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Data Centers in Stockton

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Stockton – Strategic NorCal Colocation Hub

Executive Summary

Stockton provides a cost-effective colocation alternative to the San Francisco Bay Area for businesses requiring a strategic Northern California presence. The market offers a solid balance of power infrastructure and regional connectivity, making it a viable option for disaster recovery, secondary compute sites, and serving the Central Valley. Deploying in Stockton allows companies to manage operational expenses while maintaining low-latency access to major West Coast markets.

Stockton: At A Glance

FactorRating / DataNotes
Global Connectivity GradeBSolid regional connectivity; less dense than primary hubs like San Jose.
Direct Cloud On-Ramps0 – as of September 2025Access is available via nearby hubs like Sacramento or the Bay Area.
Power Cost$0.18 - $0.22/kWhReflects California's grid mix with significant renewable and natural gas generation.
Disaster RiskHigh (89.02 percentile)Notable risks include earthquake and drought; requires careful facility selection.
Tax IncentivesYesData-center-specific efficiency rebates and general energy programs are available.
Sales Tax7.25% (California state rate)Local district taxes can increase the final combined rate.

Network & Connectivity Ecosystem

Carrier Density & Carrier Neutrality: The Stockton market includes 3 data center providers as of September 2025. These facilities provide access to a focused group of regional and national carriers, sufficient for enterprise and disaster recovery workloads.

Direct Cloud On-Ramps: There are no direct public cloud on-ramps within Stockton as of September 2025. Secure, private connections to all major cloud providers are established through network extensions to facilities in the Bay Area or Sacramento.

Internet Exchange Points (IXPs): Public peering is not a major feature of this market. Most interconnection is handled through private peering within data centers or by routing traffic to major exchanges in San Francisco and San Jose.

Bare Metal: Bare metal server options are available in the broader Northern California region. Providers like Hivelocity offer dedicated server solutions that can be connected to colocation infrastructure in Stockton.

Power Analysis

Average Cost Of Power: Industrial electricity rates in the region range from approximately $0.18 to $0.22/kWh as of September 2025. This rate is higher than the U.S. average but is influenced by California's diverse energy portfolio, which includes over 40% from renewable sources. The higher cost is a critical factor in calculating the total cost of ownership.

Power Grid Reliability: The power grid serving commercial and industrial zones in Stockton is well-engineered. Data centers in the area are typically supported by redundant power feeds and robust on-site backup generation systems to ensure high levels of uptime.

Market Access, Business & Tax Climate

Proximity To Key Business Districts: Stockton's data centers are strategically located to support the logistics, agriculture, and manufacturing industries of the Central Valley. The market also serves as a compelling disaster recovery site for businesses headquartered in the more expensive and seismically active Bay Area.

Regional Market Reach: From Stockton, businesses can deliver services with low latency to a population of millions across Northern California, including Sacramento, the East Bay, and surrounding agricultural communities. Its position on major fiber routes makes it an effective distribution hub.

Tax Advantage For Data Centers: California offers several tax incentives, including data-center-specific efficiency rebate programs from utility providers. These programs can lower operational costs for facilities that are designed and operated to meet state energy standards.

Natural Disaster Risk

Stockton has a high natural disaster risk profile, with a FEMA National Risk Index score of 89.02 out of 100 as of September 2025. While the overall score is high, specific risks can be mitigated through proper site selection and facility engineering.

The primary risks for infrastructure in this area include:

  • Earthquake
  • Drought
  • Wildfire
  • Heat Wave
  • Riverine Flooding
  • Landslide
  • Avalanche
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