Data Centers in Arkansas
5 locations found
- T
Tierpoint Little Rock
15707 Chenal Parkway, Little Rock
- W
Windstream Wholesale Little Rock
4001 North Rodney Parham Road, Little Rock
- AR
Arkansas Research and Education Optical Network Hope
358 Arkansas 174, Hope
- AR
Arkansas Research and Education Optical Network Forrest City
1802 New Castle Road, Forrest City
- OL
OzarksGo Fayetteville
3641 West Wedington Drive, Fayetteville
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Explore Markets in Arkansas
Arkansas – Cost-Effective & Central U.S. Connectivity
Arkansas offers a compelling colocation market for businesses that need a central U.S. presence without the high costs of primary data center hubs. The state provides very competitive power rates and significant tax incentives, making it an efficient choice for disaster recovery, content delivery, and scalable compute workloads. This combination of location and operating efficiency secures reliable access to both East and West Coast markets.
Arkansas: At A Glance
| Factor | Rating / Data | Notes |
|---|---|---|
| Global Connectivity Grade | B | Reliable connectivity, primarily serving regional and national traffic. |
| Direct Cloud On-Ramps | 0 – as of September 2025 | Nearest major on-ramp hub is Dallas. Private network extensions are available. |
| Power Cost | $0.07/kWh (industrial, 2024) | Among the lowest industrial power costs in the United States. |
| Disaster Risk | Moderate (Score: 64.08) | Primary risks are severe weather-related, requiring standard facility hardening. |
| Tax Incentives | Yes | Includes a sales and use tax exemption for qualifying data center equipment. |
| Sales Tax | 6.50% (as of 2025) | State-level sales tax applicable to non-exempt purchases and services. |
Network & Connectivity Ecosystem
Arkansas serves as a solid secondary market with a reliable, though not top-tier, connectivity ecosystem. The state's central location is its primary advantage for network latency across the continental U.S.
Carrier Density & Carrier Neutrality: Over 5 network providers operate within Arkansas as of September 2025. While carrier choice is more limited than in major hubs, key national providers offer resilient services in the state's main data centers.
Direct Cloud On-Ramps: Arkansas has no native public cloud on-ramps as of September 2025. Businesses connect to major cloud providers like AWS, Google Cloud, and Microsoft Azure through the primary interconnection hub in Dallas, Texas. Dedicated private network connections can be established from local facilities.
Internet Exchange Points (IXPs): Public peering is limited within Arkansas. Most network traffic is exchanged through private peering arrangements or routed via the major IXPs in Dallas, such as the DE-CIX Dallas or Equinix IX.
Bare Metal: Bare metal server options are available, providing dedicated compute for performance-sensitive applications. Providers like ColoCrossing offer solutions suitable for businesses needing direct hardware control within the region.
Power Analysis
Arkansas stands out for its low-cost and reliable power, making it a highly attractive market for energy-intensive deployments.
Average Cost Of Power: At approximately $0.07/kWh for industrial use as of 2024, Arkansas offers one of the most competitive power pricing structures in the country. This significant cost advantage directly reduces the total cost of ownership for colocation and large-scale compute.
Power Grid Reliability: The state's power grid is stable, with a diverse generation mix led by natural gas (38% as of 2024), supplemented by coal, nuclear, and renewables. Major data center facilities are typically supported by redundant power feeds from multiple substations, ensuring high levels of uptime.
Market Access, Business & Tax Climate
Arkansas provides a business-friendly environment with strategic access to central and southern U.S. markets.
Proximity To Key Business Districts: Data centers in Little Rock and other metropolitan areas serve local government, healthcare, and logistics industries. The state's central location makes it an ideal disaster recovery site for businesses in Dallas, Memphis, and St. Louis.
Regional Market Reach: From Arkansas, organizations can effectively serve a large geographic area encompassing the Midwest and Gulf Coast states. Its position offers a good balance of latency for reaching consumers and business partners across the central United States.
Tax Advantage For Data Centers: Arkansas offers a direct financial benefit through its sales and use tax exemption on qualifying data center equipment, software, and electricity. This program substantially lowers the capital expenditure required for new builds or significant hardware refreshes.
Natural Disaster Risk
Arkansas has a moderate natural disaster risk profile, with a FEMA National Risk Index score of 64.08 out of 100 as of September 2025. The primary threats are atmospheric and geological, demanding that data centers be engineered to withstand specific regional hazards.
Key risks include tornado, severe wind, hail, earthquake, and riverine flooding. Other considerations for facility planning are heat wave, drought, and winter weather events. The risk profile does not include direct threats from hurricanes or coastal events.
