Data Centers in Atlanta

Atlanta – The Connectivity Engine of the Southeast

Executive Summary

Atlanta serves as the vital interconnection hub for the Southeastern United States, providing a sturdy foundation for mission-critical infrastructure. This market is a primary choice for enterprises that require high-speed access to a massive regional population while maintaining competitive operational costs.

Atlanta: At A Glance

Network & Connectivity Ecosystem

The connectivity landscape in Atlanta is one of the most developed in the country, anchored by world-class carrier hotels.

Carrier Density & Carrier Neutrality: There are over 50 carriers present in the market as of December 2025. This density ensures competitive pricing and diverse routing options for any enterprise requirement.

Direct Cloud On-Ramps: Over 9 on-ramps exist as of December 2025, providing direct links to 15 cloud regions. Key platforms with a direct presence include AWS, Google Cloud (GCP), Microsoft Azure, and Alibaba Cloud. This direct proximity reduces latency and improves security for hybrid cloud architectures.

Internet Exchange Points (IXPs): The market is home to IX-Atlanta, which drives efficient local peering and local traffic exchange to reduce reliance on expensive long-haul transit.

Bare Metal: High-performance bare metal services are widely available through providers such as phoenixNAP and Hivelocity as of December 2025.

Power Analysis

Energy infrastructure in Georgia is stable and continues to evolve for a more diverse generation mix.

Average Cost Of Power: Industrial electricity is priced in a conservative range of $0.07–$0.09/kWh as of December 2025. This pricing makes Atlanta a financially smart alternative to high-cost coastal markets for large-scale deployments.

Power Grid Reliability: The grid is well-engineered and supported by a multi-substation architecture. The generation mix includes 41% natural gas and 34% nuclear as of December 2025, providing a resilient energy supply for the city's major data center corridors.

Market Access, Business & Tax Climate

Atlanta offers a pro-business environment that has attracted a significant concentration of Fortune 500 companies.

Proximity To Key Business Districts: Data centers are strategically positioned near Midtown and the Buckhead financial district. This proximity is vital for low-latency applications serving the fintech, healthcare, and logistics sectors.

Regional Market Reach: From a single Atlanta deployment, organizations can reach approximately 80% of the US population within a two-hour flight. This makes it an ideal site for regional content distribution and disaster recovery.

Tax Advantage For Data Centers: Georgia provides a specific sales and use tax exemption for high-technology data center equipment. This financial benefit significantly lowers the total cost of ownership for large-scale infrastructure investments.

Natural Disaster Risk

Atlanta is generally considered a safe-haven market, though it is not without specific environmental considerations for facility operators.

Risk Rubric: Moderate (54.66) – as of December 2025.

The primary natural hazards for the region include:

• Heatwave: High summer temperatures can impact cooling efficiency.
• Hurricane: Primarily regional and indirect impacts such as heavy rain or wind.
• Tornado: Present in regional weather patterns for the Southeast.
• Lightning: High frequency of convective storms in the region.
• Riverine Flooding: Site-specific risk depending on local topography.

While the FEMA NRI score is 54.66, the inland position protects it from the most severe coastal storm surges, making it a reliable choice for long-term infrastructure.