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Data Centers in Miami

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Miami – Gateway to the Americas

Executive Summary

Miami is a premier global interconnection hub and the critical digital gateway to Latin America. Its dense ecosystem of subsea cables, carrier-neutral data centers, and cloud on-ramps provides the low-latency connectivity required for businesses to serve customers in North America, South America, and the Caribbean. This strategic location makes Miami an essential market for any company targeting growth in the Americas.

Miami: At A Glance

FactorRating / DataNotes
Global Connectivity GradeA+Top-tier access to subsea cables, terrestrial networks, and peering exchanges.
Direct Cloud On-RampsOver 1 – as of September 2025Direct connections are available to AWS, Google Cloud (GCP), Microsoft Azure, and IBM Cloud.
Power Cost$0.06/kWh – as of February 2024Competitively priced industrial power, below the national average.
Disaster RiskHigh (87.72) – as of September 2025Significant exposure to hurricane and flood events requires resilient infrastructure.
Tax IncentivesYesMultiple state-level sales and ad valorem tax exemptions are available.
Sales Tax6.00% (Florida) – as of September 2025State-level sales tax, with specific data center exemptions possible.

Network & Connectivity Ecosystem

Carrier Density & Carrier Neutrality: Miami offers exceptional network diversity with over 57 unique providers operating in the metro area, as of September 2025. The market is dominated by carrier-neutral facilities, providing extensive choice for colocation and interconnection services.

Direct Cloud On-Ramps: With over 1 dedicated on-ramp, Miami enables direct, low-latency connections to 15 global cloud regions. Private network access is available to AWS, Google Cloud (GCP), Microsoft Azure, and IBM Cloud, allowing for secure and performant hybrid cloud architectures.

Internet Exchange Points (IXPs): The Florida Internet Exchange (FL-IX) is a critical component of the ecosystem, facilitating massive traffic exchange between networks. This extensive peering keeps local traffic local and dramatically reduces latency for users across the region.

Bare Metal: Bare metal cloud solutions are widely available from multiple providers in Miami. Companies like Hivelocity and phoenixNAP offer dedicated servers for performance-intensive workloads that require direct hardware access.

Power Analysis

Average Cost Of Power: Industrial power in Miami is priced at approximately $0.06/kWh, as of February 2024. This competitive rate, sourced from a grid primarily fueled by natural gas (~74%) and nuclear (~17%), helps control operational expenses for high-density deployments.

Power Grid Reliability: The power grid serving Miami's data center corridors is well-engineered for uptime. Major colocation facilities are supported by redundant utility feeds from multiple substations, ensuring a high degree of resiliency consistent with the region's operational requirements.

Market Access, Business & Tax Climate

Proximity To Key Business Districts: Data centers are strategically located near downtown Miami and the landmark Network Access Point (NAP) of the Americas. This proximity provides secure, low-latency connectivity to the region's financial, media, logistics, and healthcare industries.

Regional Market Reach: Miami is the undisputed communications hub for Latin America and the Caribbean. Its concentration of subsea cable landing stations provides the lowest-latency path to over 1.1 billion people across the Western Hemisphere.

Tax Advantage For Data Centers: Florida provides significant financial incentives that lower the cost of building and operating a data center. These programs offer exemptions on sales and ad valorem taxes for mission-critical equipment, directly reducing capital expenditures and long-term operational costs.

Natural Disaster Risk

Miami has a High natural disaster risk profile, with a FEMA National Risk Index score of 87.72 out of 100, as of September 2025. The primary environmental threats demanding robust facility design and business continuity planning are hurricanes, riverine flooding, lightning, tornadoes, and wildfires. While a score of "Relatively Moderate" was provided, the numeric value places it in the high-risk category. All data center operators in the region build facilities to withstand these specific threats.

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