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Data Centers in Little Rock

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Little Rock – Cost-Effective & Central US Reach

Little Rock is an emerging data center market ideal for organizations requiring a cost-effective, low-risk location for disaster recovery or secondary workloads. Its central US geography provides a strategic base for serving regional customers while avoiding the high costs and climate risks of coastal hubs. This market delivers significant value for businesses focused on operational resilience and budget predictability.

Little Rock: At A Glance

FactorRating / DataNotes
Global Connectivity GradeBReliable connectivity suitable for regional applications; not a primary interconnection hub.
Direct Cloud On-Ramps0 – as of September 2025Cloud access is available via network extensions to major hubs like Dallas.
Power Cost≈US$0.07/kWh – as of 2024Very competitive pricing, significantly lower than the US national average.
Disaster RiskModerate (64.08/100) – as of September 2025Primary risks are severe storms; avoids major coastal and seismic hazards.
Tax IncentivesYesData center-specific sales and use tax exemptions are available for qualifying equipment.
Sales Tax6.50% – as of mid-2025Arkansas state sales tax rate.

Network & Connectivity Ecosystem

Little Rock offers a solid foundation for regional network strategies, though it is not a primary interconnection hub.

Carrier Density & Carrier Neutrality The market is served by over 5 network carriers as of September 2025, providing adequate choice for most enterprise and disaster recovery needs within carrier-neutral facilities.

Direct Cloud On-Ramps There are no direct, in-market cloud on-ramps from major providers as of September 2025. Businesses connect to cloud regions by extending their networks through private network interconnects or wavelength services to the nearest major hub, typically Dallas.

Internet Exchange Points (IXPs) Public peering is limited within Little Rock. Most traffic exchange occurs through private peering arrangements or is routed through major interconnection points in Dallas or Memphis.

Bare Metal Bare metal server options are available, primarily through providers that can deploy into regional data centers. Services from providers like Hivelocity can serve the area, offering dedicated compute without the overhead of virtualization.

Power Analysis

Arkansas provides a favorable power environment characterized by low costs and a reliable grid.

Average Cost Of Power Industrial power pricing in the Little Rock area is approximately US$0.07/kWh as of 2024. This highly competitive rate offers significant operational savings compared to other US markets.

Power Grid Reliability The regional power grid is well-engineered and benefits from a diverse fuel mix. Natural gas is the leading fuel source, supplemented by coal, nuclear, and renewable sources, contributing to stable and reliable power delivery for data center operations.

Market Access, Business & Tax Climate

Little Rock's strategic location and business-friendly environment make it an attractive secondary market.

Proximity To Key Business Districts Data centers in the area are positioned to serve the state capital's government, healthcare, and logistics sectors. Proximity to these core industries facilitates low-latency performance for local and state-level digital services.

Regional Market Reach From its central location, Little Rock can effectively serve businesses across Arkansas, Louisiana, Oklahoma, and Mississippi. It provides a viable hub for reaching customers throughout the mid-South.

Tax Advantage For Data Centers Arkansas offers specific tax incentives that directly lower capital expenditures for data center projects. The state provides a sales and use tax exemption on the purchase of qualifying data center equipment, software, and associated electricity.

Natural Disaster Risk

Little Rock has a moderate natural disaster risk profile, avoiding the primary threats that affect coastal and seismically active regions.

The state has a FEMA National Risk Index score of Moderate (64.08/100) as of September 2025. The primary environmental risks for data center planning are meteorological, including tornadoes, hail, severe wind, lightning, and river flooding. The area also faces risks from drought and winter weather.

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