Data Centers in Riverside
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Riverside – Resilient Digital Infrastructure for the Inland Empire
Executive Summary
Riverside serves as a critical secondary market for enterprises requiring low-latency access to the Inland Empire and the greater Los Angeles basin. By leveraging an inland position, businesses gain a resilient footprint that balances regional connectivity with operational stability. This market is a strategic choice for logistics, manufacturing, and technology firms looking to secure infrastructure outside immediate coastal zones while maintaining high-speed access to Southern California consumers.
Riverside: At A Glance
| Factor | Rating / Data | Notes |
|---|---|---|
| Global Connectivity Grade | B. Solid regional hub. | Serves as a vital link between coastal and inland networks. |
| Direct Cloud On-Ramps | 0 – as of September 2025 | Nearest on-ramps are in Los Angeles, roughly 60 miles away. |
| Power Cost | $0.17/kWh, as of September 2025 | Industrial rates remain competitive for the California market. |
| Disaster Risk | High (89.02), as of September 2025 | Reflects regional seismic activity and seasonal wildfire potential. |
| Tax Incentives | Varies – as of September 2025 | Includes energy efficiency rebates and specific development exemptions. |
| Sales Tax | California sales tax 7.25%, as of September 2025 | Standard state rate applied to equipment and services. |
Network & Connectivity Ecosystem
Riverside functions as a key interconnection point for the Inland Empire, providing necessary path diversity for Southern California.
Carrier Density & Carrier Neutrality: Carrier count: over 3. The market features 5–10 specialized fiber providers as of September 2025. This density ensures competitive transit options and reliable local loop connectivity for regional offices and industrial facilities.
Direct Cloud On-Ramps: Over 0, enabling access to 0 cloud regions. There are currently 0 direct on-ramps in this specific market as of September 2025. Access to AWS, Google Cloud (GCP), and Microsoft Azure is typically handled via private transport or high-speed waves to the primary hub in Los Angeles.
Internet Exchange Points (IXPs): Public peering options are limited within the city limits. Most local traffic is exchanged through private peering or routed via the Los Angeles International Internet Exchange (LAIIX) as of September 2025.
Bare Metal: Localized bare metal services are available through providers like phoenixNAP and Hivelocity as of September 2025. These options allow for rapid deployment of compute resources without the overhead of full cabinet management.
Power Analysis
Energy management in this region requires a balance between cost and sustainability targets.
Average Cost Of Power: Industrial electricity rates are approximately $0.17/kWh, as of September 2025. The generation mix is notably green, with renewables like solar, hydro, and wind accounting for about 40% of the grid supply as of September 2025. This high renewable percentage helps organizations meet corporate sustainability goals while managing energy expenses.
Power Grid Reliability: The local grid is well-engineered, utilizing multi-substation support to ensure stability for industrial corridors as of September 2025. Redundancy is a standard feature for facilities in this market, providing the uptime required for mission-critical workloads.
Market Access, Business & Tax Climate
Riverside is a powerhouse for the Southern California economy, offering a distinct environment for growth.
Proximity To Key Business Districts: Data centers here are centrally located near the logistics and distribution hubs that define the Inland Empire. Proximity to these sectors allows for real-time data processing and local management of supply chain technologies.
Regional Market Reach: A deployment in Riverside effectively serves a population of over 4.6 million people in the immediate surrounding counties as of September 2025. It provides a strategic jumping-off point for reaching the massive Southern California consumer base.
Tax Advantage For Data Centers: California offers general incentives for energy efficiency and specialized permits for large-scale infrastructure construction. These programs help offset initial capital expenditures and promote the use of high-efficiency cooling and power systems.
Natural Disaster Risk
The regional risk profile is High with a score of 89.02, as of September 2025. While being inland mitigates some coastal concerns, infrastructure must be purpose-built to handle specific regional threats.
- Earthquake: Significant seismic risk requires facilities to adhere to strict structural standards.
- Wildfire: Seasonal risks can impact air quality and utility delivery.
- Heat Wave: High summer temperatures necessitate specialized cooling solutions.
- Drought: Long-term water management is essential for facilities utilizing evaporative cooling.
- Riverine Flooding: Risk is localized to specific areas near watercourses.
- Landslide: Risk is primarily confined to hilly terrain on the city outskirts.
