The area is seismically stable and sits outside of major storm paths, making it one of the safest locations globally for critical infrastructure.
Key environmental risks are primarily related to its coastal setting and arid climate:
- Coastal Flood: The most significant natural hazard consideration.
- Tsunami: A secondary coastal risk, though major events are historically rare.
- Drought: A persistent environmental factor managed through advanced national water infrastructure.
- Tropical Cyclone: The risk of a direct impact from a powerful cyclone is very low.
